LYNN, Massachusetts - The U.S. Army has awarded a three-year, $196 million contract to a Honeywell-General Electric team to develop, produce and test 24 LV100-5 gas turbine engines for the Crusader self-propelled artillery system and as a retrofit engine for M1 Abrams main battle tanks. Revenues will be divided equally between Honeywell and GE Aircraft Engines (GEAE), a business unit of General Electric Company. In a second phase of the program, the Honeywell/GEAE team expects to produce 3,400 engines, with 2,700 to be integrated onto the Abrams in a retrofit program beginning in 2004 and 720 for the Crusaders beginning in 2005. The LV100 will provide continual and smooth power, rapid acceleration, quick starting even in cold climates, no visible exhaust and quiet running for the Army's ground units. It is also a lightweight engine, at 2,300 pounds, and only 51 inches in length, providing considerable space and weight savings. It can operate on all grades of jet fuel, diesel and gasoline and can be easily interchanged between the Crusader and Abrams vehicles. "The U.S. Army has very specific goals for reducing the operational and lifecycle costs of the Crusader and Abrams vehicles," said Russ Sparks, vice president and general manager of Military Engine Programs at GEAE. "GEAE and Honeywell are committed to this effort and are very excited about advancing ground vehicle technology through the LV100 gas turbine engine." The LV100-5 is derived from the LV100 core engine developed at GEAE's Lynn, Massachusetts, facility, and the AGT-1500, the Honeywell gas turbine engine, which has successfully powered some 9,000 Abrams tanks worldwide. The LV100-5 has 43% fewer parts than the AGT-1500, will reduce operations and support cost by a factor of three, and will increase Mean Time Between Failure (MTBF) by a factor of four. The system will be fully supported in the field by a worldwide Honeywell-GEAE repair and overhaul network.GEAE, with 1999 revenues of $10.6 billion, is headquartered near Cincinnati, Ohio. It is a world leader in the design, manufacture, and support of turbofan, turbojet, turboprop, and turboshaft engines for commercial and military aircraft, as well as aeroderivative engines for marine applications. Honeywell's Aerospace business, with sales of $10 billion, is headquartered in Phoenix, Arizona. It is a leading global provider of integrated avionics, engines, systems and service solutions for aircraft manufacturers, airlines, business and general aviation, military, space and airport operations.