Saab has received a SKr1155m ($182.1m) order to provide ammunition for the Carl-Gustaf man-portable weapon system.
Under the contract, the company will produce anti-armour ammunition to the weapon system for an undisclosed customer.
The contract also includes an option for further orders of up to SKr500m ($77m), with deliveries in 2013.
The Carl-Gustaf system is a highly modern and capable ground support weapon and has undergone successive modernisation to meet new requirements for demanding customers.
Work will be performed at the company’s production unit in Karlskoga, Sweden, with deliveries expected to start in September 2011 and continue throughout 2012.