Justin Joseph
SENIOR MEMBER
- Joined
- Mar 4, 2010
- Messages
- 2,216
- Reaction score
- 0
Malaysia revives Eurocopter deal
KUALA LUMPUR, Malaysia, April 23 (UPI) -- Malaysia is set to purchase 12 military helicopters from Eurocopter in a $500 million deal that has been revived after plans to scrap the deal two years ago.
The decision to replenish the country's helicopter fleet was taken after a fatal 2007 crash in which six Malaysian military personnel were killed.
A subsequent tender led to a deal with the French Eurocopter company. But in 2008 the sale of the 12 Cougar EC725 helicopters was shelved as part of cost-cutting measures imposed by the government in response to the global financial crisis.
The Defense News Web site reported that the deal was revived as part of a $3.2 billion deal between Malaysian officials and Eurocopter on the sidelines of a major defense exhibition in Kuala Lumpur this week.
"We are expecting Eurocopter to deliver the first helicopter in 2012," Defense News quoted a Malaysian defense ministry official, speaking on condition of anonymity, a saying.
The deal still awaits approval from the prime minister's Cabinet, which was expected to meet Friday.
"It's a global contract package which, by the way, still has to be signed," said Eurocopter Senior Executive Vice President Philippe Harache. " The Cabinet meeting this Friday should definitely confirm what has been announced detailing the various aspects of this contract."
Part of the deal includes a purchase of 233 armored personnel carriers and support vehicles worth $2.5 billion.
The military equipment will be purchased from DRB-Hicom Defense Technologies Sdn Bhd, a Malaysian company that is still developing the hardware, The Straits Times reported, citing anonymous sources.
Eurocopter is world's biggest helicopter maker, accounting for 30 percent of the global helicopter fleet. It is the helicopter unit of aerospace giant European Aeronautic Defense and Space Co.
Eurocopter won the contract with the intent of replacing Malaysia's fleet of 28 military U.S.-made Sikorsky transport helicopters, renamed Nuri after their procurement in the late 1960s.
The latest deal, though, has drawn strong political debate, with the opposition claiming that the contract was marred by irregularities and that the price was too high. However, a congressional probe produced no proof of any wrongdoing.
"We are not going to phase out the existing Nuri fleet; we are going to keep about 20 of them and upgrade them so they can be used by the air force and army," Defense News reported, citing the anonymous defense ministry official.
Malaysia has joined a growing list of government customers for the EC725, which includes Brazil, Mexico and France.
Malaysia revives Eurocopter deal - UPI.com
KUALA LUMPUR, Malaysia, April 23 (UPI) -- Malaysia is set to purchase 12 military helicopters from Eurocopter in a $500 million deal that has been revived after plans to scrap the deal two years ago.
The decision to replenish the country's helicopter fleet was taken after a fatal 2007 crash in which six Malaysian military personnel were killed.
A subsequent tender led to a deal with the French Eurocopter company. But in 2008 the sale of the 12 Cougar EC725 helicopters was shelved as part of cost-cutting measures imposed by the government in response to the global financial crisis.
The Defense News Web site reported that the deal was revived as part of a $3.2 billion deal between Malaysian officials and Eurocopter on the sidelines of a major defense exhibition in Kuala Lumpur this week.
"We are expecting Eurocopter to deliver the first helicopter in 2012," Defense News quoted a Malaysian defense ministry official, speaking on condition of anonymity, a saying.
The deal still awaits approval from the prime minister's Cabinet, which was expected to meet Friday.
"It's a global contract package which, by the way, still has to be signed," said Eurocopter Senior Executive Vice President Philippe Harache. " The Cabinet meeting this Friday should definitely confirm what has been announced detailing the various aspects of this contract."
Part of the deal includes a purchase of 233 armored personnel carriers and support vehicles worth $2.5 billion.
The military equipment will be purchased from DRB-Hicom Defense Technologies Sdn Bhd, a Malaysian company that is still developing the hardware, The Straits Times reported, citing anonymous sources.
Eurocopter is world's biggest helicopter maker, accounting for 30 percent of the global helicopter fleet. It is the helicopter unit of aerospace giant European Aeronautic Defense and Space Co.
Eurocopter won the contract with the intent of replacing Malaysia's fleet of 28 military U.S.-made Sikorsky transport helicopters, renamed Nuri after their procurement in the late 1960s.
The latest deal, though, has drawn strong political debate, with the opposition claiming that the contract was marred by irregularities and that the price was too high. However, a congressional probe produced no proof of any wrongdoing.
"We are not going to phase out the existing Nuri fleet; we are going to keep about 20 of them and upgrade them so they can be used by the air force and army," Defense News reported, citing the anonymous defense ministry official.
Malaysia has joined a growing list of government customers for the EC725, which includes Brazil, Mexico and France.
Malaysia revives Eurocopter deal - UPI.com
