BAE Systems wins Saudi Arabia contract to service Typhoon fighter planes

Discussion in 'West Asia & Africa' started by ejazr, Oct 13, 2009.

  1. ejazr

    ejazr Stars and Ambassadors Stars and Ambassadors

    Oct 8, 2009
    Likes Received:
    Hyderabad and Sydney
    BAE Systems wins Saudi Arabia contract to service Typhoon fighter planes - Telegraph

    The deal could be worth more than £500m, according to industry sources.

    Saudi pilots and aircraft technicians will be trained in the UK as part of the contract. The Gulf nation took delivery of the first of 72 Typhoon jets this summer.

    A previous deal to sell fighters and other weapons to Saudi Arabia by the UK was the subject of a SFO investigation which was controversially dropped in 2006 after political pressure from both the Saudi and UK governments. The so called Al Yamamah deal was worth £43bn to BAE.

    The SFO is now pursuing BAE over allegations of corruption in Africa and Eastern Europe, and is in the process of putting together its case to take to the Attorney General after failing to agree a plea bargain with the weapons manufacturer. The Attorney General has the final say on whether a case will be prosecuted.

    BAE has said it is spending "considerable effort" to resolve the case as soon as possible.

    BAE is focusing on winning support contracts alongside orders for new equipment, as defence budgets in both the UK and the US come under pressure.

    The company won contracts worth more than £1bn to service Typhoon and Harrier jets for the RAF earlier this year.

    BAE will also have a share of maintenance work on the F35 joint strike fighter, which is ramping up production over the coming years.

    BAE Systems builds the Eurofighter Typhoon at its site in Warton in Lancashire, in partnership with three other European countries - Germany, Spain and Italy. EADS and Finmeccanica are the other defence manufacturers working on the plane.

    The consortium is chasing export orders now that the first phase of the final tranche of orders from the partner nations has been agreed on. Japan, India and Switzerland are among the countries where the companies hope to win orders.

    BAE is also aiming to win further plane orders from Saudi Arabia.

Share This Page