Saudi Arabia inks $2.5-bn defence deal with BAE Systems
24 May 2012
British defence giant BAE Systems Plc has signed a $2.5-billion deal with the kingdom of Saudi Arabia for the supply of aircrew training equipment for the future preparation of the airmen of the Royal Saudi Air Force (RSAF).
The supply contract includes 22 new Hawk advanced trainer jet aircraft, 55 Pilatus PC-21 aircraft and other aircrew training equipment. Besides, BAE will provide a support package, including the provision of spare parts, technical publications and post design support, BAE said in a statement.
The contract will save the jobs of around 200 people at BAE's factories. Labour unions welcomed the deal but said the deal was already on the cards since last year and it makes no difference to the Brough site in Yorkshire.
"We've managed to save about 200 jobs at Brough, but still have a massive challenge to save the other 650. There are other BAE sites across the North West where workers are also frightened,'' Ian Waddell, trade union official of Unite said.
In March, BAE said it would slash 2,000 jobs due to cuts in defence spending in Europe, the US and other nations due to the global financial crisis. (See: BAE Systems to cut 2000 posts)
Guy Griffiths, BAE's group managing director international, said: "We have a long history in the kingdom of Saudi Arabia and, working with Pilatus, we will provide the RSAF with the best training platforms to meet their requirements.''
"Through the Hawk advanced jet trainer, the trainee fast jet pilots will have access to the very latest in advanced simulation for radar, weapons and defensive aids training to enable a smooth transition to frontline aircraft, including Typhoon."
