Italy Gives Bombing Stats for Libya Campaign

ROME - In their first official breakdown of facts and figures about Italy's air campaign over Libya this year, officials said military aircraft deployed 710 guided bombs and missiles during sorties. Italian Air Force Tornados and AMX fighter bombers deployed 550 bombs and missiles, while Navy AV8s deployed 160 guided bombs, the officials said during an event at Trapani Air Base in Sicily to honor military personnel involved in the conflict.

The Air Force total included Storm Shadow missiles, which sources put at between 20 and 30, which were fired from Tornado IDS aircraft - the first time the Air Force has deployed the missile during operations. The success rate of the Storm Shadow was 97 percent, one official said.

Otherwise, the Air Force deployed Paveway and JDAM guided munitions. AMX bombers for the first time used Litening III targeting pods, while Tornado IDS aircraft used JDAM munitions operationally for the first time.

Although the Air Force used guided bombs in its Kosovo campaign, Libya marked its first "extensive" use of guided munitions, said Air Force chief Gen. Giuseppe Bernardis.

With up to 12 different aircraft flying missions on given days during the seven-month operation, the Air Force racked up 1,900 sorties and 7,300 flying hours using Tornado IDS and AMX aircraft for strike missions, Tornado ECR for air defense suppression, F-16s and Eurofighters for no-fly zone patrol, C-130J and 767 tanker aircraft for refueling, and the unarmed Reaper UAV for reconnaissance.

Patrol and air defense flights accounted for 38 percent of flying hours, surveillance and reconnaissance flights took up 23 percent, ground-attack missions made up 14 percent, air defense suppression flights took up 8 percent, refueling flights took up 8 percent, flights detecting electromagnetic emissions and undertaking electronic warfare were 4 percent, while "armed reconnaissance and attacks on targets of opportunity" took up 5 percent.

More than 340,000 high-resolution pictures were taken by Reccelite pods on Tornado and AMX aircraft while 250 hours of video was transmitted in real time by Reaper UAVs.

Eight Italian Navy AV8 Harrier jets, which enforced the no-fly zone over Libya and operated bombing missions, flew 1,221 hours from the carrier Garibaldi, while 30 ship-based helicopters, including the EH-101, SH-3D and AB-212 types, flew 1,921 hours as part of the operation.

The Air Force also rushed into service its new Boeing 767 tanker aircraft. A third aircraft was delivered in November and the final aircraft is expected in the first quarter of 2012.

Italian Navy statistics released about the campaign revealed that two submarines, the Todaro and the Gazzana, were involved in the NATO Unified Protector operation.

Switzerland Investigates Leaked Fighter Jet Report

GENEVA - Swiss prosecutors have launched a probe into a violation of official secrecy after reports related to the purchase of new fighter jets were leaked to the media, a judicial source said Dec. 2.

The federal prosecution office confirmed the launch of the investigation to AFP following reports in local dailies Tages-Anzeiger and Bund.

The probe concerns two classified reports by the Swiss air force that were critical of the Swedish Gripen aircraft, manufactured by Saab, and which were sent to another newspaper, the Basler Zeitung.

The reports were published just days before the Swiss government's decision on which type of combat aircraft to buy.

Despite the damaging reports, the Swiss government opted for the Gripen in the deal worth more than 3 billion Swiss francs (2.5 billion euros), over rival models the French Rafale and the Eurofighter.

Dassault Critiques Financial Logic of Gripen Pick

PARIS - Dassault criticized the financial logic of selecting the Saab Gripen after Switzerland selected the Swedish single-engine fighter jet over the competition rivals Eurofighter Typhoon and the French-built Rafale.

"The 'Swiss-tailored' Gripen only exists on paper. Its technical development and production risk significantly increasing the financial efforts required of the Swiss authorities to accomplish the country's fighter aircraft program," the Dassault-led Rafale International team said in a Nov. 30 statement.

The Rafale reaction came after Switzerland earlier announced it would buy 22 Gripen fighters to replace its fleet of F-5 Tigers.

A Rafale selection would have met the Swiss operational requirements with a smaller number of aircraft "at an equivalent or lower cost," the Rafale industrial team said. Those capabilities had been "demonstrated during the assessments by the Swiss Air Force," the statement said.

The Rafale team regretted that the Swiss authorities "knowingly decided not to position Switzerland at the highest European level as regards to the performance of the new fighter aircraft," the statement said, quoting the Swiss Federal Council.

Saab welcomed the Swiss selection of the Gripen.

"Given that Switzerland is known globally for applying (the) highest procurement standards and requesting state-of-the art technologies, Saab is both proud and delighted that Gripen has been chosen as the Swiss Air Force's future multirole fighter aircraft," Saab said in a statement.

"The Gripen program will create a long-term partnership between Switzerland and Sweden. Saab assures Switzerland a long-term strategic industrial co-operation aimed at creating sustainable high tech jobs, transferring technology and generating export business," the statement said.

The Rafale team said it had reached out to 250 Swiss companies to create a local industrial partnership in the 26 Swiss cantons.

The Swiss defeat follows a setback in the United Arab Emirates for the Rafale, with Dassault's bid described as "uncompetitive and unworkable," by the Abu Dhabi Crown Prince Sheikh Mohamed bin Zayed, who is also deputy supreme commander of the armed forces.

India May Choose Fighter Next Month: Report

NEW DELHI - India could decide by next month on a $12 billion fighter jet deal which France's Dassault and the Eurofighter consortium are vying for, the country's air force chief reportedly said Nov. 18.
Air Chief Marshal N.A.K. Browne said government officials were working on the shortlisted bids of Dassault and Eurofighter, which were opened Nov. 4.

