Cougar 6×6, IEDed
– the crew lived.
(click to view full)
With the acquisition of Force Protection by General Dynamics in November 2011, future purchases will be covered under “General Dynamics MRAPs: Partners and Purchases.”
The Cougar family of medium-sized blast-protected vehicles is produced in both 4-wheel (formerly Cougar H) and 6-wheel (formerly Cougar HE) layouts. Eventually, the wisdom of using survivable vehicles in a theater where land mines were the #1 threat became clearer, and these vehicles have gradually shifted from dedicated engineer and Explosives Ordnance Disposal (EOD) roles to patrol and route-proving/ convoy lead functions as well. Related variants and blast-resistant designs are also produced in response to country-specific requirements (Wolfhound, Mastiff, Ridgeback, ILAV Badger) and other designs cover different operational needs (Buffalo mine-clearance, Cheetah, Ocelot, and JAMMA patrol vehicles). To date, the firm has received orders from Britain, Canada, France, Hungary, Italy, Iraq, and Yemen; and Poland operates some on loan from the USA. Front line testimonials offer evidence of their effectiveness.
Cougar orders predate the USA’s MRAP program to rush mine-resistant vehicles to the front lines; indeed, the performance of Force Protection’s vehicles on the front lines was probably the #1 trigger for the MRAP program’s existence. This FOCUS article describes Force Protection’s vehicles and corporate performance, which became an issue in recent years. It also covers key events and procurements around the world related to Force Protection’s Cougar (MRAP CAT I & II), Buffalo (MRAP CAT III), and related blast-resistant vehicle families.
The Cougar Vehicles
Cougar 4×4
(click to view full)
Unlike the Hummer, Cougar vehicles are designed to withstand a 30-pound blast of TNT to either the front or rear axles, or a 15-pound blast to the center portion of the vehicle. Ballistic protection is also installed for the radiator, fuel tanks, and battery compartments. Each vehicle is equipped with weapons ports, a M-240G machine gun mount, engineer/ Explosive Ordinance Disposal tool storage, 2 spare tires, and a Nuclear, Biological and Chemical overpressure and filter system that also works very well as air conditioning. As their site puts it, 4 full inches of ballistic glass in the viewing ports et. al. “help you see what hit you.”
These are not small vehicles. The Cougar is substantially larger than a HMMWV, with heavier armor and features like a V-hull designed specifically to help it survive mine blasts. As the amusing web page by manufacturer Force Protection puts it: “Drop your purse, it’s not a Hummer.”
The M1114 up-armored Hummers have an empty “curb weight” of around 9,000 pounds, and a top weight of about 12,000 pounds. The comparable Cougar 4×4 MRAP CAT 1 weighs 31,000 empty (“curb weight”), with a maximum recommended weight when fully loaded of 38,000 pounds (“gross vehicle weight, or GVW). It usually carries 4 troops, plus the front 2 seats.
Cougar 6×6
click to play video
The larger Cougar 6×6 MRAP CAT II has a curb weight of 38,000 pounds, and a GVW of 52,000 pounds. They can carry 8 troops plus the front 2 seats, These vehicles can be customized for multiple tasks including troop transport, mine and explosive ordnance disposal, command and control, reconnaissance and as a lead convoy vehicle.
An even larger and more awe-inspiring relative, the Buffalo, is also deployed in Iraq and Afghanistan as a mine-disposal vehicle. Its signature feature has given it a nickname: “The Claw.”
Testing, testing…
(click to view full)
The Cougar family’s added weight, and designed-in protection, make a difference. As one June 2007 USMC.MIL story describes it:
“I’ve had two IEDs go off on me in the last two weeks,” said [Staff Sgt. Timothy Kessler of C Company, 2nd Combat Engineer Battalion, Regimental Combat Team 6], whose unit has been hit at least six times so far since the beginning of his tour. The largest explosion detonated under the right front tire of the vehicle.
“It blew my fenders off, it blew the front bumper about 30 meters away. We never did find the fenders, but all the Marines inside the vehicle were OK.”
“The other blast was again under the right tire. We sustained minor damage and it fragged my window up a little bit,” said Kessler.
Although the MRAP vehicle Kessler was riding in survived the attacks, it is very likely that a humvee would have sustained catastrophic damage.”
Cougar interior
(click to view full)
On March 1/07, the Cougar’s success in theater led The Commandant of the US Marine Corps, Gen. James Conway to submit a Memorandum to the US Joint Chiefs of Staff [PDF]. It traces the history of program growth for MRAP vehicles, including a significant acceleration in 2006 from a request for 185 vehicles in May to 4,060 vehicles by November. It listed MRAP vehicles as his #1 unfunded priority, and added that:
“Based on the recognition of significantly reduced lethal and severe injuries in MRAP vs. the HMMWV, on 2 January 2007, commander, MARCENT requested support for a policy change that would provide MRAP level protection for all Marines operating outside the wire in MNF-W[1] . Under this policy, limited use of Armored HMMWV’s [sic] will be authorized in specific tactical situations where the operational characteristics of HMMWV are required. On 6 February 2007, the MROC (Marines Requirements Oversight Council) validated a Marine Corps requirement of 3700 vehicles in support of this policy.”
The USMC subsequently requested 3,700 vehicles under the 7,774-vehicle MRAP program (since expanded to 15,274 and then 15,771). They remain the lead acquisition service for MRAP, but Force Protection slipped from the US military’s #1 provider to #3 – and only became a more distant 3rd place as the competition continued. US MRAP candidates and orders included:
Manufacturer
CAT I
CAT II
Notes
Navistar
MaxxPro
MaxxPro AF
MaxxPro Dash
MaxxPro Plus
MaxxPro
Top finisher in number of MRAP orders.
