The U.S. Navy awarded a contract to BAE Systems valued at $400 million over five years to maintain T-34, T-44 and T-6 training aircraft. BAE’s Aerospace Solutions business, based in Fort Walton Beach, Fla., will perform scheduled inspections, repairs, modifications and logistical support of more than 300 aircraft operated by the Chief of Naval Air Training.
BAE Systems announced a contract from Oman on Friday for 12 Eurofighter Typhoon fighters and eight Hawk advanced jet trainers (AJTs). Deliveries are expected to begin in 2017.
The French and German governments have agreed to reduce their shareholdings in EADS to 12 percent each, and drop their veto rights over key decisions. Spain will hold 4 percent. EADS said the pact will normalize and simplify its governance, while still allowing the three countries “to protect their legitimate strategic interests.”
Europe’s first unmanned combat air vehicle (UCAV) has flown. The Neuron technology demonstrator took off from the Dassault test base at Istres, France, at dawn on December 1. Dassault is the prime contractor, teamed with Alenia Aermacchi (Italy); EADS-CASA (Spain); Hellenic Aerospace Industries (Greece); Ruag (Switzerland); Saab (Sweden) and Thales (France).
The proposed 60-40 merger of EADS and BAE Systems was called off after management in both companies miscalculated the reaction of governments and shareholders. Paris and Berlin proved unwilling to give up their stakes in EADS, or reduce them to a degree that was acceptable to the two merging companies, to London, and (perhaps) to Washington.
Senior officials from EADS and BAE Systems are hastening to secure agreement for their proposed 60-40 merger from key governments, after the premature leaking of the deal. They must specify full details by October 10, to satisfy UK stock market rules.
EADS Cassidian reports positive results from a third flight-test campaign conducted recently from Goose Bay, Canada, with the second prototype Barracuda UAV. Five flights during June and July each lasted up to one hour and proved various new mission modes, including autonomous 4-D navigation and cooperative flying with a second UAV. Unlike the previous two campaigns in 2009 and 2010, the latest flights were funded entirely by the company.
At first glance, the proposed merger between EADS and BAE should not pose problems for competition regulators on either side of the Atlantic, from a defense perspective. There is very little overlap between the businesses. “It’s a great strategic fit,” one EADS official told AIN. However, that may not stop companies such as Finmeccanica or Thales from raising questions about the consolidation of first-tier defense contractors in Europe.
On the day after the merger talks between EADS and BAE Systems became public this week, the French and German governments signed a cooperation agreement on future medium-altitude long-endurance (MALE) UAVs. The two nations will develop a common operational requirement, and may also jointly operate an interim solution. Both countries currently fly the Israeli Heron 1 system in Afghanistan, but their respective air forces have been pressing for a replacement.
The ILA Berlin airshow, held this week on a new site at Schonefeld Airport, remains largely a regional event driven by German industry and government requirements. News of the merger talks between EADS and BAE Systems broke halfway through the event, although not by design, a senior EADS official told AIN. But there was other important defense news announced or discussed at the show.