France is well placed for a Mega contract with Pakistan

[Neo]

France is well placed for a Mega contract with Pakistan

PARIS (Dow Jones) - Following a call for tenders, Pakistan has retained the French ATE integrator for a contract valued at more than 1 billion euros to help equip and electronics missiles between 50 and 100 fighter aircraft JF-17, designed with the help of Beijing, Les Echos reported on Friday quoting sources concurrent.

The contract would be shared with partners both the ETA, Thales SA (HO.FR) and MBDA, for missiles. MBDA is jointly owned by European Aeronautic Defense & Space Co. NV (EAD.FR), BAE Systems PLC (BA.LN) and Finmeccanica SpA (FNC.MI).

"The contract is ready to be signed. But it must first be a security agreement is signed between the two countries," the economic daily said, adding that the conclusion of this agreement could intervene in the first half of 2010.

After years of "famine", France could strike a huge arms contract from Pakistan. Following a tender, Islamabad has retained the ATE integrator to equip electronics and missiles for between 50 and 100 fighters of the JF-17 fighter planes, designed with the help of Beijing .

Its been learned from our sources, confirming a letter of "Online Intelligence" that a potentially more than 1 billion euros contract- to be shared between the French integrator ATE and its two main partners on the project--- Thales for the electronics and MBDA for missiles.

A more modern technology

The contract is ready to be signed. But first, the two countries must sign a security agreement given the sensitive nature of the equipment.

"Nearly 90% of head way for the contract has been made and the issues that remain are few and not among the most sensitive" says one source close to negotiations.

The conclusion of this bilateral agreement could be reached in the first half of 2010. A second condition that remains is that the client country, highly indebted, mobilizes the necessary funds as promised.

Desiring to have a "national/indeginous" fighter for missions including ground attack, Pakistan turned to China in mid 1990s. After many ups and downs, the program has finally taken off. The production of JF-17 has recently started. However Islamabad, anxious not to depend on one supplier for its strategical weapons and desiring a more modern technology, has deliberately limited its cooperation with Beijing. Thus, according to the plans of its air force, only the first 50 examples of the JF-17 fighter will be produced entirely under Chinese license (equipments).

For the rest (following) aircrafts, the pakistan government has launched a tender to which two French companies, ATE and Astrac (a joint venture between Thales and Safran) and Finmeccanica responded.

To finally accept the offer of ETA, even if the information has not yet been officially confirmed, the negotiated contract provides a firm order on 50 aircraft and an optional slice of the same number, with delivery expected from 2013.

Overall, Pakistan would like to build 400 JF-17, but the target remains to be confirmed. As local authorities must demonstrate first they will mobilize the money required for the standard "westernized" version of this fighter aircraft.

When contacted, ETA did not wish to speak on this subject.

[vinod2070]

Can someone explain how the JF-17 is being inducted when its avionics and weapons package is still in contract stage?

Are the first few batches entirely Chinese in terms of avionics and weapons? Also China made?

How does their performance compare to the ones with French avionics and weapons package?

[Adux]

Originally Posted by vinod2070

Can someone explain how the JF-17 is being inducted when its avionics and weapons package is still in contract stage?

Which means what? That its true avionics and weapons package is still not tested or verified, that is just on that note it needs 2-3 years.

Are the first few batches entirely Chinese in terms of avionics and weapons? Also China made?

I could keep old guns on Jet fighter, but that counts for sqwat.

How does their performance compare to the ones with French avionics and weapons package?

How would you know without testing.?

[Neo]

Originally Posted by vinod2070

Can someone explain how the JF-17 is being inducted when its avionics and weapons package is still in contract stage?

Are the first few batches entirely Chinese in terms of avionics and weapons? Also China made?

How does their performance compare to the ones with French avionics and weapons package?

Vinod, the package being negotiated is meant for Blok II. Financial hurdles have delayed the acquisition by atleast six months, apart from that there's no change or other set backs in the original plans to acquire first batch of 50 JF-17's from China with fully Chinese equippement including avionics and weaponsuite. Its a conctratual agreement and Pakistan agreed to accept it only when certain standards as per PAF's ASR were met. China had to do a lot of modifications on the original designs to boost the performance inorder to meet PAF's standards.

Do not forget that FC-1/JF-17 is world's first and only modern fighter that has been built by an airforce instead of a commercial manufacturer, there are no compromises, no surprises. Everything is coming as planned including Russian engines and European avionics and weapons.

French deal restrics Pakistan to share the technology with China and end consumer incase of export buyers will be a subject of French government approval. Basically they are meant for PAF only. Therefor the timeframe set for the acquisition was 2012 but most likely will be delayed to first quarter of 2013.