"We are calculating very hard. There is a lot of work going on. I expect in another four weeks, we should be able to wrap it up," the Press Trust of India quoted Browne as telling reporters in the southern Indian city of Bangalore.
Officials say the name of the lowest bidder will be unveiled after experts assess the "life-cycle" maintenance costs of each plane and other contract details.
"By mid-December we should have very good sense of who has been selected," the Indian Air Force chief said without elaborating.
The contract is for the outright purchase of 18 combat aircraft by 2012, with another 108 to be built in India with options to acquire more.
India in April cut out U.S. bidders Boeing and Lockheed Martin, as well as dropping Sweden's Saab AB and the Russian makers of the MiG 35 from the race.
Such a large order attracted strong lobbying during visits to India last year by U.S. President Barack Obama, French President Nicolas Sarkozy, British Prime Minister David Cameron and Russian President Dmitry Medvedev.
India, the biggest importer of military hardware among emerging nations, issued the request for proposals in 2007 and trials of aircraft from the six companies competing for the deal began a year later

UAE Received Information on F/A-18, F-15

DUBAI - Boeing provided information earlier this year on its F/A-18 and F-15 combat aircraft to the United Arab Emirates (UAE) as part of the gulf state's "open fighter competition," said Dennis Muilenburg, president and CEO of Boeing Defense, Space & Security.
The data on the two fighter jets was supplied at the same time that Boeing supported government-to-government talks under the U.S. Foreign Military Sales regime, Muilenburg said.

"We're honored to have two great fighters to compete," Muilenburg told journalists at the Dubai Airshow here. "We've got hot production lines for both aircraft."
Boeing could provide cost and delivery certainty, and also ensure post-delivery logistical support for both aircraft, he said.
The Eurofighter consortium, meanwhile, confirmed in a statement that the U.K. responded to a UAE request for a briefing on the Typhoon fighter.
"The briefing took place on 17th October 2011," the statement said.
The U.K. then received a request for proposals for the supply of the Typhoon for the UAE Air Force.
"We are working hard to deliver a response," Eurofighter said.
The request for a Eurofighter bid came as a blow to the French government and industry, which have been hoping for a UAE contract for Dassault's Rafale fighter before the end of the year.
Lockheed Martin also has responded to the UAE's request for information on its F-16, which the U.S. company sees as a bridge to selling the F-35 Joint Strike Fighter to the gulf state.
Boeing hopes that moves aimed at boosting local UAE industry will help its fighter bid.
Boeing and Mubadala Aerospace, a unit of the Mubadala state-owned holding company, announced Nov. 14 they had agreed to two deals under a 2009 framework agreement to develop the UAE's civil and military aerospace industry.
Under the first deal, Boeing will establish local company Strata Manufacturing as a composite aerostructures supplier. Strata will be able to qualify as a tier 1 supplier to Boeing if it meets performance and competitiveness targets set in a so-called "strategic roadmap."
Secondly, the Advanced Military Maintenance Repair and Overhaul Center, a Mubadala Aerospace company, will work under a strategic agreement with Boeing Defense, Space & Security to provide support for military aircraft in the UAE, including Boeing-built Apache and Chinook helicopters and C-17 airlifters.
Boeing sees interest in the F/A-18 and F-15 in the gulf region, including Kuwait and Qatar.
A sale of F-15s to Saudi Arabia is under government-to-government discussion, after having sparked protest from Israel.

UAE Also Eyeing Typhoon in Combat Aircraft Competition

DUBAI - The United Arab Emirates (UAE) has asked Britain to bid the Eurofighter Typhoon for its combat aircraft fleet competition, a British government spokesman said, dealing a blow to French efforts to sell the Rafale to the Gulf state.
"We have received the request for proposal for the Eurofighter Typhoon," an official from the U.K. Defense & Security Organization said Nov. 13 on the opening day of the Dubai Airshow. "We're working on it."

No figures were immediately available for the British bid.
The U.K. Minister for International Security Strategy, Gerald Howarth, was attending the exhibition as part of London's official support to place the Eurofighter in the UAE.
The British Chief of the Air Staff, Sir Stephen Dalton, was also in Dubai, flying the flag for the Royal Air Force, which flew two Eurofighters to the show. A Eurofighter was scheduled to fly in the daily display, as was the Rafale.
Dassault Aviation declined comment.
French Air Force officers heard of the Eurofighter news on Nov. 11, through a London embassy attaché.
The UAE has been in talks with France since 2008 on a sale of 60 upgraded Rafales, but the negotiations suffered political upsets along the way and Gulf officials saw the initial $10 billion tag as excessive.
On the Rafale talks, French defense minister Gérard Longuet told journalists here "the final stage has been well engaged and a flick of the eyebrows could mean hundreds of millions of euros either way."
Each side was defending its interests, but the talks were essentially between the Rafale commercial team and the UAE, he said.
The UAE's request for a Eurofighter bid was a case of "livening up the procedure," Longuet said, adding he still expected the UAE would order the Rafale in December when the Gulf state celebrated its 40th anniversary of founding.
An important price element was the Rafale's multirole capability, which meant the same crew could perform air combat, reconnaissance and close air support missions, Longuet said. For a country with a small population, that was a big saving in crew costs.
On the UAE's Mirage 2000-9 fleet, any decision in an "innovative solution" was a decision at the state level as part of a strategic relationship, above that of the ministry or manufacturer, he said.
Some Mirage 2000-9 units were aging, others were more recent, he said.
In the official opening of the show, UAE Prime Minister Sheikh Muhammad Bin Rashid Al-Makhtum made the briefest of visits at the Rafale stand in his tour of the exhibition.
Lockheed Martin has been in talks with the UAE on F-16 upgrades, mainly communications, to allow the U.S.-built fighters to talk to the F-35, F-16 business development executive William Henry said here.
In an upgrade that took units out of service, Lockheed offered sales of new F-16s to allow operators to maintain force levels, he said.
Lockheed also has talked to the UAE about sales of the F-35, Henry said.
"As air forces look to the future, the F-35 is going to be a key element of their force planning," he said.
Lockheed sees potential sales of 50 to 100 F-16s around the world, Henry said. On top of 18 F-16s ordered by Iraq, 52 units are on the backlog.
Maj. Gen. Ibrahim Naser Al Alawi, deputy commander of the UAE Air Force and Air Defense, told an air chiefs conference Nov. 12 that, in a new generation combat aircraft, the air force was looking for network capability, open architecture and interoperability.
A future weapon system would be versatile, multirole, and capable of handing modular sensors and payloads, Al Alawi said.
Other elements of the future aircraft would include upgradeable and expandable hardware and software, and the plane would be fast, agile and easily serviceable, he said.
The systems should also draw on dual use military-civil technology and offer versatility.
MBDA Chief Executive Antoine Bouvier said the European missile company has not received a request from Eurofighter or the UAE to work on an offer of weapons for the Typhoon.
The UAE Air Force flew its F-16 and Mirage 2000-9 fighters in the NATO-led coalition operation over Libya. Qatar also flew alongside with French missions.
That deployment yielded many "firsts," including the UAE's first time flying as a non-NATO member in a coalition air campaign, Al Alawi said.
Among the lessons learned from Libya were the need for integration of non-NATO elements into the alliance procedures, need for a well thought out communications plan among partner nations and the importance of exchange liaison officers, Al Alawi said.
The UAE is still in talks with the French government and industry for the Rafale, a Gulf source said.
UAE foreign minister Abdullah Bin Zayed Al Nahyan recently held a first meeting with his counterpart Alain Juppé, who has been tasked by president Nicolas Sarokzy to lead the export drive for the Rafale.
The request for a Eurofighter bid is the latest setback for France's Rafale foreign sale campaign. UAE officials asked Lockheed for information on the F-16s, on which the Gulf state has invested in co-development on its Block 60 version.
The U.S government was also out in force at the show, displaying the V22 Osprey tilt-rotor aircraft for the first time here, as well the F-15, F-16 and F-18 fighters. The Apache attack helicopter was also at the show.
Bilateral ties between France and the UAE were back to normal after a hitting a low patch last year, when the Gulf state viewed the Paris government as ignoring its concerns.

