Alenia Aermacchi, the Italian maker of the C-27J, is warning the U.S. government that it will refuse to support the aircraft it sold to the United States if the U.S. resells them to other nations. (Senior Master Sgt. David Lipp / Air Force)

Feb. 27, 2012 By VAGO MURADIAN – Defense news

SINGAPORE — In what analysts see as an unprecedented move, Alenia Aermacchi, the Italian maker of the C-27J, is warning the U.S. government that it will refuse to support the aircraft it sold to the United States if the U.S. resells them to other nations.

The move caught some U.S. officials by surprise and threatens to undermine American efforts to resell the planes on the international market, most likely to Australia, Canada or Taiwan.

Giuseppi Giordo, CEO of Alenia Aermacchi, explained his position in an interview at the Singapore Air Show here, before continuing on for meetings in Australia.

“Obviously, we don’t like the [U.S.] decision,” he said. “However, we respect it and we will try to mitigate any negative impacts from the cancellation of the C-27J.”

Giordo explained that the company would continue to support efforts to sell new C-27Js through the U.S. Foreign Military Sales program, but would exercise its contractual rights not to support the aircraft originally sold to the U.S. if those planes were resold on the international market, essentially competing with Giordo’s company.

“If they want to sell additional airplanes as FMS, we will support them, but not those 21 airplanes,” Giordo said. “In fact, we will do our best — not only us, but the Italian government — not to support those planes. In that case the U.S. government will be competing against our international campaigns in a market where 21 airplanes is a big deal.”

The U.S. Air Force announced it would end the program earlier this month after spending $1.6 billion for 21 aircraft, 12 of which have been delivered, four in final assembly and testing, and five in production. Officials have not specified plans for the C-27Js, and options include parking them in the desert for future use, transferring the planes to the Air Guard, Special Operations Command or another agency, such as Homeland Security, or reselling the aircraft internationally.

Air Force spokesmen said the decision was driven by a change in U.S. strategy and budget pressures, and is not a reflection on the aircraft or its performance. Officials simply concluded they could meet mission requirements with their fleet of C-130 and C-17 transports.

“We’re working through those issues for the C-27, also the Global Hawk, which in both cases represent new airframes,” Air Force Secretary Michael Donley told an audience at the Air Force Association’s winter conference in Orlando, Fla. “So we will probably set rules for Type-1,000 recoverable storage and lesser numbers for availability for us. Our international affairs staff ... are communicating to potential countries interested and partners asking for them to identify their interest.

“I think there are a number of avenues available to us. We have not selected a particular course of action. We will be putting that together and it does include potentially making these airframes available for sale to [partners].”

Heidi Grant, deputy undersecretary of the Air Force for international affairs, said foreign interest is high in C-27Js, C-130H transports and Global Hawk reconnaissance aircraft.

In Singapore, Grant met with nearly two dozen of her international counterparts during her visit to the Asian city-state. The aircraft to be divested by the U.S. since 2001, she said, would constitute the world’s seventh largest air force.

Grant added the Air Force is working to determine the future of the planes and waiting to see whether Congress approves the service’s budget. Selling excess aircraft is of interest, she said, because her mission is to improve “the capability and capacity of our partners.”

A Rare Stand

For the U.S. Air Force, ending the purchase of C-27J transport planes was just one of thousands of decisions needed to help cut Pentagon spending by nearly a half-trillion dollars over the coming decade.

But for Alenia, a Finmeccanica company, the decision is a threat to the future of the twin-engine plane and 1,000 workers at two factories that build it.

Once a nearly $6 billion Army program for 145 aircraft, the Air Force took over the effort in 2009 and capped the purchase of C-27Js at 38 planes. But in its recent 2013 budget request, it decided to end the program at 21 aircraft, 17 fewer than expected, and retire the fleet next year.

It remains unclear how much the Air Force will save by deferring the option for 17 additional aircraft, or if the service will even be required to pay Alenia a termination fee, sources said.

Analysts called Giordo’s stance unprecedented, but understandable in light of market dynamics and the Italian company’s bitter experience with Pentagon contracting over the past decade.

Alenia’s sister company, AgustaWestland, beat longtime incumbent Sikorsky to win the U.S. presidential helicopter contract, only to have the $6 billion program for 28 aircraft canceled in the early days of the Obama administration after constant design changes by the government sent costs soaring. Nine helicopters were delivered when the program was canceled; they were later sold to Canada for $164 million.

Defense trade has emerged as the source of uncharacteristic discord between Washington and Rome, which have long been close allies. Italy hosts thousands of U.S. troops on its soil and remains a major buyer of American military gear, most notably the Joint Strike Fighter that will cost Rome about $15 billion for 100 aircraft. But the fact that America won’t buy Italian products infuriates some executives and officials.

