By Ann Roosevelt

FT. LAUDERDALE, Fla.–Officials from General Dynamics [GD], Army TACOM Life Cycle Management Command and Anniston Army Depot held a commemorative signing of last month’s award of the first increment of an Abrams tank multi-year contract award.

“The multi-year will take “435 M1A1s to the M1A2 [ System Enhancement Package] SEP V2 version vehicles,” Peter McVey, vice president Abrams and Derivatives for General Dynamics Land Systems (GDLS), said last week at the Association of the United States Army winter symposium here.

The multi-year is likely to save some $68.3 million for the Army, with another $50 million in bundling parts from other Abrams contracts, which results in savings from economies of scale, he said. Overall, the service will save more than $110 million.

“We’re also celebrating this great partnership with the Army we call P3, public private partnership,” McVey said, as GDLS President, David Heebner, TACOM Commander, Maj. Gen. William “Mike” Lenaers, Program Executive Officer Ground Combat Systems Kevin Fahey and Anniston Army Depot Commander Col. Sherry Keller gathered for photos and signed a large poster.

The contract was actually signed Feb. 5. The first increment will upgrade 20 Abrams to the M1A2 SEP V2 configuration, and is valued at $39 million.

The M1A2 SEP V2 is the most technologyically advanced digital tank. McVey said the Abrams M1A2 Sep V2 configuration means things such as second generation forward looking infrared for the gunner and commander, color screens and a new computer with more memory, auxillary power and a tank-infantry phone. The V2 also adds six more batteries to the current number for silent watch.

In addition, the upgrade is important because it can accommodate future technology improvements to ensure compatibility with the Future Combat Systems.

The Army is looking at further versions, up to V4, he said, with capabilities being considered by the Army’s Training and Doctrine Command.

Lenaers said, “It’s all about teamwork in making this happen–to take care of soldiers and keep the Abrams relevant well into the future. Because even as we have Future Combat System it will become the current system, but it will fight alongside the Abrams tank and other combat vehicles that we have out there. So it’s absolutely vital that we do this. And we have a great team effort, General Dynamics and the depots, led by our PMs.”

The multi-year contract is important in solidifying the partnership with General Dynamics over the next five years, Fahey said. “It saves money, and promotes flexibility and responsiveness,” and provides stability for subcontractors. The multi-year award also endorses work already being done in the partnership between Anniston Army Depot and General Dynamics.

Additionally, Keller said the partnership is a centerpiece for partnership capability and technology initiatives.

The multi-year procurement was approved in the FY 2009 president’ budget request and commits to procurement at a significant cost break. The multi-year contracts are funded annually.