KONGSBERG signs NOK 1.1 billion JSM contract with the Armed Forces
Kongsberg Gruppen ASA (KONGSBERG) has signed a Phase III contract with the Norwegian Defence Logistics Organization (NDLO) to complete the development of the Joint Strike Missile (JSM) and prepare it for integration on the F-35 Lightning II Joint Strike Fighter (JSF). This contract is valued at NOK 1.1 billion, and comes on the heels of a bridge phase contract signed on 29 November 2013, bringing the total scope of JSM development Phase III to some NOK 1.5 billion.
JSM development work has going on since 2008 and will be a continuous activity up until the completion of a complete product in 2017. Future activities in Phase III will include aircraft tests, production of a number of test missiles and integration on the F-35.
JSM is a new missile that will enable the F-35 to fight well-defended targets across long distances. No other weapon existing today, or under development, can perform the same types of missions. The missile can also be integrated into other types of aircraft in addition to the F-35, meaning its market potential extends beyond the future users of the F-35.
"This contract is an important milestone not only for the JSM as a product and for KONGSBERG, but also for Norway's technology industry which, through this development project, will establish a unique, globally leading industrial knowledge base ", remarks Walter Qvam, CEO of KONGSBERG.
"In future full-scale production, the JSM programme could translate into more than 450 jobs at KONGSBERG, in addition to generating a significant number of assignments for about 100 Norwegian subcontractors for several decades. The JSM has a substantial international market potential of NOK 25 billion over the next 20-30 years", adds Harald Ånnestad, President of Kongsberg Defence Systems.
For further information, please contact:
Harald Ånnestad, President, Kongsberg Defence Systems, Mob.: +47 920 60 087
Pål Bratlie, Executive Vice President, Kongsberg Defence Systems, Mob.: +47 930 57 243
KONGSBERG (OSE ticker: KOG) is an international, knowledge-based group that delivers high-technology systems and solutions to customers in the oil and gas industry, the merchant marine, and the defence and aerospace industries. KONGSBERG has about 7 500 employees in more than 25 countries and its operating revenues totalled NOK 16.323 billion in 2013. KONGSBERG is celebrating its 200th anniversary in 2014. To read more about KONGSBERG's history, please visit our anniversary website.
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