LONDON, Ontario, November 9, 2012 – Ed Holder, Member of Parliament for London West on behalf of the Honourable Rona Ambrose, Minister of Public Works and Government Services and Minister for Status of Women, today announced more support for Canadian jobs and Canadian Armed Forces through a contract amendment with General Dynamics Land Systems for 66 additional upgraded Light Armoured Vehicles (LAV) III.
“This additional support will help sustain over 2200 local jobs in London and will utilize Canadian expertise found right here in our city,” said MP Ed Holder. “This will also benefit our local economy by providing good quality jobs and employment security for many families.”
Canada’s LAV IIIs have served the Canadian Armed Forces in Afghanistan and other areas of operation. They are state-of-the-art combat vehicles used to transport infantry on the battlefield while providing defensive protection and firepower.
“Our Government is committed to renewing and strengthening the equipment we provide our men and women in uniform,” said the Honourable Bernard Valcourt, Associate Minister of National Defence, Minister of State (Atlantic Canada Opportunities Agency) (La Francophonie) and MP for Madawaska-Restigouche. “Our continued investments in the Canadian Army will provide our troops with the modern equipment they need to conduct their missions safely and effectively for many decades to come.”
The LAV III Upgrade Project Implementation Phase contract is necessary to improve the protection of these vehicles against mines and improvised explosive devices, improve their mobility, improve the safety of Canadian Forces members travelling on board the LAV III, and incorporate ergonomic and information management improvements.
“This support will provide high-quality jobs and security for our families in London and will help build a prosperous future for our community,” said Joe Preston, Member of Parliament for Elgin-Middlesex-London.
In October 2011, it was announced that a contract was awarded to GDLS – C for the implementation phase of the LAV III Upgrade Project at a value of $1.064 billion (taxes included) to deliver 550 upgraded LAV IIIs. This contract included an option for additional upgraded LAV IIIs. The contract is now being amended to exercise the option to upgrade 66 additional LAV IIIs at a value of $151 million (taxes included). The Harper Government intends to use this additional delivery of 66 LAV IIIs to support the Canadian Forces’ reconnaissance and surveillance capability.
The Industrial and Regional Benefits (IRB) Policy will apply to this contract amendment. The IRB Policy ensures that economic benefits flow to Canada as a result of defence procurements, which means that General Dynamics Land Systems – Canada will be required to re-invest 100 per cent of the contract value in business activities in the Canadian economy, further expanding the economic benefits of this procurement in regions across the country.
For more information, media may contact:
Amber Irwin
Office of the Honourable Rona Ambrose
819-997-5421
Media Relations
Public Works and Government Services Canada
819-956-2315
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