General Dynamics Land Systems Canada has handed out 13 deals worth combined $20-million
LONDON, Ont.—The Department of National Defence says the company it awarded a $1-billion contract to for the upgrade of hundreds of light armoured vehicles has issued sub-contracts worth $20-million.
According to the federal department, General Dynamics Land Systems Canada has handed out 13 deals to the same number of firms for components and services to be used in the upgrade of some 550 LAVs used by the Canadian armed forces.
The deals were awarded to the following firms, based mainly in the London, Ont., area:
The sub-contracts are part of a $1.06-billion contract awarded to General Dynamics Canada in October 2011 for the upgrade of the LAVs.
According to the department, the agreement with the firm hinged on General Dynamics Canada re-investing “100 per cent of the contract value in business activities” in the national economy.
“Our government is leveraging large-scale investments and positioning Canadian industry to take advantage of not only current but emerging value chains,” Industry minister Christian Paradis said in a statment.
“The Industrial and Regional Benefits Policy provides Canadian companies with access to lucrative business opportunities, ensuring that 100 per cent of contracts result in direct and indirect business activity in Canada.”
The announcement of the 13 sub-contracts comes just days after Milton, Ont.-based Parker Hannafin Canada was awarded a $3-million deal to provide pumps and hydraulic motors for the LAV power and air conditioning systems.