BAE Systems
RG-33
RG-33 SOCOM
Caimin
RG-33L
RG-33-Ambulance
Caimin
Won MMPV with RG-33L derivative.
Force Protection
Cougar 4×4
Cougar 6×6
Buffalo MRAP CAT-III sole-source. Also received orders before MRAP began.
General Dynamics
RG-31 Mk.5/ RG-31A2
RG-31 Mk.5E
Partnered with BAE OMC, Canadian government CCC. Also received orders
before MRAP began.
Oskkosh
Alpha
(w. PVI)
Bushmaster
(w. Thales)
No MRAP orders, but sole winner of related M-ATV program with its own
design.
PVI
Alpha
serve w. US Border Patrol
Golan
(w. RAFAEL)
Alpha failed MRAP testing; 2008 firm bankruptcy & fire-sale acquisition
Textron
M1117 ICV
M1117 ICV
Failed MRAP testing; no MRAP orders, but ASV variant widely ordered by Military Police and fire targeting units.
FP’s Cheetah:
a big hill to climb
(click to view full)
In order to maintain its momentum, Force Protection would need another success. It had invested some of its earnings to develop a smaller, lighter vehicle called the Cheetah. Weighing in at just 14,000 pounds empty, its size (89″ tall x 88″ wide x 212″ long) and mass allow a CH-53 helicopter to lift it from ship to shore, and also offer easier transport in amphibious ships. A cruise speed of 75 mph helps the Cheetah live up to its moniker, while its turning radius of 30 feet gives it the ability to maneuver in confined spaces like urban battlefields. Lighter, smaller vehicles do mean less protection, even with a v-hull design. Nevertheless, Force Protection claims that the Cheetah can withstand a 15 pound/ 7 kg TNT blast anywhere under the vehicle, 30 pounds/ 13.65 kg under the wheels, or 50 pounds/ 22 kg if detonated 6.5 feet/ 2 meters to the side.
The firm saw the Cheetah as its future, and several customers expressed interest or undertook evaluations. With funds and attention devoted to larger MRAP class vehicles, however, no-one bought any. Force Protection’s real goal was the JLTV program, which would replace many of the US military’s Hummers and could see orders for 60,000 or more vehicles. Cheetah had been ready for some time, much earlier than its competitors; its failure to secure an initial stage JLTV development contract in late 2008 was a shock to the firm. In response, Force Protection expanded its Force Dynamics alliance with General Dynamics to include the Cheetah, in order to compete for interim-buy MRAP-ATV contracts that seek lighter blast-resistant vehicles.
Unfortunately, that fell through as well, leaving the Cheetah with no initial customer.
FP’s JAMMA
(click to view full)
Efforts to develop vehicles for foreign customers have been more successful. Distinct Cougar 6×6 variants serve with Iraq as the ILAV/Badger, and with the British Army as the more heavily protected Mastiff or Mastiff 2. The British also operate smaller 4×4 “Ridgback” variants. The British also worked with Force Protection to develop a specialty 6×6 flatbed truck version called the Wolfhound, then served as the variant’s lead customer. Read “UK Land Forces Order Cougar Family Vehicles” for more.
Another follow-on vehicle called the JAMMA is optimized for Special Forces use, and has the distinction of being transportable in the V-22 Osprey‘s low compartment.
Ocelot modularity
(click to view full)
A British partnership has also developed the Ocelot, an entirely new vehicle design in the Cheetah’s weight class. Force Protection claims that its Ocelot exceeds the required LPPV mine protection level and offers protection similar to the 6×6 Mastiff Cougar variant, while still meeting LPPV targets for mobility, payload, size and gross vehicle weight. It is now the preferred bidder for that contract, continuing its remarkable strak of success in Britain.
Ocelot is a modular design with a core automotive armored spine or “skateboard,” and a composite special-to-role pod. Center of gravity is low, as all the heavy items are contained within the V-shaped skateboard: the Steyr 3.2 litre straight six diesel powerpack, propshaft, 6-speed ZF gearbox, AxelTech differentials, fuel tank and all the suspension gear, except for a torsion bar which is mounted alongside the hull. The V-shape design results in the running gear not intruding into the crew area, making movement from front to back easier and improving protection levels. Bulkheads between vehicle crew and dismounts, and between crew and electronic equipment such as radios and jammers, give added protection. Current add-on pods include patrol, fire support, or protected logistics vehicle, and the patrol vehicle pod seats 2 crew and 4 dismounts. The pods can be swapped out in the field as the need requires. Access is through large rear doors, 2 top hatches, or an oversize commander’s door. Ocelot can reportedly be airlifted in a C-130 Hercules aircraft, or even a CH-47 Chinook heavy-lift helicopter.
Winning either the British LPPV or Australia’s Overlander PMV-L competitions would allow Ocelot to establish a solid foothold in the light patrol vehicle market.
Cougar Family: Related Contracts & Events
Wolfhound TSV
(click to view full)
With the acquisition of Force Protection by General Dynamics, future purchases will be covered under “General Dynamics MRAPs: Partners and Purchases.”
Unless otherwise indicated, all contracts are issued by the Marine Corps Systems Command (MARSYSCOM) in Quantico, VA to Force Protection Industries Inc. in Ladson, SC. Note that many maintenance contracts are connected with specific American MRAP Program delivery orders. The first order was for test vehicles; subsequent orders under that contract (M67854-07-D-5031) include:
#002: 60 CAT I Cougar 4x4s and 65 CAT II Cougar 6x6s
#003: 300 CAT I and 700 CAT II
#004: 395 CAT I and 60 CAT II
#005: 25 CAT I and 100 CAT II
#006: 553 CAT I and 247 CAT II
#007: 178 CAT I and 180 CAT II
#012: 1,862 vehicles: Oshkosh TAK-4 suspension kits
These listed orders do not count Buffalo MRAP Class III mine-clearance vehicles, which are sole-sourced, or orders outside the USA. Both of those order types are covered below as they happen.
