Allison Transmission Awarded a $51 Million Contract to Support Abrams Tank Production for the U.S. Army and Internationally
Abrams defense sales are expanding in the Asia Pacific and Eastern European markets.
INDIANAPOLIS, December 14, 2022 – Allison Transmission, a leading designer and manufacturer of conventional and electrified vehicle propulsion solutions for tactical wheeled and tracked defense vehicles, and medium- and heavy-duty
commercial vehicles, has been awarded a $51 million contract for the X1100-3B1 transmission and technical support for the Abrams Main Battle Tank used by the U.S. Army and Foreign Military Sales (FMS) customers.
“The Abrams is the most prevalent main battle tank in the free world, and the recent announcement of defense sales expanding to Taiwan, Australia and Poland increases its presence to eight U.S. partner nations. Allison is proud to support the U.S.
Army and our global customers today and for decades to come,” said Dana Pittard, Vice President for Defense Programs, Allison Transmission.
Allison’s unique qualifications and experience with the development, testing and production of heavy-duty cross-drive transmissions have reduced risk to the U.S. Army as they’ve navigated the pandemic and unprecedented economic conditions.
Allison’s innovative approach and best practices provide the Army with greater affordability to reinvest in readiness, which are benefits other manufacturers have been unable to achieve.
Deliveries and technical support under this contract will begin in January 2023 and continue through March 2024.
The Abrams tank, introduced in the early 1980s, has been the subject of continuous capability improvements throughout its service life. Similarly, Allison continues to develop innovative enhancements to meet customer demand while ensuring transmission
longevity and performance.
“Allison is proud of our relationships with the U.S. Army and the world’s finest defense vehicle manufacturers. Our internal investments have led to growth in the defense end market with new contracts in the last six months for Abrams, the
U.S. Army’s newest light tank (Mobile Protected Firepower), M88A3 HERCULES and India’s Future Infantry Combat Vehicle,” said Pittard. “The future is very exciting as Allison will have a new defense production program launch
every year for the next several years.”
Dec 14, 2022
Allison Transmission (NYSE: ALSN) is a leading designer and manufacturer of vehicle propulsion solutions for commercial and defense vehicles, the largest global manufacturer of medium- and heavy-duty fully automatic transmissions, and a leader in electrified propulsion systems that Improve the Way the World Works. Allison products are used in a wide variety of applications, including on-highway trucks (distribution, refuse, construction, fire and emergency), buses (school, transit and coach), motorhomes, off-highway vehicles and equipment (energy, mining and construction applications) and defense vehicles (tactical wheeled and tracked). Founded in 1915, the company is headquartered in Indianapolis, Indiana, USA. With a presence in more than 150 countries, Allison has regional headquarters in the Netherlands, China and Brazil, manufacturing facilities in the USA, Hungary and India, as well as global engineering resources, including electrification engineering centers in Indianapolis, Indiana, Auburn Hills, Michigan and London in the United Kingdom. Allison also has more than 1,400 independent distributor and dealer locations worldwide. For more information, visit allisontransmission.com.
This press release contains forward-looking statements. All statements other than statements of historical fact contained in this press release are forward-looking statements, including all statements regarding future financial results. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "expect," "plans," "project," "anticipate," "believe," "estimate," "predict," "intend," "forecast," "could," "potential," "continue" or the negative of these terms or other similar terms or phrases. Forward-looking statements are not guarantees of future performance and involve known and unknown risks. Factors which may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made include, but are not limited to: risks related to our substantial indebtedness; uncertainty in the global regulatory and business environments in which we operate; our participation in markets that are competitive; the highly cyclical industries in which certain of our end users operate; the failure of markets outside North America to increase adoption of fully-automatic transmissions; the concentration of our net sales in our top five customers and the loss of any one of these; future reductions or changes in government subsidies for hybrid vehicles and other external factors impacting demand; U.S. defense spending; general economic and industry conditions; the discovery of defects in our products, resulting in delays in new model launches, recall campaigns and/or increased warranty costs and reduction in future sales or damage to our brand and reputation; our ability to prepare for, respond to and successfully achieve our objectives relating to technological and market developments and changing customer needs; risks associated with our international operations; labor strikes, work stoppages or similar labor disputes, which could significantly disrupt our operations or those of our principal customers; our intention to pay dividends and repurchase shares of our common stock; and other risks and uncertainties associated with our business described in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that the expectations will be attained or that any deviation will not be material. All information is as of the date of this press release, and we undertake no obligation to update any forward-looking statement to conform the statement to actual results or changes in expectations.
SOURCE Allison Transmission Holdings Inc.