Friday, June 11, 2010

DTN News: Force Protection Receives $46.1 Million Award For Additional Modernization Of Cougar Fleet

DTN News: Force Protection Receives $46.1 Million Award For Additional Modernization Of Cougar Fleet
**U.S. Department of Defense Contracts Dated June 11, 2010 ~ Force Protection Industries, Inc., Ladson, S.C., is being awarded a $10,813,611 firm- fixed-priced modification under previously awarded contract (M67854-07-D-5031) delivery order #0018, to purchase 2,654 570 amp alternator modernization kits. These kits will be installed on the Cougar Mine Resistant Ambush Protected vehicle fleet supporting Operation Enduring Freedom and Operation Iraqi Freedom. Work will be performed in Ladson, S.C., and is expected to be completed by March 31, 2011. Contract funds in the amount of $1,937,510 will expire at the end of the current fiscal year. Marine Corps Systems Command, Quantico, Va., is the contracting activity.
Source: DTN News / Force Protection, Inc & U.S. DoD issued June 11, 2010
(NSI News Source Info) Ladson, SC - June 12, 2010: Force Protection, Inc. (NASDAQ: FRPT), a leading designer, developer and manufacturer of survivability solutions and provider of total life cycle support for those products, June 7., announced it has received a modification to contract M67854-07-D-5031 from the United States Marine Corps Systems Command for additional modernization of the U.S. military’s Cougar fleet. The approximate $46.1 million firm, fixed price contract modification provides for the purchase of 2,451 enhanced Automated Fire Extinguishing Systems (“AFES”), with deliveries scheduled to begin in July 2010 and be completed by February 2011.
Randy Hutcherson, Chief Operating Officer for Force Protection, commented, “We are extremely proud of the proven performance and continued durability of the Cougar fleet, and believe this award for additional modernization is another indicator that our Cougar family of vehicles remains a critical asset for the U.S. and other militaries worldwide. The AFES modernization program complements our ongoing successful efforts for the purchase and installation of Independent Suspension System (“ISS”) kits on a significant number of Cougars. We will continue to aggressively pursue additional modernization opportunities, and anticipate this segment of the business will remain an important component of our revenue mix in the years to come.”
About Force Protection, Inc.
Force Protection, Inc. is a leading designer, developer and manufacturer of survivability solutions, including blast- and ballistic-protected wheeled vehicles currently deployed by the U.S. military and its allies to support armed forces and security personnel in conflict zones. The Company’s specialty vehicles, including the Buffalo, Cougar and related variants, are designed specifically for reconnaissance and urban operations and to protect their occupants from landmines, hostile fire, and improvised explosive devices (IEDs, commonly referred to as roadside bombs). The Company also develops, manufactures, tests, delivers and supports products and services aimed at further enhancing the survivability of users against additional threats. In addition, the Company provides long-term life cycle support services of its vehicles that involve development of technical data packages, supply of spares, field and depot maintenance activities, assignment of highly-skilled field service representatives, and advanced on and off-road driver and maintenance training programs. For more information on Force Protection and its products and services, visit www.forceprotection.net.
Safe Harbor Statement
This press release contains forward looking statements that are not historical facts, including statements about our beliefs and expectations. These statements are based on beliefs and assumptions of Force Protection’s management, and on information currently available to management. These forward looking statements include, among other things: the growth, demand and interest and demand for Force Protection’s vehicles, including the Cougar; expectations for future modernization and related contracts for the Cougar; the benefits and suitability of the Cougar; the ability to meet current and future requirements the Company’s execution of its business strategy and strategic transformation, including its opportunities to grow the business; and the Company’s expected financial and operating results, including its revenues, cash flow and gross margins, for future periods. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statements. Examples of these factors include, but are not limited to, ability to effectively manage the risks in the Company’s business; the ability to develop new technologies and products and the acceptance of these technologies and products; the other risk factors and cautionary statements listed in the Company’s periodic reports filed with the Securities and Exchange Commission, including the risks set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2009 and as updated in the Quarterly Report on Form 10-Q for the quarter ended March 31, 2010.