October 5/16: A second batch of mine-resistant ambush-protected vehicles have been delivered to Egypt under the US Excess Defense Articles grant program. While the exact number of vehicles delivered remains unknown, the original shipment contained 762 MRAPs. First used for US operations in Afghanistan, the vehicles will give enhanced levels of protection to Egyptian soldiers tackling Islamist militants in the Sinai desert.
Nov 7/11: General Dynamics Land Systems, who has partnered with Force Protection to build the Cougar MRAP, takes the next step, as the parent firm agrees to buy Force Protection, Inc. for $5.52 per share of common stock, or approximately $360 million.
The move gives General Dynamics a lineup of blast-resistant patrol and de-mining vehicles to call its own, which is something the firm has never had. Force Protection | General Dynamics.
Nov 7/11: Force Protection announces its Q3 2011 financial results.
For Q3 2011, the firm reported net sales of $143.6 million (Q3 2010: $176.3M), but a 22.3% gross margin (Q3 2010: 19%) and the absence of an $8.5 million settlement help the firm return to profitability. Operating income was $6.8 million (Q3 2010: -1.9M, or $6.9M without settlement), and net income was $4.5 million.
Nov 1/11: Force Protection announces a $185.9 million firm-fixed-price contract modification from US Army TACOM for another 167 Buffalo A2 Mine Protected Clearance Vehicles, and 102 Buffalo A2 (LROD aluminum) Bar Armor Kits. Work is to be performed in Ladson, SC, with deliveries extending to April 2014 (W56HZV-08-C-0028).
In their release, current CEO Michael Moody also cites Full Material Release and authorization to proceed to Full Rate Production for the Buffalo program. Their release comes 8 days ahead of the Pentagon’s own contract announcement, for reasons that soon become clear.
Sept 23/11: A $16.9 million firm-fixed-priced contract modification for 961 fuel protection kits, and 8 sets of MRAP Capability Insertion Enhanced and Inspect or Repair only-as-necessary tools. Work will be performed in Charleston, SC, and is expected to be complete no later than March 30/12. $5.3 million will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031). See also Force Protection.
Sept 1/11: Force Protection and CAE formally bid a modified Cougar 6×6 “Timberwolf” for Canada’s TAPV competition.
Aug 24/11: Force Protection bids a variant of its Ocelot vehicle for Australia’s Special Operations Vehicles – Commando (Project JP 2097 Phase 1B/ REDFIN competition. The Ocelot is also getting a look as part of Australia’s Overlander program, Phase 4, as a Protected Mobility Vehicle – Light (PMV-L) competitor.
Aug 5/11: Executive shuffles. Force Protection makes a a couple of leadership moves. Philip Ciarlo becomes Chief of Operations, after serving as VP, Sourcing at Lockheed Martin Mission Systems and Sensors. He also spent more than 20 years in GE.
COO Randy Hutcherson goes back to his roots as Chief of Business Development, a new position for the company. He joined Force Protection in 2009 as EVP, Programs, Global Sales and Business Development, after a career at EADS North America that included their aerial tanker bid. CEO Michael Moody said that:
“We have several large programs we are pursuing in which important customer decisions are expected in the coming months and expect that further requirements for the Company’s products and services are likely to be defined in the near to mid-term.”
June 29/11: A $63.8 million firm-fixed-price contract for 56 Buffalo A2 mine-clearance vehicles, and 56 accompanying bar armor kits. Buffalos use BAE’s LROD aluminum bar armor kit.
Work will be performed in Ladson, SC, with an estimated completion date of Nov 1/12, though Force Protection expects to have them all built by July 31/12. One bid was solicited with one bid received by the U.S. Army Tank-automotive and Armaments Command (TACOM) in Warren, MI (W56HZV-08-C-0028). Force Protection release.
June 23/11: A $7.5 million firm-fixed-price contract modification for a 6-month renewal of 55 field service representatives to conduct general maintenance and upgrade operations in Afghanistan. Work is expected to be completed by Dec 31/11, but all contract funds will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031).
June 15/11: An $8.1 million firm-fixed-price contract modification for a 6-month renewal of 43 field service representatives to support operations at Vehicle Support Facility-Afghanistan. Work will be performed in Afghanistan, and is expected to be completed by Dec 31/11, but all contract funds will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031).
See also Force Protection release. Service and support contracts almost always exceed the value of the initial purchase contracts over time, and with production activities slowed considerably, support contracts like these are a critical source of revenue for the firm.
June 14/11: A $14.4 million firm-fixed-price, indefinite-delivery/ indefinite-quantity contract modification for a 6-month renewal of 87 field service representatives and accompanying equipment to install spall liner blanket kits, independent suspension kits, modernization safety kits and conduct general maintenance on the Cougar MRAP fleet in Afghanistan. Work is expected to be completed by Dec 31/11, but all contract funds will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031).
May 2/11: A $106.9 million firm-fixed-price contract modification for 1,000 of Oshkosh’s TAK-4 Independent Suspension System kits: 650 for Cougar 4x4s, and 350 for Cougar 6x6s. Delivery of the kits is expected to begin in the Company’s Q3 2011.
