The Puma's effective armor is far greater than any small arm could ever penetrate, but the unspecified "AT weapons" are deflected rather easily by the Kontakt-5 Explosive Reactive Armor.
The Pumas deploy a smoke screen from their revolving grenade launchers, allowing the 100 Fallschrimjager to pile out and begin firing through the smoke, thanks to their thermal monoculars. The FLIR optics on the Pumas allow them to shoot through the smoke as if it were clear as day.
The six ME-20s break off from the downed C-17, heading for the village.