The $240 million contract is the result of IMI's collaboration with the Indian government's Ordnance Factories Board.
Israel Military Industries Ltd. (IMI) has signed a $240 million agreement to build five artillery munitions factories over three years in Bihar State. The munitions factories will be built along the lines of IMI's ordnance factory in the Tel Aviv suburb of Ramat Hasharon.
IMI said that the contract was the result of its collaboration with Indian government organization Ordnance Factories Board (OFB). IMI will be the chief contractor in the deal, and will use Israeli and Indian firms as subcontractors.
IMI reported $660 million in sales in 2008, 16% more than the $570 million in sales in 2007. The company had $470 million in sales in 2006. After receiving a $30 million order late last year, IMI CEO Avi Felder said that the global economic crisis would change the procurements by the world's leading militaries, which would switch to upgrading existing weapons platforms on short timetables instead of massive investment in the procurement of innovative platforms that would take a long time to develop and deliver.
Published by Globes [online], Israel business news - www.globes-online.com - on March 30, 2009
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