UK Eurofighter Bill Goes Up By £4 Billion?
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UK Eurofighter Bill Goes Up By £4 Billion?
Eurofighter To Cost Several More Billion Euros
BERLIN — The bill for the Eurofighter combat jets developed by a consortium of four European countries is going to cost over 10 billion euros more than expected, the German magazine Focus has reported.
For the countries involved in developing the Eurofighter, Britain will have to spend an additional 5.8 billion euros (8.2 billion dollars), Italy 2.16 billion, Germany 1.97 billion and Spain 820 million, the weekly reported in its edition to appear Jan. 28.
Focus cited a letter from Eurofighter-GmbH, the German branch of the consortium, addressed to Germany’s defense ministry.
“Other clients” for the Eurofighter will also have to pay more, the magazine said.
The cost of developing the military jet has increased due to certain “systems” and other modernization, Focus said........
BERLIN — The bill for the Eurofighter combat jets developed by a consortium of four European countries is going to cost over 10 billion euros more than expected, the German magazine Focus has reported.
For the countries involved in developing the Eurofighter, Britain will have to spend an additional 5.8 billion euros (8.2 billion dollars), Italy 2.16 billion, Germany 1.97 billion and Spain 820 million, the weekly reported in its edition to appear Jan. 28.
Focus cited a letter from Eurofighter-GmbH, the German branch of the consortium, addressed to Germany’s defense ministry.
“Other clients” for the Eurofighter will also have to pay more, the magazine said.
The cost of developing the military jet has increased due to certain “systems” and other modernization, Focus said........
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Why will we (the UK) "have" to pay more?
Have we not already signed all the contracts?
Who is asking for more money?
Will this be tagged onto the bill for the next tranche?
Is this not subsidising the Saudi deal?
Have we not already signed all the contracts?
Who is asking for more money?
Will this be tagged onto the bill for the next tranche?
Is this not subsidising the Saudi deal?
I wonder how much of the figure represents industry clawing back the inevitable extra costs caused when the politicians have delayed the project, failing to sign contracts on time, messing about changing their minds on particular capabilities, etc.
German procrastination in the early days was once estimated to have cost £5 Bn - and since then HMG has been responsible for a delay of almost a year in signing Tranche 2. You can't slam the brakes on like that without incurring costs.
German procrastination in the early days was once estimated to have cost £5 Bn - and since then HMG has been responsible for a delay of almost a year in signing Tranche 2. You can't slam the brakes on like that without incurring costs.
Sorry Oggs, I'd missed the contractually guaranteed 'hard' price for JSF.....
Oh no, wait a minute, there isn't one.
Nor any sign of a really robust ITAR agreement (as opposed to an ill-defined face saving compromise), either.
Oh no, wait a minute, there isn't one.
Nor any sign of a really robust ITAR agreement (as opposed to an ill-defined face saving compromise), either.
Two CVFs, cheap.
But then you know what it costs for a fighter slower and less agile than Typhoon, with less range and a mighty 2,000 pound offensive weapon load...
But then you know what it costs for a fighter slower and less agile than Typhoon, with less range and a mighty 2,000 pound offensive weapon load...
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Fair point, but we can actually employ a person to do more than one job at a time!!!! We have people who can cook chips and also butter the roles at the same time.
How quaint!!!!
How quaint!!!!
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But then you know what it costs for a fighter slower and less agile than Typhoon, with less range and a mighty 2,000 pound offensive weapon load...
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5.8 billion
....well I guess there go any ideas of C-17 numbers 7 & 8 then!
(Or FSTA, A400M or any other potentially useful projects in the pipeline)If accurate, I wonder what the true repurcussions of this will be?
If accurate, I wonder what the true repurcussions of this will be?
Not a dig at the Typhoon guys, I am sure you'll do a great job. Our priorities are a bit 1950's centric though!
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I happened to be reading something else today and this coincidently popped up.
http://www.marinecorpstimes.com/news...l_jsf_070430m/
http://www.marinecorpstimes.com/news...l_jsf_070430m/
..... Britain is making an enormous investment — $7.7 billion in ship construction costs alone — in building two 65,000-metric-ton aircraft carriers intended to operate the F-35B......
Not all journalists are the same. There are a handful who confound the PPRuNe received wisdom, who know what's going on, and who tell it exactly like it is.
Two UK aviation journos stand head and shoulders above the rest, in my view. Both write beautifully. Both have massive intellects, great contacts, and enough raw enthusiasm and natural curiosity to keep on top of their respective areas of expertise. Both have incisive and analytical minds, and I view anything that they write as being well worth reading. I count my time well spent, reading a technical or in-depth programme piece by Doug Barrie (Aviation Week, ex-Flight, ex-JDW).
