Published: Jun 04, 2008 12:30 AM Modified: Jun 04, 2008 06:01 AM Plant near Roxboro revives Maker of armored cars rethinks plan
Frank Norton, Staff Writer One of the largest makers of blast-resistant vehicles for the U.S. Marines is rekindling plans for a Person County facility that went cold this year.
Force Protection, based in Ladson, S.C., was supposed to spend $31 million to rebuild an empty automotive plant outside Roxboro and create 270 jobs over the next three years. That's according to the terms of a deal reached last year between the company and state and local economic development officials.
Force Protection has invested $20 million in upgrading the plant, but manufacturing is on hold indefinitely. The company is wrestling with accounting problems, eroding market share and a failure to generate a single order for the blast-resistant Cheetah, which it plans to assemble in Person County.
Last week, CEO Michael Moody said the company trimmed its work force to 1,540 from a peak of about 2,000 late last year.
Moody also announced an overhaul of operations that will shift some work to Roxboro from a facility in Summerville, S.C.
By year's end, Force Protection expects to be teaching military personnel to operate its Cougar and Buffalo blast-resistant vehicles at the Person County site. Mechanics who go overseas to work on vehicles also will receive training there, spokesman Tommy Pruitt said.
The company will hire to fill some of those spots, but it will also give employees from South Carolina a chance to relocate. Pruitt would not say how many workers the facility will need or how many the company would hire. Nor would he say how the shift from manufacturing to training would affect wages.
The company has about 15 workers at the facility near Roxboro. They were hired locally in recent months to help make upgrades. The company's Web site lists only one job opening at the site -- for a spare-parts analyst, with annual pay of $54,000.
Average pay for manufacturing positions at the plant was expected to be $30,276 a year, plus benefits. The average pay for the training positions will be about $50,000, plus benefits, well above the average Person County salary of $28,496, excluding benefits.
All of the jobs created must pay at least $25,121 a year, not including benefits, according to the deal with state economic development officials.
Glen Newsome, director of the Person County Economic Development Commission, said he has assurances from Force Protection that it will meet hiring and investment targets scheduled for the next three years.
"They've kept us in the loop as to what has been going on, and we have no doubt that they will meet their goals," he said.
Newsome said Force Protection has not missed any incentives deadlines.
Iraq, armor and troops
Force Protection's profile rose after it became a supplier to the U.S. military in Iraq in 2005. The company's vehicles have V-shaped hulls and thick armor and are used to protect troops from roadside bomb blasts.
After peaking at more than $30 a share in the summer of 2007, Force Protection stock has plummeted, closing at $4.03 Monday. Competition from larger suppliers and a decision by the Marines to buy a third fewer bomb-resistant vehicles hurt sales. Force Protection also never received the military contract it had anticipated for the Cheetah line that was to be built in Person.
This year, the company delayed filing its 2007 financial report to the Securities Exchange Commission, saying it needed to restate results for the three- and nine-month periods that ended Sept. 30 because of significant accounting errors.
Without timely financial results, the Nasdaq Stock Market had threatened to delist the company.
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Force Protection and Medical University of South Carolina Announce Opening of Center for Brain Research
Last update: 4:50 p.m. EDT June 4, 2008
CHARLESTON, S.C., Jun 04, 2008 (BUSINESS WIRE) -- Force Protection, Inc. (FRPT:force protection inc com new News, chart, profile, more Last: 4.15+0.09+2.22%
4:00pm 06/04/2008
Delayed quote dataAdd to portfolio Analyst Create alertInsider Discuss Financials Sponsored by: FRPT 4.15, +0.09, +2.2%) and the Medical University of South Carolina (MUSC) today announced the opening of the Force Protection Center for Brain Research at MUSC. The Center will conduct vital research designed to improving the quality of life for members of the armed forces and civilians who have suffered brain trauma, including Traumatic Brain Injury (TBI). "Force Protection's partnership with MUSC is an important extension of our company's mission," said Force Protection President and CEO Michael Moody. "The work of this Center will have a real and lasting impact on those who sacrifice so much to preserve our freedoms. We are bringing the great people, resources and skills of MUSC and Force Protection together. We aim to innovate and develop additional survivability solutions that will provide our men and women in uniform with the best possible protection." The partnership between Force Protection and MUSC has resulted in the funding for research equipment, office space, faculty, and employees for the Center and related research activities. "We are pleased to partner with a company that has done so much to protect and save the lives of the troops serving our country," said MUSC President Ray Greenberg. "Combining the medical research expertise of the University and the engineering expertise of our corporate sponsors will result in best-in-class service and treatment of the many men and women who have suffered devastating brain injuries in the line of duty. We're excited to begin." About Force Protection, Inc. Force Protection, Inc. is a leading American designer, developer and manufacturer of life saving survivability solutions, predominantly ballistic- and blast-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, the Cougar, the Buffalo and the Cheetah, are designed specifically for reconnaissance, forward command and control, 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 is one of the original developers and primary providers of vehicles for the U.S. military's Mine Resistant Ambush Protected, or MRAP, vehicle program. About MUSC Founded in 1824 in Charleston, The Medical University of South Carolina is the oldest medical school in the South. Today, MUSC continues the tradition of excellence in education, research, and patient care. MUSC educates and trains more than 3,000 students and residents, and has nearly 10,000 employees, including 1,300 faculty members. As the largest non-federal employer in Charleston, the university and its affiliates have collective annual budgets in excess of $1.3 billion. MUSC operates a 600-bed medical center, which includes a nationally recognized Children's Hospital and a leading Institute of Psychiatry. For more information on academic information or clinical services, visit www.musc.edu or www.muschealth.com. SOURCE: Force Protection, Inc. Force Protection, Inc. Tommy Pruitt Senior Communications Director 843-574-3866 or Investor Relations Contact: ICR, Inc. James Palczynski Principal and Director 203-682-8229
Posts: 2769 | From: nyc | Registered: Aug 2005
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quote:Originally posted by Free Muney: any one know why frpt is getting crushed? seems like all the support is running for the hills.
