/ Source: The Associated Press
Textron Inc. said Monday that a subsidiary signed a new base contract to produce 423 additional armored vehicles for the U.S. Army, raising the value of the contract to $461 million.
The deal includes potential options for up to 272 more M1117 and M1200 vehicles, for an additional $239 million.
Textron said its Marine & Land Systems unit has delivered 2,600 armored vehicles to the Army.
The company said it would start delivering the extra vehicles in October and continue into early 2012 if all options are exercised. The $461 million total for the reworked contract covers 256 vehicles under the original base contract plus the additional 423, according to a Textron spokesman.
Textron shares rose $2.01, or 9.9 percent, to close at $22.39.
