U.S. Army Awards BAE Systems $269 Million Bradley Contract

a row of tracked combat vehicles firing weapons
U.S. Army Bradley Fighting Vehicles conduct live fire training at the Grafenwoehr Training Area, Germany, August 8. Source: U.S. Army

BAE Systems has been awarded a $269 million contract modification by the U.S. Army for Bradley production.  Work under the contract will continue through March 31, 2021.  The Army is using fiscal year 2018 funding to support this contract.

The Army currently has two Bradley upgrade efforts underway.  The first is Engineering Change Proposal 1 (ECP1), which improves the Bradley’s suspension.  A second ECP, now referred to as the A4 upgrade, improves the powertrain and electrical systems, enabling the vehicle to host technologies such as handheld manpack small form fit radios and Joint Battle Command-Platform.  These two upgrades bring the previous M2A3 and M7 vehicles up to the M2A4 and M7A4 configuration.

The FY20 budget request contains $638.8 million for ECP1 and A4 kits, but the budget plan reduced program funding by $890 million between FY20 and FY23.  The Army will buy an additional five brigade sets of upgraded A4 vehicles before winding down the program in 2023 to make way for the Next Generation Combat Vehicle.  Prior to the release of the FY20 budget request, the Army had already terminated a planned A5 lethality upgrade for the Bradley in order to free up funding for the NGCV.

About Shaun McDougall

Shaun McDougall is an analyst at Forecast International covering the U.S. and Canadian defense markets.

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