India Unseals MMRCA Bids from Dassault, EADS

NEW DELHI - The Indian defense ministry unsealed bids by the final two competitors in the $10 billion Medium Multirole Combat Aircraft (MMRCA) competition, but a final decision is up to two months away.

Top, a German Air Force Eurofighter Typhoon performs a flight demonstration during Aero India 2009. Bottom, a French Air Force Dassault Rafale performs at Aero India 2011. Eurofighter and Dassault are both competing in India’s MMRCA competition. (File photos / Agence France-Presse)

The bids will be evaluated for lowest life-cycle cost.

"The lowest bidder will be announced after six to eight weeks," ministry spokesman Sitanshu Kar said.
The acquisition process is being kept secret to ensure transparency, said another ministry official.
Officials from neither Dassault, which is offering the Rafale, nor EADS, which is offering the Eurofighter, were available for comment.

India Set to Open Bids for 126 Fighter Jets

NEW DELHI - India was set to open rival bids Nov. 4 from France's Dassault and the Eurofighter consortium, which are competing over a multibillion-dollar contract to provide 126 fighter jets.
The deal to supply war planes to fast-developing India has been fiercely fought over for four years, and the opening of the bids will start the final phase of the decision-making process.

"Negotiations with the (two) firms will start after opening the bids on November 4," Air Marshal D. Kukreja said. "Whatever is beneficial to the country, we will choose."
India in April pulled a surprise by cutting out U.S. bidders Boeing and Lockheed Martin - much to Washington's disappointment - as well as dropping Sweden's Saab AB and the Russian makers of the MiG 35 from the race.
"The final outcome will not be known immediately except perhaps an indication of whom we may prefer," retired Gen. Afsir Karim, an expert on Indian arms procurement, said Nov. 3.
"A price negotiation committee will finally determine the winner," he said.
Dassault's Rafale plane and the Eurofighter Typhoon have both been in action over Libya in recent months during the international operation to enforce a no-fly zone and protect civilians from Moammar Gadhafi's forces.
James Hardy, Asia-Pacific editor of Jane's Defence Weekly, said the contract was "the single biggest competition in the global defense aviation industry at the moment."
"Both aircraft... are coming off successful performances as part of the NATO air campaign in Libya," he said. "Failure here would be a major blow after both made substantial investment in promoting their platforms in India."
A source for the French group, who declined to be identified, said last week that the decision "could be settled in one day or it could take months if the (price) gap is narrow."
Dassault's rival, Eurofighter, is produced by a consortium of Britain's BAE Systems, Italy's Finmeccanica and EADS.
The contract is for the outright purchase of 18 combat aircraft by 2012, with another 108 to be built in India with options to acquire more.
Such a large order attracted strong lobbying during visits to India last year by U.S. President Barack Obama, French President Nicolas Sarkozy, British Prime Minister David Cameron and Russian President Dmitry Medvedev.
India, the biggest importer of military hardware among emerging nations, issued the request for proposals in 2007 and trials of aircraft from the six companies competing for the deal began a year later.
The procurement of the fighter jets is a key part of India's military upgrade program, aimed at securing its borders against rivals Pakistan and China.

U.S. Ready To Sell F-35 to India: Pentagon

WASHINGTON - The U.S. would be prepared to sell India the new F-35 fighter jet, the Pentagon said Wednesday, after New Delhi rejected a U.S. offer of older aircraft in a major competition this year.
In a report to Congress on U.S. defense ties with India, the Pentagon said India was a vital partner and that Washington wanted to bolster security cooperation with New Delhi, including joint exercises and high-tech arms sales.

In the first round of a contest for a combat aircraft contract, India in April shortlisted France's Dassault and the European Eurofighter consortium while rejecting the U.S. offer of F-16 and F-18 jets.
"Despite this setback, we believe US aircraft, such as the Joint Strike Fighter (JSF), to be the best in the world," said the Pentagon report, referring to the radar-evading F-35 jet.
"Should India indicate interest in the JSF, the United States would be prepared to provide information on the JSF and its requirements ... to support India's future planning," it said.
Mindful of China's rise and growing military reach, President Barack Obama has placed a high priority on deepening ties with India.
The U.S.-India defense relationship has expanded rapidly over the past decade and the administration sees India as a natural partner and global "player," Robert Scher, deputy assistant secretary of defense for South and Southeast Asia, told reporters.
India has made no request for more information on the F-35, but the U.S. invitation was "an example of the high regard that we hold India's military modernization," Scher said.
In the April contest for a new multirole fighter for India, Rafale and the Eurofighter Typhoon beat out U.S. aerospace giants Boeing and Lockheed Martin, as well as Sweden's Saab AB and the Russian makers of the MiG 35.
The U.S. report noted that India is working with Russia on developing a fifth-generation fighter aircraft.
The Pentagon touts the F-35 Joint Strike Fighter as the premier fifth-generation fighter equipped with stealth technology, but the program faces rising costs, with a price tag of nearly $150 million each.
The two U.S. senators who asked the Defense Department for the report welcomed the document but said Washington needed to work to expand its security relationship with India.
"While the report shows that tremendous progress has been made in military-to-military relations over the past ten years, we believe that there is much more that can be done," Sen. Joe Lieberman, I-Conn., said in a statement.