DTN News: U.S. Department of Defense Contracts Dated June 11, 2010

DTN News: U.S. Department of Defense Contracts Dated June 11, 2010 Source: U.S. DoD issued June 11, 2010 (NSI News Source Info) WASHINGTON - June 12, 2010: U.S. Department of Defense, Office of the Assistant Secretary of Defense (Public Affairs) Contracts issued June 11, 2010 are undermentioned; CONTRACTS AIR FORCE ~McDonnell Douglas Corp., St. Louis, Mo., was awarded a $98,000,000 contract which will provide a five-year indefinite-delivery/indefinite-quantity basic contract for the production of the Small Diameter Bomb I weapon system for various Foreign Military Sales customers aircraft platforms throughout the life of the contract. At this time, no money has been obligated. 680 ARSSG/PK, Eglin Air Force Base, Fla., is the contracting activity (FA8681-10-D-0071). ~Booz Allen & Hamilton, Inc., Herndon, Va., was awarded a $24,534,711 contract action for naval operations and warfighting capability development for the commander, Navy Warfare Development Command. At this time, $1,500,000 has been obligated. 55 CONS/LGCD, Offutt Air Force Base, Neb., is the contracting activity (HC1047-05-D-4005). ~Wyle Laboratories, Inc., Huntsville, Ala., received a $24,359,812 contract modification for the Reliability Information Analysis Center which will apply reliability, maintainability, quality, supportability and interoperability engineering principles and analysis to enhance interoperability of intelligence, surveillance and reconnaissance systems; technology enhancements; and new capabilities and legacy systems. At this time, $605,000 has been obligated. 55 CONS/LGCD, Offutt Air Force Base, Neb., is the contracting activity (SP0700-03-D-1380). ~Borrego Solar Systems, Inc., El Cajon, Calif., received an $8,642,841 contract which will provide 3.5 megawatts of renewable solar electricity to be generated at four different locations. At this time, the entire amount has been obligated. 95 CONS/PKB, Edwards Air Force Base, Calif., is the contracting activity (FA9301-10-C-0003). U.S. SPECIAL OPERATIONS COMMAND ~Insight Technologies, Londonderry, N.H., is being awarded an indefinite-delivery/indefinite-quantity contract with a $75 million total contract ceiling for the purchase of handheld laser markers (HLM) in support of U.S. Special Operations Command. The work will be performed in Londonderry, N.H., and is expected to be completed by June 15, 2013. This contract was awarded through full and open competition. Delivery order #0001 for 218 HLM systems valued at $8,555,573 will be awarded in conjunction with the base contract award to satisfy the contract’s guaranteed minimum. U.S. Special Operations Command is the contracting activity (H92222-10-D-0022). NAVY ~The Boeing Co., Saint Louis, Mo., is being awarded a $59,500,000 ceiling-priced modification to a previously awarded firm-fixed-price contract (N00019-09-C-0050) to provide 3,300 flight hours of persistent intelligence, surveillance, reconnaissance unmanned aircraft vehicle services in support of U.S. Marine Corps combat missions. Work will be performed in Bingen, Wash. (97 percent), and St. Louis, Mo. (3 percent); and is expected to be completed in December 2010. Contract funds in the amount of $29,750,000 will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity. ~Lockheed Martin Mission Systems and Sensors, Owego, N.Y., is being awarded a $12,679,497 modification to a previously awarded firm-fixed-price contract (N00019-06-C-0098) for common cockpit provisioned items in support of the MH-60R and MH-60S helicopter programs. Work will be performed in Owego, N.Y., and is expected to be completed in July 2012. Contract funds will not expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity. ~Force Protection Industries, Inc., Ladson, S.C., is being awarded a $10,813,611 firm- fixed-priced modification under previously awarded contract (M67854-07-D-5031) delivery order #0018, to purchase 2,654 570 amp alternator modernization kits. These kits will be installed on the Cougar Mine Resistant Ambush Protected vehicle fleet supporting Operation Enduring Freedom and Operation Iraqi Freedom. Work will be performed in Ladson, S.C., and is expected to be completed by March 31, 2011. Contract funds in the amount of $1,937,510 will expire at the end of the current fiscal year. Marine Corps Systems Command, Quantico, Va., is the contracting activity. ARMY ~Oshkosh Corp, Oshkosh, Wis., was awarded on June 9 a $34,843,909 requirements delivery order contract. This contract is for the delivery of 90 RECAP M11220 A4, and 50 RECAP M977A4 vehicles with associated boxed engines and provision to order missing parts as required. Work is to be performed in Oshkosh, Wis., with an estimated completion date of June 30, 2011. One bid was solicited with one bid received. TACOM Contracting Center, Warren, Mich., is the contracting activity (W56HZ-09-D-0024). ~Mabey Bridge & Shore, Inc., Elkridge, Md., was awarded on June 8 a $23,406,063 firm-fixed-price contract. This contract establishes a program of record for the Army to procure line of communication bridge systems; provisioning; test support; training; and field services support. Delivery order #0001 includes first article test items and 38 dry gap fixed bridge systems for fielding and prepositioned stock. Work is to be performed in the United Kingdom (94 percent), and Houston, Texas (6 percent), with an estimated completion date of June 6, 2015. Bids were solicited on the World Wide Web with two bids received. U.S. Army Contracting Command, TACOM Contracting Center, Warren, Mich., is the contracting activity (W56HZV-10-D-0058). ~ESI Contracting Corp., Kansas City, Mo., was awarded on June 8 a $13,636,934 firm-fixed-price contract. This contract is for the construction of a civil works flood damage reduction project along Turkey Creek, Kansas City, Kan. This project will consist of 800 feet of channel deepening and widening which will result in a concrete walled channel with a natural stream bottom. Work is to be performed in Kansas City, Kan., with an estimated completion date of June 22, 2012. Bids were solicited on the World Wide Web with seven bids received. U.S. Corps of Engineers, Kansas City District, Kansas City, Mo., is the contracting activity (W912DQ-10-C-1030). ~General Dynamics Land Systems, Inc., Sterling Heights, Mich., was awarded on June 8 a $10,924,618 firm-fixed-price contract. This contract is for the procurement of 256 of Abrams reactive armor tile; 743 of Abrams reactive armor tile weldments; 300 Abrams reactive armor tile brush guards; and 300 Abrams reactive armor tile brackets. Work is to be performed in Lima, Ohio, with an estimated completion date of Dec. 31, 2011. One bid was solicited with one bid received. TACOM-Warren, CCTA-AHL-C, Warren, Mich., is the contracting activity (W56HZV-06-G-0006). ~Smith’s Detection, Edgewood, Md., was awarded on June 8 an $8,132,955 firm-fixed-price contract to purchase 1,777 joint chemical agent detector devices with warranties. Work is to be performed in Edgewood, Md., with an estimated completion date of Sept. 30, 2010. One bid was solicited with one bid received. U.S. Army Research Development & Engineering Command Acquisition Center, Aberdeen Proving Ground Contracting Division, Aberdeen Proving Ground, Md., is the contracting activity (W911SR-07-C-0054). ~Tremco, Inc., Cleveland, Ohio, was awarded on June 9 a $5,770,000 firm-fixed-price contract for a construction project for roof replacement, Building 299, Rock Island Arsenal, Ill. Work is to be performed in Rock Island Arsenal, Ill., with an estimated completion date of Nov. 30, 2010. Five bids were solicited with three bids received. Rock Island Contracting Center, Rock Island, Ill., is the contracting activity (W52P1J-10-F-5008). ~ESI, Kansas City, Mo., was awarded on June 8 a $5,528,549 firm-fixed-price contract. This contract is for the civil works, planning and design for the “Kansas City District Contraction Blue River Channel Improvements 53-63rd Street, Kansas City, Mo, Jackson County.” Work is to be performed in Kansas City, Mo., with an estimated completion date of Dec. 30, 2011. Bids were solicited on the World Wide Web with six bids received. Army Corps of Engineers, Kansas City District, Kansas City, Mo., is the contracting activity (W912DQ-10-C-1032). DEFENSE LOGISTICS AGENCY ~Signature Flight Support Corp., Las Vegas, Nev., is being awarded a maximum $11,994,811 fixed-price with economic price adjustment contract for fuel. Other location of performance is McCarran International Airport, Las Vegas, Nev. Using services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. There were two proposals originally solicited with two responses. The date of performance completion is March 31, 2014. The Defense Energy Support Center, Fort Belvoir, Va., is the contracting activity (SP0600-10-D-0008). ~Boeing Co., Saint Louis, Mo., is being awarded a maximum $9,435,528 firm-fixed-price, sole-source contract for acquisition of control indicator in support of F-15 program. There are no other locations of performance. Using service is Air Force. There was originally one proposal solicited with one response. The date of performance completion is April 30, 2013. The Defense Logistics Agency Warner Robins (DSCR-Z), Robins Air Force Base, Ga., is the contracting activity (SPO400-01-D-9406-XE01). ~General Electric Co., Cincinnati, Ohio, is being awarded a maximum $8,730,800 firm-fixed-price, sole-source contract for combustion chamber frames. There are no other locations of performance. Using service is Air Force. There was originally one proposal solicited with one response. The date of performance completion is June 29, 2012. The Defense Logistics Agency Richmond (DSCR-ZBAB), Tinker Air Force Base, Okla., is the contracting activity (SPRTA1-09-G-0009-0023).