delays delays no 10Q... shorts back in control for a while. either way im holding all i have left here:)
Posts: 2769 | From: nyc | Registered: Aug 2005
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Force Protection gets $43M Navy deal Tuesday July 1, 6:56 pm ET Force Protection gets $43 million Navy deal to provide parts and equipment for MRAPs
WASHINGTON (AP) -- Armored vehicle maker Force Protection Industries Inc. received a $43 million contract boost from the Navy to provide parts, training equipment and material for previously purchased mine-resistant, ambush-protected vehicles, the Pentagon said Tuesday. Shares of Ladson, S.C.-based Force Protection added 9 cents, or 2.7 percent, to $3.40 in aftermarket trading, after closing at $3.31.
Posts: 2769 | From: nyc | Registered: Aug 2005
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And there ya go, hit $4.01 today. My perfect timing strikes again!
Jo
French Military Orders Buffalo Vehicles from Force Protection Wednesday July 23, 7:30 am ET
LADSON, S.C.--(BUSINESS WIRE)--Force Protection, Inc. (NASDAQ:FRPT - News) today announced that it will produce five Buffalo Category III vehicles for the French military under a contract modification to contract M67854-07-C-5039. The order totals $3.5 million and is scheduled for completion by November 2008. Work is to be performed solely by Force Protection Industries.
“We are proud to provide these vehicles to the French government,” said Michael Moody, Chief Executive Officer of Force Protection. “This represents another important step in the continued growth of our international customer base. Force Protection’s battle proven vehicle platforms continue to be the choice of our allied fighting forces throughout the world.”
About Force Protection, Inc
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Force Protection Rolls Out First Ridgback Vehicles for the British Ministry of Defence
Last update: 4:29 p.m. EDT Aug. 5, 2008
LADSON, S.C., Aug 05, 2008 (BUSINESS WIRE) -- Representatives of Force Protection Industries, Inc., (FRPT:force protection inc com new News, chart, profile, more Last: 3.30+0.02+0.46%
4:00pm 08/05/2008
Delayed quote dataAdd to portfolio Analyst Create alertInsider Discuss Financials Sponsored by: FRPT 3.30, +0.02, +0.5%) , the U.S. Government and the British Ministry of Defence gathered today as Force Protection rolled out the first five new Ridgback vehicles developed specifically for the British Ministry of Defence (MOD). The Ridgback is comparable to Force Protection's Cougar 4x4 vehicle. "The delivery today of the first five Ridgback vehicles represents an important step in our continuing efforts to provide critical protection for the British forces. Through the efforts of many people within Force Protection, we are able to deliver these first Ridgback vehicles one month ahead of schedule," said Michael Moody, chief executive officer. The British Ministry of Defence has ordered 157 Ridgback vehicles for a total cost of approximately $94 million. Although the British Ministry of Defence has used the Cougar 6x6 (Mastiff) since late 2006, this is the first Ridgback delivery to the United Kingdom. About Force Protection, Inc. Force Protection, Inc. is a leading American designer, developer and manufacturer of life saving survivability solutions, predominantly ballistic- and blast-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, the Cougar, the Buffalo and the Cheetah, are designed specifically for reconnaissance, forward command and control, 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 is one of the original developers and primary providers of vehicles for the U.S. military's Mine Resistant Ambush Protected, or MRAP, vehicle program. For more information on Force Protection and its vehicles, visit www.forceprotection.net. SOURCE: Force Protection, Inc. Force Protection, Inc. Company Contact: Tommy Pruitt, 843-574-3866 Senior Communications Director or Investor Relations Contact: ICR, Inc. James Palczynski, 203-682-8229 Principal and Director
Posts: 2769 | From: nyc | Registered: Aug 2005
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rumors of some type of annoucement monday floating around. could be big.. guess we wait and see. fingers crossed!
Posts: 2769 | From: nyc | Registered: Aug 2005
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Force Protection Receives New Service and Support Orders Friday August 8, 3:37 pm ET
LADSON, S.C.--(BUSINESS WIRE)--Force Protection, Inc. (NASDAQ: FRPT - News) today announced that it has received a new contract modification for the service and support, including spare parts, of its Mine Resistant Ambush Protected Vehicles. This order modifies the M67854-07-D-5031 MRAP contract with Marine Corps Systems command to enable the Defense Logistics Agency (DLA) to place orders under that contract. Deliverables under the modification, which totals $69.5 million, are expected to run through 2009. This modification is subject to the company’s agreement with General Dynamics Land Systems providing for a share of the deliverables and the actual revenue split between the partners is to be determined. ADVERTISEMENT
Michael Moody, Chairman and Chief Executive Officer of Force Protection, commented, “We continue to see significant levels of service and support work for our fleet of vehicles and we remain pleased with the strong relationship we have developed with the United States Marine Corps, our largest customer. This modification builds upon our relationship with the Defense Logistics Agency to provide ongoing support to our vehicles in the field.”
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