The Department of National Defense (DND) announced that the payment for the P882 million upgraded armored personnel carrier (APC), bagged by Israeli defense manufacturer Elbit Systems Ltd., will be done in three tranches.

Dr. Peter Paul Galvez, Defense spokesperson, said first payment will be pegged at P405 million, the second will be P335 million and the third at P142 million.

Elbit Systems Ltd., formally announced the signing of the P882 million deal (roughly USD20 million) last June 22.

Upgrades include 25 mm unmanned turrets, 12.7 mm remote controlled weapon stations (RCWS) and fire control systems (FCS) for 90 mm turrets.

The APCs, which are 28 in number, will be supplied over a one-year period.

The contract marks a significant breakthrough for Elbit Systems, as it is the first one awarded to the company in the Philippines.

“We are very pleased to be awarded our first contract for the Philippines Armed Forces, which we hope will be followed by others. Our extensive portfolio and our vast experience enable us to offer our customers advanced solutions, answering the specific requirements of various combat vehicles, and this award further positions us as world leaders in the field of ground vehicle upgrades,” Elbit Systems’ Land and C41 general manager Udi Vered said.

The APCs are for the use of the Philippine Army.

The latter operates around 343 AFVs (armored fighting vehicles) and APCs.

Around 85 percent of these AFVs are on green status (fully mission capable) while another 10 percent are on yellow status (undergoing repair) and five percent are on red (beyond repair)

150 of these are the United Kingdom-built GKN “Simba” with the remaining AFVs consisting of US designed V-150 and V-200 APCs, M-113 “Bradley”, Turkish made ACV-300s and British Scorpion CVRTs.

These vehicles give the PA its armor capability and are organized into a 14-vehicle mechanized infantry companion for deployment with regular units.

(PNA)