Work will be performed in Oshkosh, WI (95%, indicating that most of the contract’s value is Oshkosh’s), and Ladson, SC (5%), and is expected to be complete no later than Dec 31/11. $1.4 million in FY 2009 Other Procurement Air Force funds for the project will expire at the end of the current fiscal year (M67854-07-D-5031). See also Force Protection release.
April 29/11: An $18.8 million firm-fixed-price contract modification for 1,103 Cougar fuel tank protection modernization kits.
Work will be performed in Ladson, SC, and is expected to be complete no later than Dec 31/11. Contract funds will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031). See also Force Protection release.
April 6/11: Force Protection announces a $46.6 million Foreign Military Sale (FMS) for 40 Buffalo MRAP-III clearance vehicles. All work under this contract will be performed in Ladson, SC and is expected to be complete by September 30, 2011. US MARSYSCOM manages the sale on behalf of its FMS client, which is not named (M67854-11-C-5063).
March 30/11: An $11.4 million firm-fixed-price contract modification for a 10-month renewal of 46 field service representatives to install liner blanket kits, install modernization safety kits, and conduct general maintenance work on the Cougar Mine Resistant Ambush Protected (MRAP) vehicle fleet. All work will be performed in Afghanistan and Iraq, and will be completed by Dec 31/11. All contract funds will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031).
March 9/11: Force Protection, Inc. releases its Q4 and full-year 2010 financial statements for the 12 months ended Dec 31/10. Lower spares and sustainment and vehicle sales were partially offset by increased modernization revenues. Net Sales were $656.0 million (2009: $977.1M), with Operating Income of $23.4 million (2009: $43.3M) and Net Income of $15.2 million (2009: $29.5M). Gross margin was 20.4% (2009: 16.5% without the Cheetah vehicle writeoff).
The firm’s year-end cash balance sits at $150 million, and more than $1 billion in new 2010 orders allowed them to enter 2011 with more than $560 million in funded backlog. Approximately three-quarters of this amount is expected to be recognized in 2011.
Separately, the board of directors has authorized Force Protection to repurchase up to $20 million of its common stock.
Cougar w. IED jammer
(click to view full)
Dec 16/10: Force Protection Industries, Inc. announces that it has broken the $1 billion mark for business in 2010. Of the orders received, approximately 53% were associated with modernization, spares and and maintenance for the company’s 4,500+ vehicles worldwide, while new vehicle orders accounted for about 47%.
Dec 15/10: A $13.4 million firm-fixed-price contract modification for 87 MRAP field service representatives. Work will be performed in Kuwait, and the option runs until June 30/11. Contract funds will expire at the end of the current fiscal year, on Sept 30/11 (M67854-07-D-5031).
Dec 3/10: A $17.4 million firm-fixed-price contract modification for a 12-month renewal of 54 field service representatives to provide the full spectrum of support, modernization, and upgrade work on the Cougar Mine Resistant Ambush Protected (MRAP) vehicle fleet. Work will be performed in Kuwait, and th renewal will expire on by Dec 31/11 (M67854-07-D-5031). See also Force Protection release.
Nov 29/10: As expected, Britain signs a GBP 180 million (about $300 million) contract with Force Protection Europe and their partner Ricardo plc, buying 200 Ocelot LPPVs. The vehicles will be known as Foxhounds in British service. UK MoD | British Forces News (video) | Force Protection | Defense News.
Nov 3/10: Force Protection, Inc. announces its Q3 2010 results. Full details can be found in the release, but net sales have dropped about 45% from Q3 2009, and the firm reports a slight net loss of $1.9 million for the quarter. FY 2010 9-month net income is $4.0 million so far.
As of September 30, 2010, the Company’s cash and inventories were $105.4 million and $85.9 million, respectively. In addition, accounts receivable was $186.6 million, including $105.8 million of earned but unbilled receivables, and accounts payable was $95.7 million.
Oct 1/10: Force Protection Inc. announces an agreement to settle 2 shareholder lawsuits, subject to court approval and certain other conditions.
A $24 million settlement covers the consolidated shareholder securities class action entitled In re Force Protection, Inc. Securities Litigation, Consolidated Civil Action No. 2:08-cv-845-CWH, pending in the U.S. District Court for the District of South Carolina against the Company and a number of the Company’s former directors and/or officers. Most of the settlement will be covered by insurance.
A related shareholder derivative action pending in the same federal court, In re Force Protection, Inc. Derivative Litigation, Civil Action No. 2:08-1907-CWH, is settled for $2.25 million from insurance, plaintiffs’ attorney’s fees and expenses up to $2.3 million, and the adoption of certain corporate governance practices.
Sept 30/10: A $6.5 million firm-fixed-price contract modification for a 3 month extension of 55 field service representatives to complete independent suspension system kit installation on the Cougar MRAP fleet. Work is expected to be complete by Dec 31/10 (M67854-07-D-5031).
This brings announces Cougar ISS related contracts to $462.2M.
Sept 22/10: The UK MoD picks the Force Protection Europe partnership as their preferred bidder for its Light Protected Patrol Vehicle program, as its Ocelot beats Supacat/NP Aerospace’s SPV 400. Past reports have suggested an initial buy of around 200 vehicles, and Urgent Operational Requirements contract negotiations will now begin. Read “Blast Breakers: UK Land Forces Order Force Protection’s Vehicles” for the full report.
Sept 20/10: Force Protection Industries, Inc. in Ladson, SC receives a $5.5 million firm-fixed-price contract modification for a 3-month extension of 70 field service representatives to complete independent suspension system kit installation on the Cougar MRAP fleet. When DID adds up all of the announced contracts that directly revolve around Cougar ISS upgrades, they add up to about $457.7 million (158.1 + 21.9 + 58 + 58.6 + 26.2 + 82.3 + 17.25 + 19.6 + 10.2 + 5.5).