India to Announce MMRCA Winner Next Month

NEW DELHI - India's $10 billion Medium Multirole Combat Aircraft (MMRCA) contest has entered its last stage, with the Indian Defence Ministry alerting the two competitors that the commercial bids will be opened Nov. 4.
Letters were sent Oct. 24 to France's Dassault Aviation and European company EADS, a ministry source here said. After the commercial bids are opened, the lowest bidder will be decided and price negotiations with the winner will begin.

The MMRCA program has picked up momentum in the Defence Ministry, and a contract is likely to be sealed by March 2012.
Based on flight trials of all the MMRCA competitors, the aircraft proposed by U.S. companies Lockheed Martin and Boeing, Sweden's Saab and Russia's MiG Aircraft were ejected from the race, leaving the Dassault Rafale, the Eurofighter Typhoon in the fray.
The Indian Defence Ministry floated its biggest global tender, worth $10 billion, for the acquisition of 126 MMRCAs in August 2007.
The Indian Air Force intends to replace its aging Russian-built MiG-21 fighter aircraft with the MMRCA because the Indian-designed and -built Light Combat Aircraft has been delayed by more than a decade.
Under the MMRCA proposal, India would buy 18 ready-to-fly fighters off the shelf and the remaining 108 would be built in India under technology transfer from the contract winner.

Thales, Dassault Sign India Mirage Upgrade Deal

PARIS - Thales and Dassault signed July 29 a modernization contract for Indian Air Force's Mirage 2000 fighter jet fleet, the electronics company said in a statement.

The deal was worth about 1 billion euros ($1.42 billion) for Thales, a company spokeswoman said.

Thales will supply the RDY-3 radar, navigation and attack equipment, and electronic countermeasures for India's 51 Mirage 2000 fighter aircraft. Dassault will supply a new onboard computer.

"The extensive involvement of Indian industry within the program will consolidate existing ties with the French aerospace industry and will reinforce long-term cooperation based on cutting edge technologies and the sharing of technical know-how and expertise," Thales said.

Separately, Dassault's Rafale has been shortlisted with the Eurofighter Typhoon for India's contract for 126 medium-range combat aircraft in a deal estimated to be worth $10 billion.

Industry Fronts Money for Typhoon Radar R&D

Industry is funding development of the Captor-E active electronically scanned array radar destined for the Eurofighter Typhoon because the four governments in the fighter program don't have the money available at this stage.
Selex Galileo chief executive Fabrizio Giuliani told reporters June 8 that members of the Euroradar consortium and Eurofighter would provide "pre-funding, not self-funding."

The Italian executive said that by the expected signing of a letter of intent backing the AESA program at the Paris Air Show later this month the governments of Britain, Germany, Italy and Spain are "committed to pay back Eurofighter and Euroradar what we anticipate [spending]."
Euroradar, which is led by Selex, also involves EADS and Indra. Eurofighter is the Typhoon management organization operated by BAE Systems, EADS and Finmeccanica.
Bob Mason, the executive vice president for sensors and airborne systems at Selex Galileo, said finance was not an issue. The important thing was to get the Eurofighter nations officially committed to the program through the letter of intent, Mason said.
"We understand the financial constraints. Finance is not the issue; that is being made available by Eurofighter and Euroradar for full-scale development. The issue is the backing of the governments and that's what the letter of intent will give us. Export customers like India and Japan will be more comfortable with the backing of the Eurofighter governments," he said.
The four nations "will join at the appropriate time when they have the budgets available," he said.
The availability of an AESA radar was a key requirement for the multi-billion dollar competition being run by the Indian government to equip the air force with a multi-role medium weight fighter. Typhoon was downselected recently alongside the Dassault Rafale for the final stages of the competition.
Talks over the releasability of the AESA technology to India is still under debate and depends on the final solution and final negotiations, Mason said.
"We are looking at the manufacturer of certain subsystems in India software transition in terms of modes and bringing new modes into the radar as well," he said.
Mason said they had agreed a "large amount of funding" from the Eurofighter governments through to the first production standard radars scheduled for completion in 2014 for aircraft production the following year.
The executive said Euroradar now had a huge team working on the development at Selex's main development plant in Edinburgh and elsewhere.
Aside from the Captor-E, Selex is also working in the combat aircraft field on a similar AESA radar for the Saab Gripen NG, and is involved in separate technology demonstrator programs funded by the British and Italian governments.

Rolls Royce Floats UAV Power Options

PARIS - Rolls-Royce could modify one of its turboprop engines and work with Safran's Turbomeca if the British company were to supply propulsion for a medium-altitude, long-endurance (MALE) drone pitched by BAE Systems and Dassault, said Francis Kearney, Rolls' defense director for Europe.

Depending on the power requirement, Rolls would probably pick a power plant from its current product range, such as the RTM22 helicopter engine, and adapt it for the Telemos MALE aerial vehicle proposed by BAE and Dassault as a joint project to Britain and France, Kearney said June 9 on the sidelines of a news conference ahead of the Paris Air Show.

Rolls would likely work with its longstanding industrial partner Turbomeca, part of the Safran aerospace engine and equipment group, Kearney said.

Rolls would supply an "integrated propulsion system" in a pod assembly to the airframe makers, similar to the concept used on BAE's Mantis UAV technology demonstrator.

Rolls supplied its model 250 engine for the Mantis, from concept to first delivery, or "from flash to bang," in 18 months, Kearney said. The model 250 looked underpowered for the needs of the Telemos UAV but the industrial concept would be similar, he said.

BAE and Dassault Aviation on June 8 outlined a joint offer of an eight-ton MALE UAV dubbed Telemos, which is to be able to stay aloft 24 hours and carry smart bombs, deliverable in five years to the British and French forces. Besides a joint offer from Rolls and Safran, the engine options included a Canadian supplier, Dassault said.

On Rolls' offer of an engine upgrade for the French Air Force's fleet of C-130 Hercules transport, Kearney said, "Yes, there is interest."

