Lockheed Martin is to begin competitions to select Canadian companies to support the C-130J in-country after last week signing a $1.4 billion contract to supply 17 tactical transports to the Canadian Forces.
Deliveries of the stretched C-130J-30s are to begin in late 2010. A contract to provide 20 years of in-service support is due to be signed in 2009 and is expected to be worth about $3.5 billion.
Under its contract, Lockheed is required to conduct a series of competitions to select Canadian companies to provide in-service support capability. The Canadian government says the contractor is required to spend 75% of the total in-service support cost in Canada as direct industrial regional benefits.
The C-130Js are the second of three new airlift procurements announced by the Ottawa government in 2006. Boeing was awarded an $869 million contract for four C-17 strategic airlifters in February 2007 and a contract for Boeing CH-47F medium/heavy-lift helicopters is due to be signed by year-end.
Source: Flight International