All work will be performed in Kuwait, and is expected to be complete by Dec 3/10. All contract funds will expire at the end of the current fiscal year, on Sept 30/10 (M67854-07-D-5031).
Aug 24/10: The US Congressional Research Service releases the latest version [PDF] of its report “Mine-Resistant, Ambush-Protected (MRAP) Vehicles: Background and Issues for Congress. Excerpts:
“As of June 28, 2010, more than 8,500 MRAPs had reportedly been shipped to Afghanistan, with over 3,500 of those being the newer M-ATVs. The Army has recently said that it will begin development of yet another MRAP version – the “Ultra-Lite MRAP” – which raises questions about possible vehicle redundancies. The Marines, although voicing support for the M-ATV program, have retrofitted a number of MRAPs with new suspension systems and reportedly are satisfied with the results. This apparent success calls into question not only if the Marines need all of the M-ATVs allocated to them by DOD but also if the Marines’ retrofitted suspension system might be a more cost-effective alternative for the other services… Among potential issues for congressional consideration are the status of almost 5,000 MRAPS in Afghanistan that are reportedly not being used because of their size and weight.”
In terms of overall budgets:
“Through FY2010, Congress appropriated $34.95 billion for all versions of the MRAP. In March 2010, DOD reprogrammed an additional $3.9 billion from the Overseas Contingency Operations fund to MRAP procurement. Congress approved an additional $1.2 billion for MRAP procurement, included in the FY2010 Supplemental Appropriations Act (P.L. 111-212). The full FY2011 DOD budget request of $3.4 billion for the MRAP Vehicle Fund has been authorized by the House (H.R. 5136).”
Aug 19/10: A $64.1 million firm-fixed-price contract modification for 1,946 seat survivability upgrade kits and the associated integration and installation on the Cougar CAT I A1 MRAP vehicles.
The installations will be performed in Afghanistan (80%), Kuwait (5%), and on vehicles at home stations in the U.S. (15%). Work is expected to be completed by February 2011 (M67854-07-D-5031). See also Force Protection release.
Aug 17/10: A $14.6 million firm-fixed-price contract modification under previously awarded contract (M67854-07-D-5031) to purchase 43 field service representatives and standard consumable kits to support operations at Vehicle Support Facility-Afghanistan. All work will be performed in Afghanistan, and is expected to be complete by June 30/11. All contract funds will expire at the end of the current fiscal year, on Sept 30/10. See also Force Protection release.
Aug 17/10: DoD Buzz reports that the US Army’s latest Tactical Vehicle Strategy looks like bad news for the JLTV, with small buys spaced over time to equip deployed units. Bottom line?
“Here’s the basic plan. Overall, the Army will shrink its fleet of HUMVEEs, MRAPs and medium trucks to 244,000 by 2025 from its current 260,000. How? The service will rid itself of 4,000 of the hardest to maintain and most beat up MRAPS by 2025. It will scrap the 28,000-strong M35 fleet and replace it with new FMTVs for a fleet total of 76,000. That will mean a total reduction of 4,000 trucks. The HUMVEE fleet will shrink the most, going from 101,000 to 35,000 by 2025. But there appears to be one big hole in the Army plan. It does not project how many Joint Light Tactical Wheeled Vehicles it will be. The strategy’s answer: TBD.”
If Force Protection’s Cougars end up targeted in the 4,000, it would put a serious crimp in company revenues, which depend on maintenance and upgrade contracts to suport the existing fleet. See the full Army Tactical Vehicle Strategy [PDF].
July 28/10: A pair of $5.6 firm-fixed price contract modifications (total $10.2 million). Each covers a 5-month extension for 36 Field Service Representatives, who will help install Oshkosh’s TAK-4 Independent Suspension Systems onto Cougar MRAPs, to create Cougar ISS vehicles.
All work will be performed in Bagram (M67854-07-D-5031, #0016) and Kandahar (M67854-07-D-5031), #0017), Afghanistan, and is expected to be complete by June 30/11.
July 27/10: Force Protection partners with Canadian engineering & support firm SNC-Lavalin Defense Contractors, Inc. for the Canadian Government’s 500-600 vehicle Tactical Armoured Patrol Vehicle (“TAPV”) program.
Their TAPV Cougar bid will be arrayed against Oshkosh & General Dynamics Land Systems Canada (M-ATV), and Thales and DEW Engineering (Bushmaster). Force Protection. Read “FLCV: Canada Looks to Upgrade Its Armor” for more.
July 20/10: Force Protection, Inc. announces that the Government of Canada has advanced their 2 Cougar variants beyond the 500-600 vehicle TAPV programs Solicitation of Interest and Qualification (SOIQ) phase. In addition to the Cougar 4×4 and 6×6 variants, 7 vehicles from other equipment manufacturers were selected to move into the RFP phase, with a winner and contract expected in 2011. Force Protection.
July 2/10: In the wake of the May 26/10 announcement that its Ocelot is a candidate for Australia’s A$ 1 billion PMV-L component of Project Overlander, Force Protection meets with potential suppliers, as well as State Government ministers and industry representatives in New South Wales, Queensland, Victoria and South Australia. Force Protection.
June 24/10: A $19.6 million firm-fixed-price modification to a previous contract (M67854-07-D-5031, delivery order #0012), for a 3 month extension of 216 field service representatives. These individuals will be used to complete TAK-4 independent suspension system installation on the Cougar Mine Resistant Ambush Protected (MRAP) vehicle fleet at the MRAP sustainment facility in Kuwait. Work will be performed in Kuwait, and is expected to be complete by Sept 30/10. All contract funds will expire at the end of the current fiscal year, on Sept 30/10. See also Force Protection release.