Two years ago, before the previous Paris Air Show, Rolls presented the T56 3.5 engine package, offering an 8 percent improvement in fuel burn. Since then, there has been development and standardization of the package. Kearney said he hoped for a French response in the next 12 months.

The Anglo-French defense treaty offered business possibilities including the supply of Trent 700 engines for the A330 Multi-Role Tanker Transport (MRTT) fleet, the Adour engines on the Hawk fast jet trainer as an eventual replacement of the Alphajet trainer and common Anglo-Franco support for the TP400 engines on the A400M airlifter, which could be extended to the other launch European customers.

An Anglo-French commonality of equipment offered economies of scale, Kearney said.

France has delayed the purchase of a 14-strong MRTT fleet as part of a 3.5 billion euro, three-year budget cut.

In the global market, Rolls hopes a win of the Eurofighter Typhoon in the Indian medium multirole combat aircraft competition will generate sales of the EJ200 engine.

Japan is seen as a strategic country target, as the government mulls the Eurofighter and operates EH101 helicopter, which performed rescue missions after the recent tsunami.

Rolls supplies the RTM22 engine for the EH101.

Another potential Asian customer for the EJ200 is South Korea, with its KF-X fighter project, and engine upgrade for the Korean Navy's Lynx helicopter.

Despite the slowdown in Western defense spending, Rolls sees the global market for military aero engines and services worth $450 billion over the next 20 years.

A Flash of Opportunity

ROME - The Via Tiburtina, the old Roman road that heads east out of the Italian capital, is home today to various Finmeccanica outposts. But amid the units of the state-controlled giant stands Elettronica, the small family-run firm that has become a leading light on Europe's electronic warfare scene.
Sixty years after its founding, Elettronica is pushing into a new market it believes will help secure its future: infrared (IR) countermeasures for aircraft that do a better job than flares at playing havoc with the IR guidance systems of shoulder-fired missiles.
"With directional infrared countermeasures [DIRCM], we will be covering transport aircraft, helicopters and VIP platforms ... so we are moving into the world of homeland security," CEO Enzo Benigni said. "We see the market value for DIRCM rising above the 1 billion euro [$1.44 billion] mark."
Elettronica's supply of electronic warfare (EW) systems to large European programs like FREMM frigates, the NH90 helicopter and the Eurofighter Typhoon has allowed it to build revenue from 165 million euros in 2006 to 195 million in 2010. But Benigni knows the likes of the Typhoon program are due to wind down, and has been seeking new opportunities.
The firm's new DIRCM product, the ELT/572, is based on technology initially developed by Elbit Systems. Elettronica jointly funded the program and is now co-owner, divvying up potential markets with the Israeli company.
"Elbit proved to have the most advanced know-how to develop and industrialize the DIRCM, based on fiber laser, dual-color principles," Benigni said.
South America, India and the Middle East are key markets, he said. But the launch customer is the Italian Air Force, which has signed a 25 million euro contract to install five ELT/572 systems, each based on two turrets, on C-27J and C-130J transport planes and AW101 utility helicopters.
The ELT/572 also may be flown on the Air Force's new 767 tankers, P180 VIP/light transport and ATR maritime patrol aircraft and the Army's new Chinook helicopters.
Gen. Giuseppe Bernardis, chief of the Air Force, has said that Northrop Grumman DIRCM was unavailable in time for military export.
With its own product, Elettronica can exploit the demand for systems that lack U.S.-made components subject to Washington's International Traffic in Arms Regulations. The company also may stress the technical advantages the ELT/572 offers, with officials citing a potentially faster reaction time between the missile warning alert and the laser flash.
The new countermeasures work follows a series of joint initiatives planned with Israeli industry, a useful partnership for Italian industry after it was excluded from EW workshare on the international F-35 Joint Strike Fighter.
"Our work on Eurofighter helped us evolve to a level that gives us an undisputed technological advantage," Benigni said.
If Italy decides to acquire a new signals intelligence aircraft and opts for Israeli systems, he said, Elettronica would be a partner.
"And if Italy sells an armed version of the M346 jet trainer to Israel, we would be exploiting that opportunity, too," the CEO said.
The firm already has a strong presence in the United Arab Emirates, with business worth 1 billion euros contracted since the 1980s and a local joint venture. Electronic warfare, electronic support measures and electronic intelligence systems have been supplied for Dash-8 maritime patrol aircraft, new ships, including Baynunah corvettes, ground systems and Mirage 2000-9 fighter jets.
Orders from outside Europe now account for 9 percent of the firm's revenue, a figure Benigni said he would like to see rise to 40 percent within 10 years, alongside an overall revenue increase of 5 percent per year.
Benigni said he is encouraged by the Italian government's newfound desire to back defense exports.
"The [Ministry of Defense] is really assisting us, which is a huge change from the past," Benigni said. "Marketing in India requires a good deal of political support, particularly in the fighter contest, where I would not exclude the U.S. fighters re-entering the competition."
Founded by Benigni's uncle, Elettronica employs the CEO's son and daughter, suggesting the family tradition will continue. Stakes held by Finmeccanica (33 percent) and French company Thales (32 percent) are stable, he said. That leaves Benigni the majority shareholder.
DIRCM apart, Benigni said a second trend to watch is the combining of different emitters in one turret, which is attached to an aircraft's exterior.
Elettronica signed up in 2005 to an Italo-Swedish program to combine radar, EW and communications into one system with no interference. Though limited funding for research into the Multifunctional Active Electronically Scanned antennas was in the Italian defense budget last year, Benigni said funding is stalled.
"This was a missed opportunity," he said. "We know it's the future, and the first country to do it will have big advantages."
In the meantime, Elettronica will continue to benefit from ongoing work on the defensive aids systems it supplies for the Typhoon. Last September, a 400 million pound ($656 million) deal was handed to a European consortium, including Elettronica, to supply the Praetorian self-protection system for 112 Tranche 3A Typhoons.
But with no more Typhoon buys in the cards from Britain, Germany, Italy and Spain, what has been a solid revenue stream looks set to wind down. Benigni said a large part of the 80 percent of Elettronica revenue that comes from European programs came from Eurofighter.
"Elettronica is ... dependent on Eurofighter but has developed other technologies which are bearing fruit and can therefore maintain a good position in the market," said Michele Nones, head of the security and defense department at Rome think tank Istituto Affari Internazionali.
"Having Thales and Finmeccanica as shareholders could present problems since they are competitors, but they tend to balance each other out," Nones said. "And the firm has the attention of the Italian government since it is considered strategic. Italy believes it needs EW capability."
With a focus on engineering, Benigni said Elettronica's small size and niche status is an advantage.
"A big company does not have the same mentality. The Israelis have shown that," he said.
Elettronica recently fought off tough Israeli competition to win a contract for a naval electronic support measures system from an East Asia customer, the CEO said.
Benigni said the victory came thanks in part to Elettronica's focus on what he called "the science of architecture" - the arrangement of components in an electronic system that leaves room for growth.

