AFP

Britain awards 13-bln-pnd tankers contract to EADS

Thu Mar 27, 10:36 AM

LONDON (AFP) - The British government said Thursday that it had awarded a 13-billion-pound deal to replace the country's air refueling tankers to a European consortium led by the aerospace group EADS.

The deal worth 16.6 billion euros or 26 billion dollars was handed to AirTanker Ltd, a grouping of aerospace companies that includes British firms Cobham, Rolls Royce and VT Group, as well as EADS and Thales.

"A fleet of new Airbus A330-200s will replace the RAF's TriStar and VC-10 aircraft under a 13 billion pound ... deal signed today with AirTanker Ltd," said junior defence minister Baroness Ann Taylor in a statement.

The announcement of the order for 14 aircraft came on the second day of a state visit to Britain by French President Nicolas Sarkozy.

"The deal is good news for British jobs: up to 600 are expected to be created by AirTanker, and the deal will safeguard up to 3,000 jobs directly at British sites, with thousands more sustained indirectly," the statement read.

The 14 aircraft, which will enter service in about 2011, will undertake air refueling and passenger air transport tasks.

"This deal represents great news for the Royal Air Force and great news for British industry and jobs," Taylor added.

"The A330s will provide a state-of-the-art air-to-air tanker and passenger aircraft supporting operations around the world and delivering British forces to operational theatres."

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