Allison Transmission awarded $162 million contract to provide X1100 transmissions to the U.S. Army through 2021
The contract awarded to Allison Transmission will support the sustainment of the Army’s Abrams Main Battle Tank fleet
INDIANAPOLIS, April 29, 2020 – The U.S. Army selected Allison Transmission, the largest global manufacturer of medium- and heavy-duty fully automatic transmissions for commercial and military vehicles, to provide the X1100-3B1 propulsion
solution for the M1A2 Abrams Main Battle Tank. The contract, valued at approximately $162M, includes transmission production, upgrades, sustainment kits and service support. Deliveries began in March 2020 and will continue through December 2021.
“Our support for the Army’s armored formations spans five decades,” said Dana Pittard, Vice President for Defense Programs at Allison Transmission. “This contract demonstrates that Allison’s long-term relationship with the
Army is built on trust, partnership and a mutual commitment to the Abrams fleet.”
The X1100 cross-drive transmission is geared for heavy-tracked combat vehicles weighing 50 tons to more than 70 tons. Allison began producing the X1100 in 1979. Since then, the Abrams tank has been the cornerstone of American armored brigades. This contract
supports the Army’s efforts to upgrade the Abrams tanks to the M1A2 SEP v3 configuration. Enhancements and upgrades to this battle-tested design will support the Army’s needs for decades to come.
Allison will complete all work at the Global Headquarters and manufacturing center in Indianapolis. “Our team of hundreds of dedicated men and women from the UAW Local 933 demonstrate a commitment to excellence daily,” said Pittard. “Many
are veterans or have relatives who serve, and recognize the privilege and responsibility of providing quality products to our nation’s military.”
Allison’s commitment to product improvements, coupled with technical expertise and a skilled workforce, provides the military with powertrain solutions that assure mission success. Allison engineers work side-by-side with the Army Program Office
to provide the technological edge, sustained performance and reliability to defeat the most advanced adversaries.
Apr 30, 2020
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.