ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SATURDAY, March 24, 1990                   TAG: 9003242406
SECTION: BUSINESS                    PAGE: A5   EDITION: METRO 
SOURCE: RON BROWN STAFF WRITER
DATELINE:                                 LENGTH: Medium


ARMY'S NEW CONTRACT WITH ITT CALLS FOR LESS;

Officials at ITT Electro-Optical Products Division in Roanoke County said Friday that they will have to find new markets to keep pace with 1989 and 1990 business levels, despite a new $164 million contract it was awarded Friday by the Army.

The new contract represents 60 percent of the Army's total requirements for Generation III night vision devices and is the maximum award possible from the current procurement, according to the company.

ITT will be supplying 5,000 Aviator's Night Vision Imaging System units, 18,000 AN/PVS-7 units for ground troops, and 13,000 spare image intensifier tubes.

The contract will run from 1990 to 1993, and it represents a continuation of a current contract the Army has with the company.

Richard B. Lewis, president and general manager of the local ITT plant, said the company has produced about 30,000 night-vision units per year for the Army in 1989 and 1990.

The new contract calls on the company to produce about 20,000 units per year.

Lewis said the reduced units in the new contract reflect that the Army is beginning to fulfill its need for the night vision equipment.

He expects the company to market the equipment to other potential customers, including law enforcement agencies, maritime navigators and foreign consumers.

"The new contract gives us a base from which to operate," Lewis said. "We do not expect any expansion or increase in employment. We hope we can maintain a constant level of employment."

ITT Electro-Optical Products Division, a unit of Arlington-based ITT Defense, is the world's leading manufacturer of third-generation night vision devices, which were crucial in the successful invasion of Panama by U.S. troops.

ITT Defense is a leading supplier of high-technology electronic defense and surveillance equipment.



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