About Elettronica

2010 revenue: 195 million euros.
Employees: 754.
Sectors (percentage of total revenue):
■ Fighter aircraft (44).
■ Product support (35).
■ Naval vessels (8).
■ Helicopters/maritime patrol aircraft/transport aircraft (12).
■ Land (1).

Indonesia To Buy 16 S. Korean T-50 Trainers

SEOUL - Korea Aerospace Industries (KAI) signed a $400 million deal to sell 16 T-50 Golden Eagle supersonic trainer aircraft to Indonesia, marking the first overseas sale of the $20 million jet co-developed by Lockheed Martin.
The deal obligates South Korea to buy Indonesian-built CN-235 transport airplanes, Seoul and Jakarta government officials confirmed.

Officials with KAI and the Defense Acquisition Program Administration (DAPA) officials had denied that the trainer deal would require the airlifter purchase.
The contract was signed May 25, about a month and a half after Jakarta picked KAI as the preferred bidder for its trainer jet acquisition. The T-50 beat out Russia's Yak-130 and the Czech L-159B.
KAI is set to deliver the jets to the Indonesian Air Force by 2013.
The day after the T-50 announcement, KAI received approval from the Korea Exchange to proceed with an initial public offering (IPO) estimated to be worth about 576 billion won ($523 million).
The state-owned Korea Finance Corp. owns 30.1 percent of the aircraft maker, while Samsung Techwin, Hyundai Motor and Doosan Infracore hold 20.5 percent apiece.
The IPO may be held by the end of June.
Industry and securities sources expect KAI to sell 36 million shares at 14,000 won to 16,000 apiece.
"I'm very happy that the deal has been concluded before the planned IPO," said KAI President Kim Hong-kyung. "This Indonesia deal is just the starting point for the country's aircraft exports. As the leading aerospace company in South Korea, we will make best efforts to help the country become the world's top seven aircraft exporters by 2020."
South Korea will become the sixth country to export supersonic jets, following the U.S., Russia, the U.K., France and Sweden, according to a KAI-DAPA news release.
The single-engine T-50 plane has digital flight controls and a modern, ground-based training system. It is designed to have the maneuverability, endurance and systems to prepare pilots to fly next-generation aircraft such as the Eurofighter Typhoon, the F-22 Raptor and the F-35 Lightning II. The jet has a top speed of Mach 1.4 and an operational range of 1,851 kilometers.
The news of the offset provision confirmed what Amir Sambodo, special staff for the Indonesian Coordinating Economic Minister told the Jakarta Post on May 20: "There have been talks that if Indonesia buys T-50s, there will be compensation for Korea to purchase CN-235s."
Sambodo said South Korea would buy two or four more CN-235s.
"This needs to be increased to mutually benefit both countries. If South Korea is good at trainer jets, we are strong in transport aircraft," he said.
Seoul and Jakarta had a similar barter trade deal in 2001, when South Korea bought eight CN-235 transport planes in return for selling 12 KT-1 Woongbi basic trainers.
The CN-235 is a medium-range twin-turboprop airplane, jointly developed by Spain's CASA and Indonesia's PT DI. The plane is used for VIP transport, maritime patrols, airlifts and troop carrying.
South Korea has 20 CN-235s, 12 built in Spain and eight in Indonesia. Under a 2008 deal, PT DI plans to deliver four more CN-235s to South Korea's Coast Guard by year's end.

India Worried By Growing China-Pakistan Ties

NEW DELHI - India views with "serious concern" growing defense ties between China and Pakistan, and says it will have to bolster its own military capabilities to meet the challenge.
"It is a matter of serious concern for us. The main thing is we have to increase our capability - that is the only answer," Defence Minister A.K. Antony told reporters in New Delhi on May 20.

The comments followed reports China plans to accelerate supply of 50 new JF-17 Thunder multi-role combat jets to Pakistan under a co-production pact.
Antony added safe havens for militants in Pakistan is another "main concern" for New Delhi and told Islamabad to "disband and destroy" all guerrilla outfits if it "sincerely" wants to improve relations with India.
The killing by U.S. commandos of Osama bin Laden, who was hiding out near the Pakistani capital Islamabad, has "internationally stamped the nation's position as the core of terrorist activities in the South Asian region," he said.
India has long accused Pakistan of providing shelter and support to militant groups planning attacks on Indian soil and has pushed the global community - the United States in particular - to censure Pakistan.
Nuclear-armed India and Pakistan have fought three wars since attaining independence in 1947, two of them over the disputed territory of Kashmir.
Antony declined to comment on remarks by senior Indian military leaders that India has the capability to launch a strike like the one the U.S. carried out in Pakistan to kill bin Laden.
Prime Minister Manmohan Singh has said India would not undertake such a strike.
But a leaked diplomatic cable published earlier in the week quoted India's home minister as saying in 2009 that India would have to respond to another attack on its soil by Pakistan-based militants.
Discussing the prospect of another raid after the Mumbai 2008 assault which killed 166 people, home minister P. Chidambaram said, "The people of India will expect us to respond," according to the WikiLeaks website.
Antony added that India may sign a contract to buy 126 fighter jets for its air force by the end of March 2012.
"This fiscal [year] ends on March 31, 2012. The deal can happen before that," Antony said.
Last month, India short-listed France's Dassault Aviation SA and European consortium Eurofighter GmbH for the contract. The deal, estimated at $10 billion, is considered the biggest of its kind globally in the past 15 years.
India has allocated 1.64 trillion rupees ($3.6 trillion) for the defense sector in the fiscal year through March, up from 1.47 trillion last year.
The budget is nearly double the 890 billion rupees in the 2006-07 year.

