BAE Systems was awarded a $185 million contract modification from the U.S. Army TACOM Life Cycle Management Command to manufacture 90 Army-configured M88A2 HERCULES recovery vehicles, four Marine Corps-configured M88A2 HERCULES recovery vehicles and authorized spares list parts.

The contract contains an option worth $163 million for the U.S. Army to purchase up to 60 additional vehicles and the U.S. Marine Corps to purchase an additional six vehicles under the current unit price through April 2008.

This award brings the total value of contracts BAE Systems has been awarded on HERCULES work to $1.3 billion. HERCULES has provided capabilities during Operation Iraqi Freedom. To date 210 HERCULES vehicles have been fielded against a total U.S. Army requirement of 595 vehicles. A total of 68 have been fielded to the U.S. Marine Corps, which has pure fleeted to the M88A2 configuration, plus an additional 114 vehicles to four of our allied nations including Egypt, Kuwait, Thailand and Australia.

HERCULES provides capability for recovering today’s 70-ton combat vehicles including the M1A1, M1A2, Leopard, bridging systems along with other medium weight vehicles and answers the need for cost-effective, self-supporting heavy recovery performance. Key upgrades from the M88A1 include improved power-assisted braking, steering, electrical system and increased engine horsepower and additional armor protection, providing soldiers and Marines with 25 percent more towing muscle, 40 percent more lifting strength and 55 percent more winching power in meeting any mission requirement.