June 23/10: Defense News reports an announcement by the new coalition government’s Minister for Defence Equipment, Peter Luff, who says they will be buying another 28 Wolfhound TSV protected heavy cargo vehicles.
It’s one of a pair of contracts to different manufacturers, reported to be worth a total of GBP 65 million (about $96.8 million). The other manufacturer, Supacat, announces a GBP 45 million contract, leaving GBP 20 million (about $29.8 million) for the Wolfhound purchase. The UK MoD confirms this figure several days later.
June 23/10: Force Protection Europe in the UK announces a support product for its vehicle fleets. Karrus is a comprehensive closed-loop logistics software management suite. It analyzes complex logistics data using inputs from field representatives and other sources, in order to provide a fleet-wide maintenance snapshot. It can also be used to make projections, answering questions like what parts are needed, current fleet availability, projected fleet maintenance costs for the next 10 years, etc.
Force Protection Europe Ltd’s Managing Director, David Hind, sees the system as being useful far beyond Force Protection’s UK products, though it has been tested and used with those vehicles, and does fit well with British support trends. Karrus will be promoted on a global basis, including in the United States by Force Protection Europe’s parent company.
June 22/10: A $15.4 million firm-fixed-price modification to a previous contract (M67854-07-D-5031, delivery order #0015) for the services of 43 field service representatives to install spall-liner blanket kits and modernization safety kits, and conduct general maintenance to the Cougar MRAP fleet supporting operations in Iraq and Afghanistan.
Spall liners use kevlar-type fabric, in order to either catch some shrapnel and bullet fragments that get past the outer armor, or narrow the coverage that any explosion can have in the vehicle’s interior. Work under this contract will be performed in Afghanistan and Iraq, and it will end on June 30/11. All contract funds will expire at the end of the current fiscal year, on Sept 30/10. See also Force Protection release.
June 11/10: A $10.8 million firm-fixed-priced modification to a previous contract (M67854-07-D-5031, delivery order #0018) to buy 2,654 alternator modernization 570 amp kits for Cougar family vehicles in Iraq and Afghanistan. With all the gadgets and add-ons they have to run, more electric power is always a good thing.
Work will be performed in Ladson, SC, and is expected to be complete by March 31/11. $1,937,510 will expire at the end of the current fiscal year. See also Force Protection release.
June 4/10: A $46.1 million firm-fixed-priced modification to a previous contract (M67854-07-D-5031, delivery order #0018) for 2,451 enhanced Automated Fire Extinguishing Systems. Deliveries are scheduled to begin in July 2010, and be complete by February 2011.
Work will be performed in Sterling Heights, MI, and is expected to be complete in February 2011. All contract funds will expire at the end of the current fiscal year, on Sept 30/10. See also Force Protection release.
May 26/10: The Ocelot is one of 3 vehicles added to the competition for the Australian Overlander Program’s Phase 4 buy of up to 1,300 PMV-L blast-resistant patrol vehicles. Thales Australia, Force Protection Europe, and General Dynamics Land Systems will each receive 6-month contracts worth up to A$ 9 million, in order to develop “Protected Mobility Vehicle” prototypes. Those prototypes would compete against any winners from the American/Australian JLTV competition. Australian DoD | Force Protection | Thales Australia.
May 25/10: Force Protection Europe has been invited by the UK MoD to tender for Britain’s LPPV (Light Protected Patrol Vehicle) Demonstration, Production and Support Phases. The invite follows a recently awarded contract placed for 2 Ocelot vehicles, presumably for testing purposes. Force Protection release.
May 20/10: The US DSCA announces [PDF] Britain’s formal request to buy another 102 Mastiff 6×6 blast-resistant vehicles, along with associated tools and test equipment, support equipment, spare and repair parts, and other related support. The estimated cost is up to $122 million.
The principal contractor will be Force Protection Industries, Inc., of Ladson, SC. There are no known offset agreements proposed in connection with this potential sale. The continued support of nine Field Service Representatives, currently providing in-theater maintenance support for the existing Mastiff vehicles until July 2010, will be extended until the UK can provide this support internally.
May 5/10: Force Protection, Inc. announces a $62.4 million modification to US Army TACOM contract W56HZV-08-C-0028 for 60 Buffalo mine protected clearance vehicles (MPCV), plus field support representatives, and technical data and manuals. The initial award is a firm-fixed-price $32.9 million contract. This contract modification is subject to finalization, so the end price may change somewhat.
Work is to be performed in Ladson, SC, with an estimated completion date of Nov 1/12, but Force Protection promises June 30/11 completion, with deliveries scheduled to begin in the 4th quarter of 2010. Unlike the rest of the MRAP competition, Buffalo MRAP-III MPCV vehicles are sole-source; 1 bid was solicited by U.S. Army TACOM in Warren, MI, with 1 bid received (W56HZV-08-C-0028).
May 4/10: $24 million for 30 Cougar 4×4 Category I MRAP vehicles including field service support. The contract is a Foreign Military Sale (FMS) for unspecified “coalition forces in support of US forces,” and is subject to adjustment.
The work will be performed in Ladson, SC and is expected to be complete by April 29/11 (M67854-10-C-5133).
April 19/10: $17.25 million for field service representatives to install the TAK-4 independent suspension system kits on Cougar MRAP vehicles in theater.
Work under these 2 $8.6 million each firm-fixed-priced delivery orders, issued under a previously awarded firm-fixed-price, indefinite-delivery/ indefinite-quantity contract (M67854-07-D-5031, #0016 and #0017), will be performed at Bagram Air Field in Afghanistan, and is expected to be complete by Jan 31/11.
