The European nations planning to develop the Airbus Military Company (AMC)A400M tactical transport failed to sign a contract as planned last week.
This was allegedly because German defence minister Rudolf Scharping's needed to attend a parliamentary vote of confidence in Berlin.
AMC and the European arms procurement agency OCCAR planned to conclude the contract in Berlin on 16 November. OCCAR is empowered to contract for the A400M on behalf of Belgium, France, Germany, Luxembourg, Spain, Portugal, Turkey and the UK.
Italy's defence ministry has withdrawn, although a battle continues with other government departments trying to overturn the decision.
German sources say the defence ministry continues to try and substantially reduce the cost of the programme. Developing and building 196 A400Ms will cost around $16 billion and Germany has committed to the largest off-take, 73 aircraft, although many suspect this number has more to do with workshare than airlift needs.
AMC says it has agreed a deal with OCCAR which is "initialled and just waiting to be signed". One industry source says Germany, like other A400M participants, "is not in a position to negotiate individually", having handed OCCAR the task.
AMC and the defence ministries say they always intended to finalise the deal by the end of this year. The next most likely date appears to be a NATO ministerial meeting on 6 December, although the actual date is likely to be set at a A400M policy group meeting scheduled for this week.
Source: Flight International
