The long-expected follow-on order from Saudi Arabia for Eurofighter Typhoons has still not materialized, but in its half-yearly report BAE Systems revealed that it expects to receive orders worth about $2.2 billion to upgrade Saudi aircraft. Earlier this year, a protracted renegotiation of the original “Al Salam” deal for 72 aircraft was finally concluded.
Al-Yamamah arms deal
BAE Systems has been awarded a contract extension that will see it continue to support the RAF’s Tornado GR.Mk 4 fleet until the type’s planned retirement in 2019. BAE has been supporting the aircraft through the ATTAC (availability transformation: Tornado aircraft contract) program since 2006, but the initial 10-year period was due to expire in 2016. The new extension adds three years and approximately £125 million ($210 million) to the deal.
Saudi Arabia and Great Britain have still not agreed to terms for a resumption of Eurofighter Typhoon deliveries. Twenty-four aircraft are operational in the Middle East kingdom, out of the total 72 agreed in the Al-Salam deal. Construction of numbers 25 upward began in 2009, but instead of proceeding to the final assembly line, the subassemblies were placed in storage at BAE’s Warton factory. When they were eventually moved into final assembly last year, it seemed that an agreement was close.