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:
- Fluid Power House Inc. for hydraulic reservoirs and other key power pack components ($5.04-million);
- I.G.D. Machined & Tool Ltd. for tapped pads and other metal fabrications and machine components ($2.54-million);
- Cantwell Cullen & Company Inc. for hose assemblies ($2.34-million);
- Advance Manufacturing Technologies ULC to perform machining services on the turret shell as well as to provide tube assemblies and other metal fabrications and machined components ($1.93-million);
- Rho-Can Machine & Tool Company Ltd. for base plates and tube assemblies as well as other metal fabrications and machined components ( $1.5-million);
- Abuma Manufacturing Limited for metal guards and housings ($1.47-million);
- Militex Coatings Inc., in association with Plasan Sasa Ltd., to manufacture spall liner—an advanced ballistic material that will provide high levels of protection against improvised explosive devices, mine blasts, as well as kinetic and chemical energy threats ($1.22-million);
- Noordermeer Bros. Inc. for torsion bars and other fabrications and machined components ($1.29-million);
- Calco Metal Manufacturing Corp. for tube and manifold assemblies as well as other metal fabrications and machined components ($820,000);
- Davwire: Defense & Aviation Wiring Inc. for high quality cable and wiring harnesses ($760,000);
- Electrozad Supply Co. (London) Limited for rails ($280,000);
- Hose Headquarters Ltd. for bulkhead tubes, fittings and connectors ($250,000); and
- Vandex Manufacturing Limited for bracket and frame assemblies as well as other metal fabrications and machined components $240,000).
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.