DTN News: US Concerned About Renewed Violence In Kyrgyzstan

DTN News: US Concerned About Renewed Violence In Kyrgyzstan Source: DTN News / AFP
(NSI News Source Info) WASHINGTON - June 12, 2010: The United States expressed concern Friday over renewed ethnic violence that left at least 37 people dead in southern Kyrgyzstan. "We are concerned about reports of loss of life and injuries" in the clashes in the southern city of Osh, State Department spokesman Philip Crowley told reporters. "We have been in touch with the Kyrgyz government about the violence," he said, adding that no Americans were believed to be among the injured or dead. "We are, obviously, staying on top of that situation," Crowley said. Kyrgyzstan's interim government has declared a state of emergency and slapped a curfew on southern parts of the country in the wake of the violence that also left more than 500 people wounded. Interim President Roza Otunbayeva, whose government has struggled to assert its rule over the ex-Soviet Central Asian state since taking power amid unrest in April, backed off earlier statements that authorities had regained control. Otunbayeva warned the situation was likely to deteriorate further throughout the night as government forces attempted to regain control over Osh.

DTN News: Afghanistan TODAY June 12, 2010 ~ 2 US troops, 11 Afghan Civilians Killed In South

DTN News: Afghanistan TODAY June 12, 2010 ~ 2 US troops, 11 Afghan Civilians Killed In South
Source: DTN News / By AMIR SHAH and ROHAN SULLIVAN (AP)
(NSI News Source Info) KABUL, Afghanistan - June 12, 2010: Three international service members and at least 11 civilians died in violence across southern Afghanistan on Friday, including one attack in which a suicide bomber wearing a burqa blew himself up in a bazaar. Violence has spiked recently in Afghanistan's volatile south as Taliban insurgents step up attacks ahead of a planned major operation by NATO forces to secure the main city of Kandahar, the birthplace of the Taliban. Gen. Stanley McChrystal, the U.S. and NATO commander in Afghanistan, said in Brussels on Friday that insurgents have killed 59 Afghans during the past seven days, 54 of them in Kandahar. He told NATO ministers that insurgents also wounded 116, including 94 in Kandahar. Separately, NATO announced Friday that it has opened an alternate supply route to Afghanistan via Russia and central Asia — a critical development that gives the alliance the ability to bypass the previous ambush-prone main routes through Pakistan. Although Russia offered to open its territory to NATO as a whole, negotiations over transit rights between the alliance and central Asian states took several months to complete. The development is important because it signals Russian willingness to indirectly support the NATO-led mission. Moscow has been warmer to the mission's success in recent years, fearing that a NATO defeat in Afghanistan would cause further problems for Russia. In Kandahar province on Friday, nine civilians, including four women and three children, were killed and eight other people were wounded when their vehicle hit a roadside bomb in Maiwand district, said Zalmai Ayoubi, a spokesman for the provincial governor. The driver hit the mine when he veered off the road to go around a section that was damaged. In neighboring Zabul province, a suicide bomber dressed in a burqa detonated his cache of explosives in a shopping area in Shahjoy district, killing two civilians and wounding at least 16 others, said Mohammad Jan Rasoolyar, a spokesman for the provincial governor. The U.S. command said the two American service members died in an explosion in southern Afghanistan on Friday but did not disclose details or the location because relatives had not yet been notified. NATO said a third service member was also killed but the nationality was not released. At least 35 troops serving with the international coalition have been killed so far this month, at least 23 of them American. Also on Friday, the Taliban claimed responsibility for a rocket attack on Bagram Air Field north of Kabul. NATO confirmed that a rocket landed in a field inside the base but did not cause any injuries or damage. NATO said a second rocket landed outside the base. On Thursday in Ghazni province, also in the south, three Afghan policemen were killed when their vehicle hit a mine in the Qarabagh district, the Ministry of Interior said Friday. Also on Thursday, a private security company employee was killed in a mine explosion in the Ali Shir district of Khost province in eastern Afghanistan, the ministry said. British Prime Minister David Cameron's planned visit to a front-line base in Helmand province next to Kandahar was canceled on Thursday after cell phone calls referring to a possible rocket attack on a helicopter were intercepted, the British domestic news agency Press Association reported. Cameron, on his first visit to Afghanistan since coming to power last month, spoke with British troops at his country's main base in Helmand on Friday. Associated Press Writers Anne Gearan and Slobodan Lekic in Brussels contributed to this report.