Tech Offers Shape India's Jet Picks

Willingness to transfer technology likely helped the multinational Eurofighter Typhoon and French Dassault Rafale emerge as the short-listed rivals for India's Medium Multi-Role Combat Aircraft (MMRCA) program, observers said, although at least one U.S. official said the Indian Air Force's technical requirements were the deciding factor.
The Indian government has not even formally announced the downselect, let alone explained why it ruled out the Swedish Saab JAS-39 Gripen, the Russian MiG-35, and two U.S.-built jets, the Boeing F/A-18E/F Super Hornet and the Lockheed Martin F-16IN Super Viper, from the $10 billion, 126-aircraft program.
Instead, the news was passed April 27 to the jet-makers' national governments, irking at least some U.S. industry players.
"The way the decision was made and announced has only made things worse: The [government of India] knew full well the importance the administration attached to this sale. A quiet intimation of the coming decision would have helped considerably. It was really unfortunate that this was not done," said Ashley Tellis, an analyst at the Carnegie Endowment for International Peace in Washington.
A Indian Defence Ministry source said the decision was based on technical evaluations and flight tests, not political considerations or influence. Defence Minister A.K. Antony insisted that the selection be based on merit alone, the source said.
A senior Defence Ministry official said India will next open negotiations over technology transfer and price with the remaining bidders, a process that could last all year.
Several analysts said that while the U.S. had allowed its jet makers to offer unprecedented access to technology, European contenders probably pledged more.
"The most likely explanation is that the Europeans wanted and needed it more. They were willing to bend over backwards in terms of technology transfer, in terms of industrial work share and in terms of other regulatory issues, and they really needed this," said Richard Aboulafia, an analyst at the Teal Group, Fairfax, Va. "For the U.S. contractors, it would have been gravy, but for the Europeans, it's survival through the end of the decade."
Byron Callan, an analyst at Capital Alpha Partners in Washington, agreed about the stakes, but also said the U.S. companies' loss augurs poorly for their chances in Brazil's fighter competition.
Others disagreed about the role of tech-transfer in the Indian decision.
Tellis said the choice merely reflected the Indian Air Force's (IAF) technical preferences.
"The down-select decision clearly represents the IAF's choice, which the MoD has obviously gone along with as expected," he said.
One senior U.S. administration official agreed.
"I wouldn't see the technology release issue as the clincher," he said. "This was a judgment made on the basis of the technical qualification requirements that the Indian Air Force had established as part of the procurement."
He said the two U.S. aircraft had failed to meet certain Indian technical criteria.
"India would have been well-served to take a more comprehensive look at the transaction," he said.
But the official also conceded there were certain technologies that the U.S. simply would not share.
"We have a defense licensing system which is consistent with the law of the land, and there are certain technologies we're simply not going to hand over. That's just a fact of life," he said.
Boeing disputed the assertion that the F/A-18E/F did not meet Indian technical requirements.
"We believe we offered the Indian Air Force a fully compliant and best-value multi-role aircraft for the defined mission," the company said in a statement.
Indeed, many analysts considered the Boeing entrant to be among the most technologically capable of the rivals, as well as offering the favored twin-engine configuration.
"The F/A-18, that surprised me," said Douglas Barrie, an analyst with the International Institute for Strategic Studies in London. "My side bet for the program would have been the Rafale, Typhoon and F/A-18E/F making it to the down-select."
One U.S. industry official noted that Indian officials had publicly asserted that viable contenders would have an operational active electronically scanned array (AESA) radar, something only the F/A-18/E/F and F-16IN possess. The European contenders are developing AESA arrays.
"Yet, it seems that the IAF and MoD made the decision based on strategic, political grounds, not technical merits," the official said.
Several analysts said India has not forgotten that the U.S. imposed sanctions on the country after a 1990s nuclear test, nor that Washington is working to bolster ties with arch-enemy Pakistan.
For the U.S. government, which has placed an enormous stake on securing a strategic partnership with India, the short-list decision comes as a bitter pill.
"We are reviewing the documents received from the Government of India and are respectful of the procurement process," U.S. Ambassador Timothy J. Roemer said. "We are, however, deeply disappointed by this news. We look forward to continuing to grow and develop our defense partnership with India."
Roemer's comments were echoed by the senior U.S. administration official, who noted that the country's relationship was far deeper than one transaction. He noted that India had purchased U.S. weapons worth billions of dollars in recent years, including C-130J and C-17 airlifters and P-8 maritime patrol aircraft.
The official said the Indian bureaucratic system does not know the American system particularly well, which undermines its confidence in the U.S. as a reliable supplier. Over time, the official said India's faith in the U.S. would grow stronger.
"The logic of the U.S.-India relationship is as compelling today as it was on Tuesday in Asia and beyond," he said. "It's not the end of the world."
Bhim Singh, an analyst and retired IAF wing commander, predicted that the rejection of Boeing and Lockheed Martin wouldn't hurt bilateral defense ties.
But Tellis said there would be repercussions.
"I think the Obama administration will be deeply disappointed with this decision - as will the Congress. I think U.S.-India defense relations have been in trouble for a while. I suspect this will make things more difficult," he said.

The Rejected

Boeing has its Navy contracts for the Super Hornet and EA-18G Growler and other orders coming in from Saudi Arabia for the F-15, while Lockheed is shifting its focus onto the gargantuan F-35 Lightning II stealth fighter project.
But Saab needed the Gripen to win the Indian competition to remain in production; the aircraft has few other prospects beyond Brazil.
"They're dead in the water," Aboulafia said.
For the Russians, the MiG-35 loss to the Western contenders is was not entirely unexpected, Barrie said. The aircraft is based on the aging MiG-29 airframe.
Still, the Russians have a huge backlog of Indian contracts, including a deal to co-develop a new fifth-generation stealth fighter, and they acknowledge India's desire to diversify its supplier base. United Aircraft Corp.'s "cooperation with India is the widest of all countries and we understand that Indians do not want to keep all eggs in one basket and try to diversify suppliers," said an official from the Russian company.
Ruslan Pukhov, an analyst with the Center for Analysis of Strategies and Technologies in Moscow, agreed that the rejection of the MiG-35 in the MMRCA tender will not affect other projects.
"While Russia and India had bitterly quarreled over the cost of refitting of the Admiral Gorshkov aircraft carrier, it has not upset any other project," he said.
The Russians said the MiG met all of India's technical criteria.
Lockheed Martin and Saab acknowledged the Indian decision in written statements, while Boeing said, "We are obviously disappointed with this outcome. Our next step is to request and receive a debrief from the Indian Air Force."

