GM Up for $1.08-Billion Saudi Arms Order

General Motors Corp. is in line for a $1.08-billion order from Saudi Arabia’s National Guard to provide new components for more than 130 armored vehicles the Saudis already own, the U.S. Defense Department said. The Pentagon is acting as Saudi Arabia’s agent for this transaction, which will go through unless Congress unexpectedly rejects it, as required by U.S. foreign military sales regulations. The auto maker’s Canadian subsidiary would provide 130 new gun systems, 260 machine guns that can be used on the vehicles, and upgrade part of the vehicles’ suspension systems. The Saudi National Guard would also receive ammunition and training and maintenance services from U.S. government and company employees. Belgium’s Cockerill Mechanical Industries would serve as a subcontractor to General Motors for production of the weapons being produced for the Saudis. GM’s stock closed up $1.75 to $57.75 on the NYSE.