April 2/10: $82.3 million firm-fixed-priced delivery order (M67854-07-D-5031) for the purchase of 755 Cougar independent suspension system (ISS) kits. The ISS kits are being manufactured by Oshkosh Defense in Wisconsin.
Work will be performed at the MRAP Sustainment Facility in Kuwait, and is expected to be complete by Dec 31/10. Contract funds will expire at the end of the current fiscal year. Force Protection release
March 8/10: Force Protection announces FY 2009 financial results for the year ended Dec 31/09. Net income was $29.5 million/ $0.43 per share (2008: $46.9M/ $0.69 per share), and operating income of $43.3 million (2008: $68.5M). That includes a $19.3 million write-down in Q3 2009, and also cost reduction activities that led to a 17% decrease in general and administrative expenses.
FY 2009 net sales were $977.1 million (all FP), compared to $1.3 billion in 2008 (about $920 million Force Protection + $479.5 million minimal margin pass-through sales to General Dynamics under the Force Dynamics MRAP agreement). The firm’s modernization, spares and sustainment business was a big 2009 contributor, growing by $461.6 million (over 180%). Of the firm’s 2009 shipments, 123 were its heavyweight Buffalo vehicles, a more than 50% increase over 2008. Overall inventories were down to $74.1 million (2008: $88.5M), but accounts receivable rose to $143.5 million (2008: $138.4M).
In a credit crunch environment, the firm’s year end cash and cash equivalents balance was $147.3 million (end 2008: $111.0M), thanks to annual net cash of $49.5 million (2008: $37.0M). Force Protection release.
March 8/10: A $26.2 million firm-fixed-priced delivery order (M67854-07-D-5031, #0012) in support of the Cougar ISS program that upgrades vehicles with Oshkosh’s TAK-4 suspension. The contract will extend the work of 216 field service representatives, life support, and vehicle and equipment rental.
Work will be performed at the MRAP Sustainment Facility in Kuwait, and is expected to be complete by June 30/10. Contract funds will expire at the end of the current fiscal year. See also July 2009 entries. Force Protection release
Feb 24/10: We be JAMMA. Force protection debuts its Joint All-Terrain Modular Mobility Asset (JAMMA) vehicle at AUSA Winter 2010. The vehicle is described as an armor-ready, four-occupant, hybrid powered (incl. 22Kw continuous exportable), high-performance off-road vehicle that can be transported inside the V-22 Osprey. JAMMA is equipped to handle high speeds, and is touted as a Special Operations suited vehicle whose modular system allows it to be up-armored easily. Force Protection release | Product Page.
Feb 23/10: Force Protection announces an order for 23 British Cougar Mastiff Explosive Ordinance Disposal (EOD) variants, via a Foreign Military Sales (FMS) contract from Marine Corps Systems Command. The undefinitized contract has a value not to exceed $16.1 million.
The work will be performed in Ladson, SC and is expected to be complete before April 2010. Indeed, the first 5 Mastiff contracted vehicles were delivered on Feb 8/10, 20 days after contract award, thanks to long lead funding that was already in place.
Feb 22/10: Force Protection’s Board of Directors appoints Randy Hutcherson as Chief Operating Officer, effective Feb 18/10. He had been serving as Executive Vice President, Programs, Global Sales and Business Development, and will continue to report to Chairman and Chief Executive Officer Michael Moody. Announcement | Executive Profile.
Dec 30/09: Figures obtained by Britain’s Liberal Democrat party indicate that only 134 of Britain’s 271 delivered Mastiffs are considered “fit for purpose” due to maintenance and battle damage, and the new Ridgeback 4×4 vehicles being used for the first time by 11 Light Brigade have just a 60% rate at 73 fit for service of 118 delivered. The first Ridgbacks and Mastiff 2s were deployed in Afghanistan in June 2009. UK’s Times | defense aerospace.
Ocelot unveiled
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Sept 30/09: As vehicle production tails off, Force Protection, Inc. needs to lower its cash burn rate in order to remain viable. Today, the firm formally announces a program to reorganize itself and slash costs, which is expected to save at least $40 million annually and will be complete by the first half of 2010.
Th company will eliminate about 120 net jobs from its current workforce of 1,200 employees and contractors, involving Q3 2009 severance charges of about $2 million. Reductions in manufacturing and engineering will be partially offset by an increase in the Company’s support facility in Kuwait, and growth in support and and supply-chain management related jobs. The company is streamlining its spares logistics functions as a whole, including proposed freight management changes that are expected to yield significant cost savings and improved customer response times. The firm will also be pursuing “significant savings opportunities” in general corporate functions such as finance, consulting, legal and human resources, facilities management, travel, insurance, and other costs. Force Protection release.
Sept 28/09: Force Protection, Inc. announces a $52.8 million modification to US Army TACOM contract W56HZV-08-C-0028, ordering 48 Buffalo Mine Protected Clearance Vehicles (MPCV). This contract modification is subject to finalization, so the end price may change somewhat. Work will be performed in Ladson, SC and is expected to be complete prior to September 2010.
The Company adds that it continues to expect additional orders under this program, and to make total deliveries of over 100 Buffalos during FY 2010.
Sept 8/09: Force Protection Europe, Limited debuts its 7.5 ton Ocelot light protected patrol vehicle (LPPV) at Britain’s DSEi 2009 exhibition in London. It has 4-wheel steering, giving it a market leading turning circle of 39 feet. It is 17 feet long, 8 feet high and 7 feet wide.
