The folks at Federal are closing out the year with the announcement of two separate multi-million dollar ammo contracts for the U.S. Department of Homeland Security (DHS), as well as the U.S. Navy.
The combined dollar amount for both 5-year contracts is $116 million. The plan is for Federal to start ammunition fulfillment beginning in 2019.
The DHS contract will provide up to $75 million of .223 Rem. duty ammo to the U.S. Immigration and Customs Enforcement (ICE). Over 20,000 ICE employees enforce federal laws regarding the border, immigration and customs. The multi-agency contract will provide agents and officers with Federal ammo for both duty and training purposes.
The 5-year indefinite delivery, indefinite quantity contract Federal was awarded from the U.S. Naval Surface Warfare Center, Crane Division is to the tune of $41 million. The contract is for "MK318 Mod 0 cartridge, caliber 5.56mm ball, carbine, barrier" rounds, which use a 62-grain open tip match lead free bullet. This projectile provides excellent terminal performance, especially when penetrating barriers like doors and windshields. This round is is compatible with current 5.56mm firearms systems. Both Navy and Marine Corps units will be using it.
A pioneering ammunition manufacturer headquartered in Anoka, MN, Federal has been in the business of making ammo since 1922. Read our in-depth review of Federal's Syntech Action Pistol ammo, the official ammunition of the United States Practical Shooting Association.