(Europa) British Army

[Schneemann]

General Dynamics beats BAE to win UK tank-making deal

US defence firm General Dynamics has won a contract to build a new light tank for the British army.

The firm, which plans to manufacture most of the new tank in the UK, beat rival bidder BAE Systems - where 500 jobs will now be lost. The news is a blow for BAE's factory in Newcastle, which was earmarked to build the company's tank. General Dynamics claims that the contract will safeguard or create 10,500 jobs in the UK.

Link: <!-- m --><a class="postlink" href="http://news.bbc.co.uk/2/hi/business/8580266.stm">http://news.bbc.co.uk/2/hi/business/8580266.stm</a><!-- m -->

Schneemann.