10 million bucks worth of ammo

[RicePaddyDaddy]

http://www.bizjournals.com/kansascity/news/2010/10/21/atk-gets-10M-ammo-order.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+bizj_kansascity+%28Kansas+Cit y+Business+Journal%29

Is that going to cause a shortage here ?

[Arkane]

It may in the intiial term, but I think that after the order is filled anything still on the floor is going to hit the market and help prices stabilize.

[mhp34one]

I saw an article on this in 08, I belive, it was trying to link the shortage in nato ammo to this gov contract order. I thought that it was. I hade spoken to LE and was told that were increasing ammo stock pilles. I knew it would take a while till the supply would catch up and the prices would fall. I think that the shortages are not over yet but not too bad right now. My two cents.

[bigbear77]

When I won the Powerball last week they promised they wouldn't tell anyone what I was planning to do with the money. Some people just can't keep a secret...

[nevada]

Bigbear77, send me a case and I'll keep quiet.

[okie shooter]

Ten mil to atk at lake city is less than a day, I would guess even less than half a days production. THey make all 223, 308 and 50 cal for the us military. I imgaine a mil would cover the pay roll there a day or little more.

[cwo4uscgret]

this is a supply, not manufacturing contract.



Alliant Techsystems (NYSE: ATK), based in Eden Prairie, Minn., buys the ammunition from manufacturers in nations such as Bulgaria, Romania and Poland, then ATK inspects, packages and delivers it. The operation is led by people based at the ATK-managed Lake City Army Ammunition Plant in Independence

Read more: ATK Small Caliber Systems gets $10M ammunition order | Kansas City Business Journal

I suspect that with "special government pricing" (i.e. overcharging the government like almost all defense contractors do) $10M is a drop in the bucket for all the overseas ammo makers who make 7.62x39mm ammo...

[okie shooter]

I suspect that with "special government pricing" (i.e. overcharging the government like almost all defense contractors do) $10M is a drop in the bucket for all the overseas ammo makers who make 7.62x39mm ammo...
ATK is the operator of the GOCO plant at Independance Missouri, called Lake City, thus its not what you are saying, they will make the ammo on goverment owned eqipment, at some fixed rates, as there is a operateing agreement between the gov and ATK. I had to take classes on goverment oversite of contracts. unless there is malfesance what everyone discribes aint there, especally in the case of Lake CIty, and how much ammo they make now hasent been seen since vietnam.

[Allwater]

...then inspected and packaged state-side... how odd???


Alliant is huge - operations in 24 states - check the stats at end of this article :

http://www.reuters.com/article/idUSN3020429020100930

[cwo4uscgret]

Okie - among other things, I am a retired Government Contracting Officer...

I based my comment about them buying, inspecting, and then reshipping ammo from the article.

[okie shooter]

Well we do lots of this sort of thing where I work on most of the us made ammos out there. We have repacked and renovated everything from 223 to 8000 lb penetrators. It does cost a good chunk of change to mobilize the materials, set up the building, get the folks there, pull the ammo out of storage, unpack, inspect and repack with new packaging then place it back into storage. Remember the folks doing this get paid far more than mininum wage, working under goverment contract, they get a bennifit package and or fringe pay.

As for lots of stuff we get here, its mostly surplus that we think of being cheap. The goverment does pay amounts like what we think about new ammo for its, but with some buying in bulk and owning the machines its made on. The biggest reason for cheaper ammo we are seeing from europe, is the euro loseing ground on the dollar.

[jerrymrc]

Okie - among other things, I am a retired Government Contracting Officer...

I based my comment about them buying, inspecting, and then reshipping ammo from the article.

And your glad your out of that rat race I bet. Contracts will be one thing I will not miss when I retire in a few years. :America:

[cwo4uscgret]

And your glad your out of that rat race I bet. Contracts will be one thing I will not miss when I retire in a few years. :America:

Jerry, I am working harder now (shift work 6 days on, 2 days off, straight 8 hour shifts) then I ever had in my life. I've been with CBP on the Northern Border since 2/2004.