STEWART PENNEY / LONDON
But new government closes contest to fresh candidates after a series of delays
The Polish government is to restart negotiations from 21 January with manufacturers in its fighter competition. It is expected to select a winner by the end of the third quarter.
Meanwhile, Hungary's contract signature for a Saab/BAE Systems Gripen lease has led to a series of offset deals, while the Czech Republic's selection of the same aircraft means BAE is poised to begin due diligence on Aero Vodochody, before possibly taking a stake in the Czech company.
Poland's fighter competition has suffered a series of delays, the most recent following a change of government in October. The air force is considering the Dassault Mirage 2000-5Mk2 and the Lockheed Martin F-16 as well as the Gripen.
Germany is understood to have offered its RSKMiG-29Fulcrums - the type is already in Polish service - as part of a deal including Leopard 2A4 main-battle tanks. Industry sources say the defence ministry has informed the original contenders that the competition will not be opened to new bidders. It is believed Germany has offered the same aircraft to Austria for its 30-fighter requirement.
Poland's formal request is for 16 leased fighters to be delivered from the end of next year, and 44 new aircraft by the end of 2006. Last week, however, the defence ministry said any deal could now be for only 48 new aircraft.
Meanwhile, BAE says it is awaiting approval to start due diligence at Aero, and that it wants the process to proceed alongside contract negotiations with the Czech government, which started last week.
The company says, however, that the shareholders are awaiting a parliamentary vote on the Gripen deal, which is due before the middle of next month.
Aero is owned by Boeing and the Czech government, with BAE expected to take over a significant proportion of the latter's 65% holding. Informal work placement talks with Aero have already started.
Also in Eastern Europe, Saab/BAE has signed its offset agreement with Hungary linked to its 10-year lease of 12 single-seat and two twin-seat Gripens. The company says it is in talks with 40 companies but has already signed pre-offset deals worth $661 million.
The deal with the Swedish government also gives Hungary the option of buying the aircraft and support equipment at the end of the lease.
The Swedish air force will provide operational and tactical training for 15 pilots, 32 maintenance technicians and five fighter controllers. It will also supply maintenance equipment, and pool spares with the Hungarian air force.
Source: Flight International
