Pentagon OKs over $10 bln in arms sales for Iraq

WASHINGTON, Aug 1 (Reuters) - The U.S. Department of Defense approved up to $10.7 billion in arms sales for Iraq over the past week, including a $2.16 billion sale of M1A1 Abrams tanks built by General Dynamics Corp (GD.N: Quote, Profile, Research).

The proposed tank sale would also include some equipment built by Honeywell International Inc (HON.N: Quote, Profile, Research) and General Motors Corp (GM.N: Quote, Profile, Research), the Pentagon's Defense Security Cooperation Agency, which oversees foreign arms sales, said in a notice to Congress dated July 31 but posted on its website on Friday.

Lawmakers have 30 days to block the sales from the day they are notified, but such action is rare since big weapons sales are carefully vetted before being publicly announced.

All six proposed arms deals with Iraq are aimed at pumping up Iraq's armed forces as the U.S. military prepares to begin drawing down its troops in the country.

"This proposed sale would advance Iraq's effort to develop a strong, well-equipped, trained and dedicated military force, to establish security and stability throughout Iraq, and to promote the stability and development of a friendly, democratic central government," the agency said in a statement.

On Thursday, the DSCA had announced the proposed sale of up to $2.4 billion worth of helicopters, missiles, rockets and other related equipment and services to Iraq.

The principal contractors for the helicopter sale would be Boeing Co (BA.N: Quote, Profile, Research) or Textron Inc's (TXT.N: Quote, Profile, Research) Bell Helicopter unit, it said.

The package of arms deals also includes:

-- up to $3 billion in light armored vehicles and associated equipment, with principal contractors including General Dynamics, Raytheon Co (RTN.N: Quote, Profile, Research), BAE Systems Plc (BAES.L: Quote, Profile, Research) and Oshkosh Corp (OSK.N: Quote, Profile, Research).