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General Dynamics, Northrop Subsidiary Awarded Potential $1.85B Army Ammo Supply Contract

General Dynamics’ (NYSE: GD) ordnance and tactical systems business and Northrop Grumman‘s (NYSE: NOC) Alliant Techsystems Operations have secured positions on a potential five-year, $1.85B contract to manufacture ammunition products for the U.S. Army.

The Defense Department said Thursday both contractors will vie for task orders to supply ammo rounds in the 20 millimeter, 25mm, 30x113mm or 30×173 mm caliber.

Army Contracting Command solicited and received two bids for the fixed-price with economic-price-adjustment contract, which runs through Sept. 5, 2023.

The service branch will determine work locations and funds with each order.

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