U.S. Army Vehicle Contracts May Escape Automatic Budget Cut Axe

October 23, 2012

The U.S. Army on Tuesday said its ground vehicle procurement programs may escape significant impact from mandatory additional budget cuts due to start taking effect in January, since most of the programs are only in the developmental phase at the moment. 

Scott Davis, program executive officer for the Army's ground combat systems, said most of the Army's ground vehicle programs were not multi-year agreements or large-scale production contracts, which limited the impact of across-the-board cuts.

"We're sort of in a transitional phase right now. We don't have a large production stream," Davis told reporters at the annual Association of the U.S. Army conference.

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