DTN News: Pentagon Sees No Big Change In Weapons Spending

DTN News: Pentagon Sees No Big Change In Weapons Spending
* Sees possible gradual decline in procurement spending
* Favors fixed-price contracts
Source: DTN News / Reuters By Andrea Shalal-Esa
(NSI News Source Info) WASHINGTON, - June 11, 2010: U.S. defense spending to develop and buy new weapons systems is not expected to drop dramatically in coming years, but a gradual drawdown may occur, the Pentagon's No. 2 acquisition official said on Thursday. Frank Kendall, principal deputy undersecretary for acquisition and technology, said the Defense Department was keenly focused on reforming its acquisition process and making it more efficient, getting more for the money it spends, increasing oversight and reducing risk on new programs. Kendall said he did not foresee a major new consolidation in the industry like that of the mid-1990s after the Cold War ended, but said some consolidation was part of the "natural course of events." Mounting pressure on the defense budget could lead to some gradual decline in weapons research and development and procurement, commonly known as the Pentagon's investment accounts, Kendall told a conference hosted by Swiss bank Credit Suisse and Virginia-based defense consultant Jim McAleese. "We're going to see possibly some gradual drawdown in the investment accounts," he said. "For the near term, I do not see a dramatic change." Big defense companies are waiting for clues about the Pentagon's fiscal 2012 budget, which is being drafted now. Kendall said the Pentagon was using tighter oversight to get a handle on programs, and in some cases could begin the live-or-die reviews mandated under the federal Nunn-McCurdy law ahead of schedule. He said the reviews were useful but needed to occur earlier, before programs were in deep trouble. The department last week certified to Congress that six big weapons programs whose projected costs had risen by more than 50 percent over initial estimates -- including the Lockheed Martin Corp (LMT.N) F-35 Joint Strike Fighter -- needed to continue for national security reasons. He said he favors greater use of fixed-price contracts but cautioned they were not a panacea to fix Pentagon procurement problems and needed to be structured properly to succeed. Kendall said eight program cancellations unveiled by Defense Secretary Robert Gates as part of the fiscal 2010 budget, including the DDG-1000 destroyer and the Army's Future Combat Systems modernization program, targeted developmental programs the department could not afford in the longer term. As budget planners looked to the future, they realized there was just "too much stuff in the pipeline" and some programs needed to be eliminated, he said. Kendall said he hoped to avoid similar decisions in the future by ensuring that programs -- and their longer-term costs -- were well thought out and structured before billions of dollars were spent. Representative Adam Smith, who heads the air/land subcommittee of the House of Representatives Armed Services Committee, said Congress was also focused on addressing what he called "significant challenges" in the Pentagon acquisition reforms. He said he favored freeing up funding for quick acquisition of specific technologies to aid troops now, but said he remained concerned about bigger programs like the Lockheed F-35, the Air Force's refueling tanker competition, and Army modernization after cancellation of the Future Combat Systems program. Clearly, the Pentagon can no longer afford "shoot-for-the-moon" weapons programs and must focus on more realistic, quicker and flexible solutions to military needs, he said. Lawmakers were worried whether the Lockheed F-35 would work as intended, and within its intended timeframe, but Smith acknowledged that any decision now to curtail the size of the program could drive up the cost of each fighter jet, and might jeopardize future sales to international partners. If the program missed more key schedule milestones, "we've got some very, very hard decisions," he said. Given all the problems thus far with the F-35, he also questioned the wisdom of the Obama administration's insistence on scrapping a second engine for the F-35 that is being developed by General Electric Co (GE.N) and Britain's Rolls Royce (RR.L) as an alternative to one built by Pratt & Whitney, a unit of United Technologies Corp (UTX.N). He said Congress and the administration had different views on whether the second engine would save money in the long run, and Congress was reaching out to the White House to step back from its threat to veto the fiscal 2011 defense spending bill if it includes funding for the GE-Rolls Royce engine. "The debate is, what is the best way to save money," Smith said, noting that he strongly backs Gates' reform efforts, and cancellation of the Boeing Co (BA.N) C-17 transport plane, although he represents Washington state, where Boeing has large manufacturing facilities.
(Reporting by Andrea Shalal-Esa; editing by John Wallace)

