Boeing and Northrop Grumman hope Turkey will give the final endorsement this month to proceed with its previously announced order for four 737 AEW&Cs. The contract, worth more than $1 billion, was signed in June, but has yet to take effect. The US government has already given the deal its approval, and an offset agreement is in place covering industrial involvement by six Turkish subcontractors. The first 737 AEW&C is expected to be delivered 42-48 months after the contract becomes active.

The Turkish contract covers four 737AEW&Cs, plus options for two more, and a ground segment for crew training, mission support and system maintenance. Boeing will complete the first aircraft, while Turkish Aerospace Industries will modify the rest in- country. Systems and software house Havelsan will be involved, as will other local companies. Turkey will supply and integrate the electronic support measures system as well as communications equipment, and local industry will be involved in support of the aircraft.

Boeing has targeted Italy, South Korea, Spain and the United Arab Emirates (UAE) as potential customers for the 737 AEW&C. But South Korea has postponed its long-running E-X competition until 2005 because of budget pressures following its $4 billion order for 40 Boeing F-15Ks, and Italy and Spain are facing difficulties funding other air force programmes, including Eurofighter procurement.

The UAE, meanwhile, is considering buying five refurbished and upgraded Northrop Grumman E-2CHawkeyes to meet its long-standing AEW requirement, but Malaysia is believed to have ruled out the 737AEW&Con cost grounds, although Boeing is still hoping for an opportunity to provide the country with detailed data on the system (Flight International, 26 November-2 December).

Performing on the Australian Wedgetail contract is crucial if Boeing is to secure additional customers. Despite recording a $100 million charge against third-quarter earnings to cover an increase in the investment required to launch the 737 AEW&C, the company says the programme is on track. "We have met every milestone set out, and those milestones are ahead of our contractual dates," says Wedgetail deputy programme manager Ross Dessert.

The critical design review (CDR) for the airborne mission system is due this week. CDRs for the electronic support measures and electronic warfare self-protection systems are set for the second quarter of next year. Reviews include Boeing's plans for development and type-acceptance testing of the AEW&C system. Testing is to take place in the USA, with Australian involvement, using commercial and government facilities.

Source: Flight International