Fidelity Technologies Corporation, a Reading-based defense contractor, has secured a five-year contract valued at approximately $176 million with the U.S. Army to construct power generators, company officials announced today.

The contract with Project Manager-Mobile Electric Power (PM-MEP), based in Fort Belvoir, VA, covers production through July 2017 of 3 kilowatt Tactical Quiet Generator sets (3kW TQG). The 3kW TQG is a rugged, self-contained, portable generator designed for peak military performance in any global environment. The light-weight, diesel fueled generators have radically improved survivability, mobility, reliability and maintainability, providing a source of safe, basic power to the warfighter.

The first delivery order will produce 20 units that will undergo rigorous testing at Fidelity’s Exeter, PA manufacturing facility, plus initial production units. Production will continue at a rate of up to 245 generators per month.

“To meet production demands, we anticipate creating as many as 40 new manufacturing and technician jobs, as well as 10-15 administrative positions,” said Fidelity President David Gulati. “This contract aligns perfectly with our Military and Aerospace Manufacturing Division’s strategic plan to expand market share in the military mobile electric power space.”

Since July 2008, Fidelity has manufactured man-portable power distribution equipment and cable assemblies for the U.S. Army. The addition of the lightweight, portable 3kW TQG increases Fidelity’s capabilities as a supplier of military power distribution equipment.

“Our team has certainly proven to be a supplier of quality mobile electric power equipment – reliable, on time and competitively priced,” said Bob Lesko, General Manager of Fidelity’s Military & Aerospace Manufacturing Division. “This contract allows us to build on past success and open more doors within the military mobile electric power market.”