Ceramic Industry News

Ceradyne Receives $2.37 Billion Body Armor Contract (posted 10/6/08)

October 6, 2008
/ Print / Reprints /
ShareMore
/ Text Size+

Ceradyne, Inc. has received an indefinite delivery/indefinite quantity (ID/IQ) contract for both its XSAPI and ESAPI personal ceramic armor plates from the U.S. Army RDECOM, Aberdeen Proving Grounds, Md. The total amount of the contract is approximately $2.37 billion, and it covers a period of approximately five years. Simultaneously, Ceradyne received the first delivery order for first article testing (FAT), valued at $943,000 and scheduled for shipment by November 2008. This initial FAT order is for both XSAPI and ESAPI armor plates.

The ID/IQ contract is for both XSAPI and ESAPI armor plates (front and back). The U.S. Army can order one or both types of plates over the five-year life of the contract. The contract provides for a minimum of 500 sets per year to a maximum of 240,000 set per year. Ceradyne’s practice with all ID/IQ contracts is to record as backlog only the portion of the contract that has firm delivery orders issued against the total contract. In this particular case, Ceradyne initially will only book a delivery order for $943,000 for FAT plates.

“This ID/IQ contract is by far the largest body armor contract Ceradyne has ever received,” said David P. Reed, president of North American Operations. “We are very pleased to receive this contract and believe that the government’s decision was based in good part on the performance of our actual XSAPI and ESAPI plates, which were submitted in response to the Army’s original Request for Proposal, as well as our past performance in body armor procurements relating to both delivery and quality. We also believe that the company’s investment in our Lexington, Ky., and Irvine, Calif., manufacturing facilities will allow us to meet any quantity demand against this contract, including the potential maximum quantities.

“Ceradyne’s vertical integration strategy, from beginning with manmade raw materials, to ceramic fabrication, to armor assembly and final testing, allows us to control all quality aspects, as well as making our company’s product competitive. We strongly believe the XSAPI plate is especially required in the field to defeat next generation armor piercing projectiles and protect American fighting men and women’s lives. We expect that once the initial FAT plates are evaluated there will be a series of volume production delivery orders issued to us against the total $2.37 billion ID/IQ contract.

“This type of ID/IQ award gives the government a wide range of flexibility as to what it orders and in what timeframe it requires delivery. As I stated above, we believe the fielding of XSAPI is urgent. As we have done in the past, we will continue to announce delivery orders that are issued and provide longer range visibility as we receive it from the government.”

Additional information is available at www.ceradyne.com.

Links

Did you enjoy this article? Click here to subscribe to Ceramic Industry Magazine.

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

In-Depth Features

These articles detail innovative advanced ceramic and glass materials and technologies.

Podcasts

Sapphire: An Extreme Performer

Ian Doggett of Goodfellow and CI Editor Susan Sutton discuss the benefits and opportunities provided by industrial sapphire.

More Podcasts

THE MAGAZINE

Ceramic Industry Magazine

CI April 2014 cover

2014 April

Our April issue features details on advanced materials such as ceramic matrix composites and piezoelectric ceramics, among many others. Be sure to check it out!

Table Of Contents Subscribe

THE CERAMIC INDUSTRY STORE

M:\General Shared\__AEC Store Katie Z\AEC Store\Images\Ceramics Industry\handbook of advanced ceramics.gif
Handbook of Advanced Ceramics Machining

Ceramics, with their unique properties and diverse applications, hold the potential to revolutionize many industries, including automotive and semiconductors.

More Products

Clear Seas Research

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

Directories

CI Data Book July 2012

Ceramic Industry's Directories including Components, Equipment Digest, Services, Data Book & Buyers Guide, Materials Handbook and much more!

STAY CONNECTED

facebook_40px twitter_40px  youtube_40pxlinkedin_40