BAE Systems Investor Brief - February 2004
26 Feb 04
In this month's brief:
- JSF Budget and Schedule
- Astute key milestone achieved
- HMS Bulwark trials
- Type 45 progress
- LSD(A) update
- Award of Typhoon Training contract
- T-50 programme gathers pace
- Boeing selects Platform Solutions
- CNIR wins E-2 Hawkeye IFF Upgrade
- Sting Ray Mod 0 contract extension
INTERNATIONAL PARTNERSHIPS - AMS
GENERAL NEWS
Land & Sea renamed CS&S Naval
Following the recent integration of RO Defence into CS&S, the CS&S Land & Sea business unit has been renamed CS&S Naval and will focus on naval support activities.
NITEworks announces down-selection of Associates
NITEworks has now completed the first round of selecting Associate Partners to participate in the programme.
Thirty-three companies have been informed that they have been selected to provide a range of skills. For more information on the Alliance and Associate Partners, please visit www.niteworks.net.
MAJOR PROGRAMMES UPDATE
JSF Budget and Schedule
In early February, the US Department of Defense announced an increase of $7.5bn for the SDD (System Development and Demonstration) phase of the JSF programme through 2013.
The funding increase is due to an approximate one-year schedule extension to enable additional design work to be undertaken, incorporate all known risks, and a higher cost estimate.
Astute key milestone achieved
The first of nine key milestones set for the Submarines business in 2004 has been achieved on schedule. This was completion of the Main Propulsion Machinery Package for the first of the Astute submarine class.
HMS Bulwark trials
The accelerated programme to deliver second of class Landing Platform Dock HMS Bulwark four weeks ahead of programme is on target. Bulwark is now due to leave Barrow for sea trials on 30 May, with acceptance on 20 July - another key milestone for the business.
Type 45 progress
Seventeen out of 40 units for first of class Type 45 destroyer HMS Daring were in production at Scotstoun, Govan and Vosper Thornycroft by mid January.
LSD(A) update
Mounts Bay, the first BAE Systems ship in the LSD(A) programme now has approximately 80% of the engineering work complete. Work continues on the second ship.
CONTRACT AWARDS THIS MONTH
Award of Typhoon Training contract
The four-Nation Eurofighter Typhoon Customer (NETMA) has recently placed an order through Eurofighter GmbH onto BAE Systems for the provision of the Typhoon Training Contractorised In Service Support (CISS) Programme.
Under this programme, CS&S MASS will provide aircrew and technician training at the RAF Coningsby Typhoon Training Facility. Over its initial operating period up to September 2009, it will be worth over £29m to BAE Systems.
T-50 programme gathers pace
On 30 December 2003, the Republic of Korea government and Korean Aerospace Industry signed the contract for 94 ship sets of the T-50 supersonic jet trainer.
This has led to orders being placed with BAE Systems for a number of avionics sub-systems including Flight Control Computer, Identification Friend or Foe and Head up Displays. The value of the T-50 contracts is approximately $145m.
Boeing selects Platform Solutions
Boeing Integrated Defense Systems has selected Platform Solutions to develop the digital flight control computer for the newest version of the Chinook heavy-lift transport helicopter, the CH-47F.
The work is valued at about US$6 million and is expected to lead to production orders for 300 U.S. Army helicopters.
CNIR wins E-2 Hawkeye IFF Upgrade
BAE Systems CNIR business unit has been awarded a $30.4 million contract to upgrade the Identification Friend or Foe (IFF) system in the E-2 Advanced Hawkeye, currently in the System Development and Demonstration (SDD) phase.
The work includes new design and upgrades to the E-2’s existing IFF system, and will increase the U.S. Navy’s capability to network battlefield data and direct it in real time to decision makers.
Sting Ray Mod 0 contract extension
A £6m contract to continue In Service Support for a further two and a half years to Sting Ray Mod 0 was signed on 29 January.
The combined contract covers Post Design Services (PDS), Surveillance and Central Repair Facility repairs.
INTERNATIONAL PARTNERSHIPS - AMS
- AMS – Gematronik, the German subsidiary of AMS, has won a contract to supply weather radars to Italy. Six weather radars will be supplied to the Civil Protection Department and two weather radars will be supplied to the Italian Air Force.
- AMS has been awarded a contract to provide a major capability upgrade to the Army’s deployed personnel tracking system, AP3 (Ryan). The system tracks personnel in theatre and under medical care in the UK.
- The long association between AMS and the Royal Thai Air Force was further strengthened when AMS signed a further support contract for the Martello 743D radars.
