KVH was reference in the Providence, RI Journal last week, but the article was never posted. Here it is.
Made here for over there
Companies' inventions supplying military
04/03/2003
BY ANDREA L. STAPE
Journal Staff Writer
Kenyon Industries' fabric makes U.S. Marines in Iraq almost invisible.
The Charlestown company dyes and treats the woodland camouflage fabric used to make Marines' backpacks. Kenyon developed the material to ensure that the packs would be undetectable by night-vision goggles.
The black, brown, tan and green pattern Kenyon created makes the "Modular Lightweight Loadbearing Equipment" -- or packs -- blend in with their uniforms and their surroundings at night.
"The actual color of the print has to be invisible to night-vision goggles," said Joanne Bagley, president of the 350-person manufacturer. The material is also coated with weatherproofing and can withstand about 20 physical performance tests. "The military said what they wanted, and we were the first to achieve a higher level (of invisibility and performance)," she said.
Kenyon is one of a handful of small local manufacturers using the U.S. military as a key part of their survival strategy. With commercial buyers looking overseas for less expensive manufactured goods, more Rhode Island manufacturers have turned to the military as a revenue source. Now, a number of them are benefiting from the military relationships as the war in Iraq increases government demand for all types of materials -- from fabric and high-tech navigation equipment to hydraulics.
"The manufacturers that have survived in Rhode Island, and that have played a more active role (in this war) than in the past, is (because) they have found niches in the Department of Defense to provide services," said Edward Mazze, dean of the College of Business Administration at the University of Rhode Island.
Several years ago, Kenyon, a fabric manufacturer, focused specifically on increasing defense contracts to make up for business lost to imports. Kenyon now makes fabric for military duffel bags, tent floors and backpacks. About 25 percent to 30 percent of Kenyon's revenue comes from military contracts.
Since the war with Iraq started, employees at Kenyon have been working seven days a week, said Bagley, to get fabric -- especially for duffel bags -- out the door.
KVH Industries in Middletown is another example of a local manufacturer seeing increased revenue from a relationship with the military. The company has been making satellite-based navigation equipment for military vehicles -- such as Humvees and tanks -- for years. But after the Sept. 11 terrorist attacks on the United States, militaries around the world started bulking up and sales of KVH's defense-related equipment rose 114 percent in 2002. About 40 percent of KVH's revenue last year came from military contracts and defense sales helped push the company into the black.
In September, KVH announced a contract worth up to $10 million to supply the U.S. Army's Special Operations Forces with tactical navigation products. The company also sealed a $1.6-million contract with the British army to upgrade its satellite navigation equipment.
And now, a careful look at images from Iraq reveals KVH's satellite systems on U.S. tanks.
"(KVH's products) can provide that (location) information regardless of the weather," said Chris Watson, a spokesman for the 240-person KVH. "It's very hard to see what you're doing or where you are going -- but U.S. forces are still maneuvering so they need to have navigation on board."
KVH is also putting its fiber-optics into precise navigation units that can be used to guide smart bombs, said Watson. KVH is working with L3 Communications on the units and plans to start selling them to the government this year.
Targeting the federal government as a customer is something large Rhode Island technology manufacturers such as Textron, Electric Boat and Raytheon have done for years. But now, small businesses are regularly winning contracts, said Mazze. The government has set up specific programs to target small and minority businesses for both military and homeland defense contracts, he said.
"It's easier to do business with the government now than it used to be. There are more opportunities set aside (for them)," said Mazze. "The government represents a much bigger customer today that it did before -- they require more products and services.
"There's going to be an increasing role for companies in Rhode Island to provide important products and services to the military and the government," he said.
It's something the Droitcour Co. has seen first hand. The Warwick manufacturer makes hydraulic release valves for Bradley Fighting Vehicles, C-130 transport planes and nuclear submarines. And the company saw demand from the government increase last year, according to Mike Droitcour, president of the 75-person company. Droitcour's release valves are being used in the war against Iraq.
The government makes up 10 percent of Droitcour's $8 million to $10 million in annual revenue, and the company ships the government more than 1,000 valves a year, said Droitcour.
"They've been a good customer, they haven't given us any difficulty for the fact that we are so small," he said. The company, which also makes hydraulics for private industry, has been contracting for the government for years, said Droitcour.
"It's a fairly reliable business," he said.
Neither the Rhode Island Manufacturing Association nor the National Association of Manufacturers has a clear idea of exactly how many Rhode Island manufacturers have made products the military is using in Iraq. But spokesmen from both trade groups say defense contracts have definitely picked up for Rhode Island's small to mid-sized manufacturers.
Kenyon's products may be some of the most visible examples of Rhode Island manufacturers' relationship with the military.
In addition to fabric for packs and ponchos, the company makes high-performance trousers and parkas, tent shelter fabric, uniforms, the outer covering for bullet-proof vests and the fluorescent markers that are used to identify friendly troops.
While the government has prohibited Bagley from talking about types of orders, yards of cloth shipped or sales figures, she did say, "All I can tell you is that we are busy." |
