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Old 13th December 2006 | 06:55
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ORAC
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DID: Rumors of Rafale....

Business online reports that the Saudi government is in talks to buy 36 Rafale fighter jets from the French regardless of how ongoing issues with the Eurofighter Typhoon contract are resolved. The Dassault Rafale contract would be in addition to the Eurofighter, not an either-or deal. With support and complementary ordnance added in, this could easily be a $5-15 billion transaction of its own.

Despite earlier reports of a British offer to delay some of its own procurement in order to get 24 Eurofighters to the Saudis quickly, The Business reports that a key consideration driving the negotiations is France's ability to deliver the Rafale quicker than the Eurofighters can be manufactured. A senior Saudi source reportedly said:

"Two things have changed in the five years since negotiations began with the British over Eurofighter. The Saudis now have more cash because of money from oil and the situation [with Iran] means it has a pressing need to bolster its airforce...."
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