India Rejects Russia's Fighter Jet Bid: Official

MOSCOW - Russia confirmed April 29 that India had rejected its bid to supply its traditional ally with 126 multi-role combat aircraft in a deal worth about $12 billion.
A spokesman for the Rosoboronexport agency responsible for foreign military contracts said India had informed Russia of the decision earlier in the week.

The official added that no formal explanation was given for the decision and that the choice "was the exclusive right of India".
The U.S. ambassador to New Delhi on April 28 said Washington was "deeply disappointed" that Lockheed Martin's F-16 and Boeing's F/A-18 Super Hornet had also been rejected.
India has made no official announcement but the U.S. and Russian confirmations indicate that only the Dassault Rafale fighter of France and the joint Eurofighter Typhoon project are still in the running.
Russia hoped its Soviet-era ally would settle on the MiG-35 - an updated version of the MiG-29 jet that is already being purchased by India.
The Stockholm International Peace Research Institute (SIPRI) identified India as the world's biggest arms purchaser between 2006 and 2010 and Russia had remained its main supplier throughout.
The two sides agreed in December on the joint production of a fifth-generation fighter with stealth capabilities in deal potentially worth up to $30 billion.
India is Russia's second largest military client behind China.

India Shortlists Rafale, Eurofighter for Jet Deal

NEW DELHI - India has shortlisted Dassault's Rafale and the Eurofighter Typhoon for a $12 billion dollar fighter jet deal, cutting out U.S. bidders from one of the largest military contracts of recent years.

A Eurofighter Typhoon aircraft (top) and a Dassault military jet Rafale are seen. India shortlisted the Rafale and the Typhoon for a $12 billion fighter jet deal on April 28, cutting out U.S. giants Boeing and Lockheed, sources said. (AFP FILE PHOTOS / PIERRE VERDY / PAUL ELLIS)

The U.S. embassy in New Delhi confirmed April 28 that Lockheed Martin's F-16 and Boeing's F/A-18 Super Hornet had both been ruled out of the running for India's planned purchase of 126 multirole combat aircraft.

Ambassador Timothy Roemer, who announced separately April 28 that he was resigning his post for personal reasons, said the U.S. government was "deeply disappointed" by the decision.
The long-delayed fighter jet deal has seen fierce competition between Boeing and Lockheed Martin, Sweden's Saab AB, France's Dassault Aviation, a European consortium with its Eurofighter Typhoon and the Russian makers of the MiG 35.
It was also the object of intense lobbying during visits to India last year by U.S. President Barack Obama, French President Nicholas Sarkozy and Russian President Dmitry Medvedev.
"It is confirmed Eurofighter and Rafale have been selected and the remaining four are off," a senior Indian defence ministry official told AFP.
"The grounds for their rejection have been individually conveyed,: said the official, who declined to be identified.
He added that the government hoped to sign the final fighter deal by March 2012.
Saab AB confirmed April 27 that it had been notified its JAS-39 Gripen fighter was no longer in contention.
The Eurofighter is made by the four-nation EADS, representing Germany and Spain, Britain's BAE Systems and Italy's Finmeccanica.
The contract includes the outright purchase of 18 combat aircraft by 2012 with another 108 to be built in India.
India, the biggest importer of military hardware among emerging nations, issued the request for proposals to the six firms in 2007 and trials of the aircraft competing for the deal began a year later.
In his statement, Roemer said he had been "personally assured" at the highest levels of the Indian government that the procurement process for the multirole fighter "has been and will be transparent and fair."
The procurement of the fighter jets is a key part of India's military modernization program, aimed at securing its borders against its traditional and emerging rivals Pakistan and China.
International consultancy firm KPMG estimates New Delhi will hand out military contracts worth $112 billion by 2016.

Boeing, Lockheed, BAE To Vie for Japan's F-X

TOKYO - Following an April 11 request for proposals, Japan's lengthy search for a replacement next-generation fighter, dubbed F-X, has been whittled down to three candidates: Boeing, with its F/A-18E/F Super Hornet; Lockheed Martin, with its F-35 Joint Strike Fighter; and BAE Systems, representing the Eurofighter consortium. The results were announced at an April 13 bidders meeting at the Japanese Ministry of Defense.
Many industry watchers say the F-35 and the Eurofighter are the two strongest contenders, according to Satoshi Tsuzukibashi, director of the Office of Defense Production Committee at Nippon Keidanren (the Japan Business Federation), Japan's biggest industrial lobby.

Japan's MoD is looking for a fighter to counter an increasingly capable Chinese Air Force. Japanese industry - in particular Mitsubishi Heavy Industries (MHI), which builds a Japanese version of the F-16C/D, the Mitsubishi F-2, under license from Lockheed Martin - is looking for licensed production. Keidanren supports this goal in order to sustain Japan's high-tech industrial base, Tsuzukibashi said.
"Actually, we don't care which one it is, as long as Japanese industry has the means to continue its industrial base with licensed production and technology," he said. "Actually, in that sense, the Eurofighter might be a little bit easier."
The original field of candidates included Lockheed's F-22 Raptor, the Dassault Rafale and the F-15FX, according to MoD documents. The request for proposals, delayed a year for political reasons, was supposed to have occurred in late March but was postponed because of the March 11 earthquake and tsunami.
The bids are to replace the Japan Air Self-Defense Force's F-4EJ Kai Phantoms built by MHI, which are due to begin retiring in 2015, and will be for 40 planes, according to MoD documents. Japan also will need to replace its F-15Js in the next 10 years, which could increase the number of F-X fighters to 150.
Taisei Ugaki, a veteran military commentator here, said April 14 that there was strong pressure for MHI to maintain its assembly line, and that any move toward the Eurofighter would face "strong U.S. pressure" to buy American in order to maintain the U.S.-Japan alliance.
Despite the latest delay, bids will be due Aug. 31, and a contract awarded at the end of the year, according to MoD documents.