BAE Systems has received a $688 million Army contract to begin production of artillery vehicles.

The contract will pay for a significant upgrade of the M109A6 Paladin Self-Propelled Howitzer, according to a press release.

Work will begin immediately in West Manchester Township, and the first vehicle will be delivered in mid-2015. Vehicle production will also take place in Elgin, Okla., according to the release.

Upon completion, the Army combat vehicles will have a new chassis, engine, transmission, suspension, steering system and improved survivability, according to the release.