If things work out Block II will be a leathal fighter, a mini Rafale as it is being referred to within PAF higher circuits.

Test results sofar with the Chinese equippement are very promising, airframe integrity and agility is above expectations, the airframe is stable at extreme altitudes of Chitral as well as hot conditions of plains of Indus near Dera Ghazi and Sargodha where the aircraft is being tested.

[Neo]

Here's the original report from a French newspaper:

THALES : France bien placée pr contrat avions chasse Pakistan

29/01/2010

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PARIS (Dow Jones)--A l'issue d'un appel d'offres, le Pakistan vient de retenir l'intégrateur français ATE pour un contrat évalué à plus de 1 milliard d'euros et visant à équiper d'électronique et de missiles entre 50 et 100 avions de chasse JF-17, conçus avec l'aide de Pékin, rapporte vendredi Les Echos en citant des sources concordantes.

Le montant du contrat serait à partager avec les deux partenaires d'ATE, Thales SA (HO.FR) et MBDA, pour les missiles. MBDA est une filiale commune de European Aeronautic Defence & Space Co. NV (EAD.FR), BAE Systems PLC (BA.LN) et Finmeccanica Spa (FNC.MI).

"Le contrat est prêt à être signé. Mais il faut d'abord qu'un accord de sécurité soit signé entre les deux pays", souligne le quotidien économique, qui ajoute que la conclusion de cet accord pourrait intervenir au premier semestre 2010.

Site Internet: http://www.lesechos.fr

(END) Dow Jones Newswires

January 29, 2010

http://www.zonebourse.com/THALES-471...stan-13314766/

[Mastankhan]

Hi,

Again people have some misconceptions of what is happening---and they have attributed these changes to lack of quality out of ignorance.

The chinese claim that their ecltronic package is equally superior to what is available in the west or comes real close to it. They have worked real hard to come up with a viable package for this aircraft alongwith the BVR missile the SD10.

The first 50 JF 17's are a showpiece for the chinese millitary hardware---they will set the pace and standard for the future sale of this aircraft to the countries who want to buy this chinese/pak aircraft.

A few of the countries will not be able to afford the french package and to some it will not be available at all. It will also work well for the paf as well---3 sqdrn strength with chinese package and then another three sqdrn's with the french package and BVR's---the unpredictability factor would make this machine more potent.

I want to say that both the chinese and the french would be fighting tooth and nail to capture the contract of the 3rd batch of 50 aircraft---by that time the chinese will have their engine ready as well---the newer RD93 will be ready in a couple to three years as well, the new electronis package that the chinese are coming up is extremely promising---the french would not want to be left behind.

Even though the french have tremendous pressure from the indians not to make the sale---but I think that it is a make or break moment for the french industry as well and I doubt that they would pay heed to what the indians are threatening them with.

In the past, the indian economic threats have been without any substance.

[Araz]

Originally Posted by Mastankhan

Hi,

Again people have some misconceptions of what is happening---and they have attributed these changes to lack of quality out of ignorance.

The chinese claim that their ecltronic package is equally superior to what is available in the west or comes real close to it. They have worked real hard to come up with a viable package for this aircraft alongwith the BVR missile the SD10.

The first 50 JF 17's are a showpiece for the chinese millitary hardware---they will set the pace and standard for the future sale of this aircraft to the countries who want to buy this chinese/pak aircraft.

A few of the countries will not be able to afford the french package and to some it will not be available at all. It will also work well for the paf as well---3 sqdrn strength with chinese package and then another three sqdrn's with the french package and BVR's---the unpredictability factor would make this machine more potent.

I want to say that both the chinese and the french would be fighting tooth and nail to capture the contract of the 3rd batch of 50 aircraft---by that time the chinese will have their engine ready as well---the newer RD93 will be ready in a couple to three years as well, the new electronis package that the chinese are coming up is extremely promising---the french would not want to be left behind.

Even though the french have tremendous pressure from the indians not to make the sale---but I think that it is a make or break moment for the french industry as well and I doubt that they would pay heed to what the indians are threatening them with.

In the past, the indian economic threats have been without any substance.

Mastan
Brother, the french will sell.The fact remains that in these days of financial crunch, you cant afford to let go of a package that could be worth a billion Euros.The french have had a really hard time and wont want to let go of PAF.Sure they might impose some restrictions, and have a say in who gets the product, and on the surface seem like they will not sell, but they will sell all right. As to India, it cant possibly keep the five or 6 contenders happy. Provided we have the money, we will be having western electronics, whether they are of french origin or not!! As to the third block, it is too far in thew future to think but i agree that whoever has a sale for block2s will have an upper hand for block 3s as well. this is simple logic of commonality . This is another reason why we will have a lot of interest in this contract
Araz