- GENERAL DYNAMICS AWARDED CONTRACT
FOR ABRAMS INTEGRATED MANAGEMENT (AIM) PROGRAM -

STERLING HEIGHTS, Mich. - The United States Army Tank-automotive and Armaments Command has awarded General Dynamics Land Systems a contract to refurbish M1A1 tanks under the Abrams Integrated Management Program for the 21^st Century (AIM XXI). The firm fixed price $20.7 million contract calls for the delivery of 45 refurbished M1A1 Abrams main battle tanks by July 2000.

AIM XX1 is a joint effort involving the PEO-GCSS, PM Abrams, the United States Army Tank-automotive and Armaments Command, the Anniston Army Depot in Anniston, Alabama, and General Dynamics Land Systems.

"AIM XXI is a continuation of the public and private sector defense partnership which has characterized the Abrams program from its inception. This partnership adds value to Army programs and helps support America's soldiers," said Arthur J. Veitch, president of Land Systems. "The current fiscal restraints on the defense budget mean that our current military equipment, such as the Abrams tank, must be able to perform at least for the first quarter of the next century and maybe beyond. With AIM XXI, we have introduced a new and cost effective way of maintaining the M1A1 Abrams fleet to meet this challenge."

In the AIM XXI program, M1A1 tanks are completely disassembled at the Anniston Army Depot and overhauled at the Lima Army Tank Plant, in Lima, Ohio. Land Systems' Scranton plant in Eynon, Pennsylvania, and plant in Muskegon, Michigan, also refurbish selected components for this program.

The AIM XXI concept was validated in a proof of principle test at the National Training Center (NTC), Fort Irwin, California, where the Army demonstrated that it could improve readiness and reduce the annual operation and support cost of the M1A1 fleet. Seventeen pilot AIM XXI M1A1 tanks were evaluated by the Army at NTC, and one pilot AIM tank was tested by the U.S. Marine Corps at 29 Palms, California.

The Army is required to sustain the readiness of approximately 4,300 aging M1A1 Abrams main battle tanks in its active and reserve units. In fiscal year 1999, the Army hopes to refurbish as many as 70 additional M1A1 tanks at a cost of more than $40 million and continue the AIM XXI program in fiscal years 2000 to 2005, at upwards of 90 tanks per year.

General Dynamics Land Systems, a subsidiary of General Dynamics Corporation, is a world leader in the development, production, and support of land and amphibious combat vehicles. Its 3,500 employees operate plants and facilities in seven states and at three international locations. More information about General Dynamics Land Systems can be found on the Internet at www.gdls.com.

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LS-98-16
8-27-98