Saab AB signed a contract with the European Defence Agency (EDA) for production and delivery of Carl-Gustaf ammunition, the company said Jan. 25.
The contract order is operating under the terms of Saab’s framework agreement the company signed with the EDA in 2014. The agreement allows for the coordinated purchase of Carl-Gustaf ammunition by agency member states Estonia, Latvia, Lithuania, the Czech Republic, and Poland.
The agreement is in effect for five years but may be extended up to two additional years. It provides for potential orders of about $54 million.
The Carl-Gustaf is a man-portable shoulder-launched 84-mm recoilless rifle, also known as the Multi-Role Anti-Armor Anti-personnel Weapons System (MAAWS).
“This order is further proof of our ability to deliver Carl-Gustaf ammunition in a flexible and efficient way. In order to maintain capable and deployment-ready forces, the customer has high demands on the weapon deliveries and I am proud that we can offer these solutions when ever needed,” Torbjörn Saxmo, head of the ground combat business unit within the Saab dynamics business area, said in a statement.