3M Co., one of the world's biggest makers of body armor for the military, says it will shut down the business after the U.S. Army delayed funding for a key contract.
Finance & Commerce reports that Maplewood-based 3M, in a letter to members of Congress, said that it was preparing to wind down production of body armor, as well as boron carbide chemicals used in both armor for soldiers and armor plating for military vehicles. In the letter, 3M (NYSE: MMM) said it had already laid off 50 workers at a plant in Kentucky and another 40 in California.
The issue stems from a move by the U.S. Army to shift $80 million in funding next year for researchers to pursue a lighter-weight version of the technology; the Department of Defense showed off prototypes of that armor in May. 3M is involved in that project, too, but says that the Army's move leaves it without any revenue to fund its businesses this year. "
The issue stems from a move by the U.S. Army to shift $80 million in funding next year for researchers to pursue a lighter-weight version of the technology; the Department of Defense showed off prototypes of that armor in May. 3M is involved in that project, too, but says that the Army's move leaves it without any revenue to fund its businesses this year. "
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