The Ocelot was designed in conjunction with UK automotive engineering firm Ricardo plc, specifically to meet the requirements for Britain’s upcoming LPPV competition. Ocelot is based on a modular design with a core automotive armored spine or “skateboard,” and a composite special-to-role pod. Center of gravity is low, as all the heavy items are contained within the V-shaped skateboard: the Steyr 3.2 litre straight six diesel powerpack, propshaft, 6-speed ZF gearbox, AxelTech differentials, fuel tank and all the suspension gear except a torsion bar which is mounted alongside the hull. The V-shape design results in the running gear not intruding into the crew area, making movement from front to back easier while improving protection levels. Bulkheads between vehicle crew and dismounts, and between them and the vehicle electronic equipment such as radios and jammers, give added protection.
Force Protection claims that its Ocelot exceeds the required LPPV mine protection level and offers protection similar to the 6×6 Mastiff Cougar variant, while still meeting LPPV targets for mobility, payload, size and gross vehicle weight. Current pods include patrol, fire support, or protected logistics vehicle, and the patrol vehicle pod has seating for 2 crew and 4 dismounts. Access is through large rear doors, 2 top hatches, or an oversize commander’s door. The pods can be swapped out in the field as the need requires. Ocelot can reportedly be airlifted in a C-130 Hercules aircraft, or even a CH-47 Chinook heavy-lift helicopter. Force Protection release | Ricardo release | Ocelot product page.
Aug 24/09: $8.1 million for firm-fixed-priced delivery order #0010 modification under previously awarded contract (M67854-07-D-5031), for US Marine Corps field service representative support in and around Afghanistan. The contract will run until Dec 31/10.
July 27/09: Force Protection, Inc. announces a $52.8 million modification to contract W56HZV-08-C-0028 from the United States Army TACOM for 48 MRAP-III Buffalo Mine Protected Clearance Vehicles (MPCV). This contract amount is not exact, and will be finalized later. Work will be performed in Ladson, SC and is expected to be complete before Jan 31/10.
On the same day, as a result of this award and the Army’s continued commitment to the Buffalo program, Force Protection amends and extends its lease for building 3 at its Ladson, SC facility until June 30/14.
July 15/09: A $58.6 million firm-fixed-priced delivery order under a previously awarded firm-fixed-price, indefinite-delivery/ indefinite-quantity contract (M67854-07-D-5031, #012). This contract amount is not exact, and will be finalized later. Support for the installation of TAK-4 independent suspension kits will will be performed in Kuwait, and is expected to be complete by Dec 31/09.
Force Protection’s release describes this as a supplementary order that will convert another 545 Cougar vehicles, bringing the total number to 1,862.
July 2/09: A $58 million firm-fixed-priced modification to previously awarded delivery order #0012 under previously awarded contract (M67854-07-D-5031), buying Phase 2 Field Service Representative Support, Equipment, Consumables, Bench Stock, and Training to install TAK-4 Independent Suspension Kits on 1,317 MRAP Cougar Vehicles.
This order brings the announced total for TAK-4 refit-related contracts to $237.5 (158.1 + 21.9 + 58.0) million. Work will be performed at the MRAP Sustainment Facility in Kuwait, and is expected to be complete by Feb 28/10. See also Force Protection’s release, and subsequent amendment.
July 1/09: Force Protection discusses the results of the US military’s M-ATV competition, which Oshkosh won:
“[M-ATV] did not select the Cheetah Mk. II vehicle submitted by Force Dynamics, LLC, the Company’s joint venture with General Dynamics Land Systems. The Company anticipates a relatively soft level of operating profit in its second quarter due to the timing of vehicle and other product shipments and costs related to the M-ATV competition. However, it expects a stronger second half and full year performance, due to expected life cycle support business combined with planned shipments of the Buffalo and the Wolfhound Tactical Support Vehicle (TSV).”
Michael Moody, Chief Executive Officer of Force Protection, added:
“We are grateful for the consideration given to our M-ATV submission by the customer, though of course we are disappointed to have not been selected. Even so, our business planning and ability to continue to generate growth and value for our shareholders was not dependent upon winning the M-ATV program… We have good near-term prospects, a highly active research and development organization and over $119 million in cash and no debt”
June 16/09: A $21.4 million modification of a firm-fixed-price delivery order (M67854-07-D-5031, #012), buying Phase 1 field service representative support for the installation of the new TAK-4 independent suspension kits on MRAP Cougar vehicles. See the April 8-9/09 entries.
Work will be performed at the MRAP Sustainment Facility in Kuwait, and is expected to be complete by Dec 31/09. All contract funds will expire at the end of the current fiscal year (Sept 30/09).
June 10/09: According to the UK Ministry of Defence, the first batch of Mastiff 2 and Ridgback 4×4 vehicles have reached Afghanistan. A total of 300 are now operational.
Upgrades to the newest vehicles include explosive attenuating seats to reduce back injuries; improved armor; improved axles and suspension to cope with the difficult terrain; better thermal imaging for the drivers; and greater crew capacity. UK MoD | DID Spotlight: “UK Land Forces Order Cougar Family Vehicles.”
May 18/09: Force Protection announces that it has signed a lease in Mina Abdullah, Kuwait, and will soon open a total life cycle support facility that includes warehousing, administrative offices, and depot services. The facility is designed to shorten turnaround time for spare parts, modernization, service and repairs, and training for the Company’s deployed fleet of vehicles throughout the Middle East and Central Asia. The facility will provide maintenance and repair training as well as Operational New Equipment Training (OPNET) for new and upgraded vehicles.
April 9/09: Oshkosh announces a $122 million sub-contract from Force Protection, who is buying its TAK-4® independent suspension system for Cougar retrofits (see April 8/09 entry). The TAK-4 suspension sys