Just as I view anything by Francis Tusa as being just as useful a guide to the more political and personal (how key movers and shakers are thinking) factors that lie behind the news. His newsletter (Defence Analysis) is expensive, but it's always thought provoking, informative and invariably amusing. If you have the cash, you should subscribe, even at £300 per year or so.
Francis told me that it is his understanding, having got an in-depth translation of the original report, that this €5bn extra (or a large part of it, perhaps) is the "cost" of the UK having to "buy" "extra" aircraft to replace those that we are selling to Saudi Arabia.
It is not a net cost, but a gross one, and takes no account of Saudi money coming in in payment for these jets, nor of the lower UPC that will result from the increased production total...
We seem to have utterly forgotten to observe rule *1.
NEVER trust German newspaper reports on defence: they are inevitably riddled with errors!
Two UK aviation journos stand head and shoulders above the rest, in my view. Both write beautifully. Both have massive intellects, great contacts, and enough raw enthusiasm and natural curiosity to keep on top of their respective areas of expertise. Both have incisive and analytical minds, and I view anything that they write as being well worth reading. I count my time well spent, reading a technical or in-depth programme piece by Doug Barrie (Aviation Week, ex-Flight, ex-JDW).
Just as I view anything by Francis Tusa as being just as useful a guide to the more political and personal (how key movers and shakers are thinking) factors that lie behind the news. His newsletter (Defence Analysis) is expensive, but it's always thought provoking, informative and invariably amusing. If you have the cash, you should subscribe, even at £300 per year or so.
Francis told me that it is his understanding, having got an in-depth translation of the original report, that this €5bn extra (or a large part of it, perhaps) is the "cost" of the UK having to "buy" "extra" aircraft to replace those that we are selling to Saudi Arabia.
It is not a net cost, but a gross one, and takes no account of Saudi money coming in in payment for these jets, nor of the lower UPC that will result from the increased production total...
We seem to have utterly forgotten to observe rule *1.
NEVER trust German newspaper reports on defence: they are inevitably riddled with errors!
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Story has been out for over 24 hours without a government rebuttal. Silence on matter mean in all likelihood story is true.
Governments are run by politicians and any politician worth the name isn't going to let a false statement about a 5 billion cost overrun stand if the statement is false are there are mitigating factors.
Governments are run by politicians and any politician worth the name isn't going to let a false statement about a 5 billion cost overrun stand if the statement is false are there are mitigating factors.
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Eurofighter Denies Price Escalation
(Source: defense-aerospace.com; issued Jan. 28, 2008)
PARIS --- Eurofighter GmbH, prime contractor for the four-nation Eurofighter program, has denied a news report claiming that the cost of the program’s third production batch (Tranche 3) will rise by more than 10 billion euros.
German newsmagazine Focus said in its Jan. 28 issue that Britain would have to spend an additional 5.8 billion euros, Italy 2.16 billion euros, Germany 1.97 billion euros and Spain 820 million euros for the Tranche 3 contract. The report cited a letter from Eurofighter GmbH to Germany’s Ministry of Defense as the source of the figures.
Eurofighter said today by e-mail that:
“Eurofighter GmbH has submitted a proposal for the third Tranche on 14 December 2007 to NETMA (NATO Eurofighter and Tornado Management Agency).
“No proposal has been submitted by Eurofighter GmbH directly to the German MoD.
“The suggested figures will not be commented by Eurofighter GmbH and are rejected as speculation.”
(Source: defense-aerospace.com; issued Jan. 28, 2008)
PARIS --- Eurofighter GmbH, prime contractor for the four-nation Eurofighter program, has denied a news report claiming that the cost of the program’s third production batch (Tranche 3) will rise by more than 10 billion euros.
German newsmagazine Focus said in its Jan. 28 issue that Britain would have to spend an additional 5.8 billion euros, Italy 2.16 billion euros, Germany 1.97 billion euros and Spain 820 million euros for the Tranche 3 contract. The report cited a letter from Eurofighter GmbH to Germany’s Ministry of Defense as the source of the figures.
Eurofighter said today by e-mail that:
“Eurofighter GmbH has submitted a proposal for the third Tranche on 14 December 2007 to NETMA (NATO Eurofighter and Tornado Management Agency).
“No proposal has been submitted by Eurofighter GmbH directly to the German MoD.
“The suggested figures will not be commented by Eurofighter GmbH and are rejected as speculation.”
cheers