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LONDON, Nov 1 (Reuters) - Britain's BAE Systems will bid this week for the first stage of a 4 billion pound ($6.6 billion) contract to build armored reconnaissance vehicles for the British army, the company said on Sunday. The bid, due by Thursday, will be for the 2-billion-pound first phase of the Future Rapid Effect System - Specialist Vehicles (FRES SV) program. BAE said the Scout variant aims to create a replacement for the aging Scimitar scout vehicle -- vulnerable to roadside bombs -- with better protection and firepower. A decision from the UK Ministry of Defence is expected in the first quarter of next year. "The BAE Systems contender for all the variants is based on the latest version of its proven CV90 chassis, sold to six countries and recognized as the best combat vehicle in its class," the group said. Winning the deal could help BAE secure jobs at home. BAE said the chassis would be built at its existing production line in Sweden, but the elements would be completed in Britain: "The CV90 chassis has a mature supply chain, most of it already in the UK, and BAE Systems plans to increase UK content." The bid is expected to pit BAE against U.S. rival General Dynamics Corp. ($1=.6041 Pound) (Reporting by Clara Ferreira-Marques, editing by Maureen Bavdek) Keywords: BAE CONTRACT/ (clara.ferreira-marques@reuters.com; +44 207 542 3214; Reuters Messaging: rm://clara.ferreira-marques.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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