DTN News: U.S. Navy Sees Ship Contract By Early August

DTN News: U.S. Navy Sees Ship Contract By Early August
* Expects to execute contracts within budget
* Companies offered "very competitive pricing"
* Lawmaker expects losing bidder to protest
Source: DTN News / Reuters By Andrea Shalal-Esa
(NSI News Source Info) WASHINGTON,- June 11, 2010: The U.S. Navy expects to award a contract for 10 new coastal warships by the end of July or early August, and should be able to meet its budget goals for the program, a top Navy official said on Thursday. Dub Summerall, executive director of combatants for the U.S. Navy's program executive office in charge of ships, told a conference that the two teams bidding to build the 10 Littoral Combat Ships, and combat systems for five more ships, submitted "very competitive pricing" with their offers in April. Summerall declined to make a detailed comment on competing bids by Lockheed Martin Corp (LMT.N) and the U.S. unit of Australia's Austal Ltd (ASB.AX), which is teamed with General Dynamics Corp (GD.N) for a deal valued at well over $5 billion to build more fast, agile coastal warships for the Navy. Affordability is critical to the future of the warships, which are designed to fight pirates, chase drug-runners, and sweep for mines in shallow coastal waters. The Navy plans to buy 55 of the ships overall, a key part of its plan to increase the number of ships in the fleet to 313 ships over time. Summerall said both competitors' ships would meet the Navy's needs and he was confident that the Navy would execute the contracts within the five-year plan for the program that was submitted with the fiscal 2011 budget request, despite huge cost spikes while the ships were still in development. "We can get very competitive pricing," Summerall told a conference hosted by Swiss bank Credit Suisse and Virginia-based defense consultant Jim McAleese. Rear Admiral Joseph Mulloy, deputy assistant secretary of the Navy for budget, said Navy acquisition chief Sean Stackley had revamped the Navy's acquisition strategy and decided to pick a single winner because he was not satisfied with the pricing initially offered by the companies. "He is a hard negotiator and he is bound and determined," said Mulloy, noting that the Navy's drive to cut costs was part of a larger drive by Defense Secretary Robert Gates. Representative Gene Taylor, head of the seapower subcommittee of the House Armed Services Committee, said he fully expected the losing team to file a formal protest, given how important the work was to both bidders. He said he favored shortening to 60 days the current 100-day deadline for the Government Accountability Office to rule on bid protests, saying the Navy urgently needed to start building the new warships and could not afford further delays. Under current law the Navy could already cite urgent national security needs and proceed with a contract, even if a protest was filed, said one congressional aide, who was not authorized to speak on the record. The shorter deadline would also be a hardship for the GAO, which is already saddled with a heavy workload, said the aide. Lockheed is offering a steel single-hull design, being built in Wisconsin by Marinette Marine, a unit of Italy's Fincantieri. The Mobile, Alabama-based U.S. unit of Austal is offering the Navy an aluminum trimaran design. Summerall said the Navy is in discussions with both teams, and Navy officials are carefully evaluating the bids before making a decision later this summer. He underscored the Navy's determination to cut shipbuilding costs so the Navy could buy the number of ships currently in the plan, adding: "We take this very seriously." The Navy has said it expects to award a single winner a fixed-price contract for 10 of the new warships, buying two in the 2010 fiscal year 2010 that ends Sept. 30, with the rest to follow through fiscal 2014. (Reporting by Andrea Shalal-Esa; Editing by Gerald E. McCormick, Phil Berlowitz)