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US Army Body Armor Contract Award

Avon Rubber p.l.c. is pleased to confirm the award of a four year, dual source framework contract to supply the U.S. Army with next generation Vital Torso Protection (“VTP”) X-Side Ballistic Insert (“XSBI”) body armor plates.

Under the terms of the framework agreement, Avon Protection will compete for each order of the $265 million contract. Deliveries of the initial orders are expected to commence in our 2021 financial year following receipt of product approvals.

The XSBI plates are one of a number of VTP body armor products developed by 3M’s ballistic-protection business, which Avon Protection acquired on 2 January 2020, that form part of the U.S. Army’s Soldier Protection System. Together with the existing $704 million four year multi source framework contract to supply the U.S. Army with Enhanced Small Arms Protective Insert and X-Small Arms Protective Insert body armor plates, this contract reflects Avon Protection’s leading market position and underpins our expected medium term revenues.

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Commenting, Paul McDonald, Chief Executive Officer, said:

“This is another significant, multi-year contract for Avon Protection and demonstrates our position as a leading provider of next generation body armor to the U.S. armed forces.

This further strengthens the medium term outlook and visibility for Avon Protection and represents encouraging momentum in our newly acquired ballistic protection business.”

Source: Avon Rubber p.l.c.
Date: Mar 4, 2020