Allison hopeful of landing new Marines contract-WEB ONLY

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Indianapolis-based Allison Transmission Inc. has completed the first production-quality transmission that could be used in a new amphibious fighting vehicle for the U.S. Marine Corps – a development that could mean substantial work for the local manufacturer.

“We’re getting closer to gaining a very, very large contract,” Allison spokesman Eric Dickerson said.

Allison was scheduled to discuss the vehicle late this morning at a press conference at Plant 14, a high-security building on the west side of Indianapolis where about 280 people work on transmissions for various military vehicles.

If the Marines like the Expeditionary Fighting Vehicle, which has been under development since 1996, Allison and other subcontractors of General Dynamics Corp. would be asked to produce as many as 573 units.

Allison is working on the EFV as a subcontractor for General Dynamics Land Systems in Sterling Heights, Mich., a unit of Falls Church, Va.-based General Dynamics.

Dickerson said he did not have permission to discuss the value of Allison’s current subcontract.

General Dynamics’ contract, granted in 2005, calls for producing 14 EFVs for the Marines to evaluate in 2010 and 2011. The general contract was worth $19 million.

Dickerson said he could not predict how winning the full EFV contract would affect Allison’s employment levels. The company is pursuing other military projects at the same time, he said.

Allison employs 2,800 people, most of them locally.

“If this vehicle performs, this is some of the growth we could use to maintain existing employment levels,” Dickerson said.

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