Giordo maintains his tough line on the C-27J won’t hurt his company’s prospects in the U.S. Alenia remains a key partner on the multinational Joint Strike Fighter program and will pursue the Air Force’s trainer replacement contract when that competition gets underway formally in a few years. And Finmeccanica’s DRS Technologies continues to serve as the cornerstone of the Italian giant’s U.S. operation and a key DoD supplier, now under the leadership of former Deputy Defense Secretary Bill Lynn.

L-3 Communications is the prime contractor for the U.S. C-27J program, performing final integration of the aircraft in Waco, Texas. The company declined to comment on Giordo’s stance, noting it’s a matter between Alenia and the Air Force.

With the U.S. order capped and the aftermath of U.S. and European budget cuts, the C-27J’s prospects have dimmed. A derivative of Alenia’s G222 with new engines and avionics, 62 C-27Js have been sold worldwide: 21 to America, 12 to Italy, eight to Greece, seven to Romania, four to Mexico, four to Morocco, three to Bulgaria and three to Lithuania.

Alenia has identified South Africa, Nigeria, Ghana, Taiwan, Egypt, Oman, Canada, Saudi Arabia, Indonesia, Qatar and “potentially UAE” as future customers.

Richard Aboulafia, an analyst with the Teal Group in Virginia, said the 21 planes the U.S. might want to sell constitutes the bulk of the world market for such small transports — and is equivalent to two years’ output from Alenia’s factories.

That explains why the stakes are high enough for Giordo to take such a hard stance.

“I am pragmatic,” Giordo said. “I prefer they put the airplanes in the desert.”

Message to Potential Buyers

Giordo said he will take his message that his company won’t support U.S. aircraft to all his potential C-27J customers such as Australia, which has expressed interest in the planes. He visited Australia Feb. 15-17.

The message to the Australians is that “you can buy on FMS and we will support the FMS case for 10 additional airplanes,” Giordo said. “But if they consider selling the 21 [U.S. planes], no way. They can sell, but as the original equipment manufacturer, I will not give spares, not guarantee configuration control, and so on.”

Alenia has fought an uphill battle to crack the U.S. market. Lockheed Martin first partnered with Alenia on the C-27J, only to abandon the program when it concluded it would compete with Lockheed’s four-engine C-130J. Then Boeing signed on as a partner, but it too withdrew its support. Eventually, Alenia partnered with L-3 and won a deal for up to 145 light battlefield transports valued at $6 billion, beating EADS’ C-295.

“We have two problems,” Giordo said. “First of all, the price that we have with the U.S. government is a very, very, low, low price because to win the competition we had to reduce the price. Second, the volume at the beginning was 145, then 78, then 38, now 21 with firm, fixed price. We are losing money.

“So, how can I allow the U.S. government to sell 21 airplanes they have in their inventory where I lose money and they also kill my international marketing?”

Sympathy for Alenia

But that stance does have its risks for Alenia Aermacchi, which stands to compete when the U.S. Air Force launches a new jet trainer competition in three years.

That competition was to have gotten underway later this year, with Alenia to bid a U.S. version of its M-346 trainer against the T-50 by Korea Aerospace Industries and Lockheed Martin and a new version of BAE Systems’ Hawk trainer sold by Northrop Grumman. Boeing is also considering developing an all new aircraft for the competition.

Asked whether his C-27J stance could damage relations with the U.S. Air Force, Giordo said, “I do not see what consequences our decision should have. Our decision is based on a product of a specific program and not meant to jeopardize the relationship with such an important customer and partner. I am sure that we will continue our collaboration with the United States, on, for example the [Joint Strike Fighter] program.”

He added that he is confident the M-346, which was selected by Singapore and most recently Israel, is a strong product that would satisfy U.S. requirements.

Senior U.S. aerospace executives expressed sympathy for Giordo, saying Alenia has been dealt a particularly tough hand.

“They fought like hell to win that contract and priced the plane to win but didn’t leave a lot of profit margin,” said one senior executive. “That’s why he can’t afford to have the U.S. government sell the planes they have. But we’ve all been through that. We bid for programs that we think will be for hundreds of planes that over time dwindle to a handful; it’s just that Alenia’s smaller than we are, so this kind of thing hurts even more.”

“No doubt about it, it’s a tough message, but you can’t blame them because by any objective measure, this company has faced a series of setbacks not of its making,” said Loren Thompson of the Lexington Institute think tank, who also has served as a strategic adviser to Alenia’s parent, Finmeccanica. “It invested heavily to break into the U.S. market, winning the presidential helicopter and the Joint Cargo Aircraft. Both were terminated, and two Air Force helicopter programs they were eager to compete for, search and rescue and supporting ICBM fields, were canceled.”

Teal analyst Aboulafia agreed, noting that the only recent parallel to Alenia’s position was between Boeing and Airbus two decades ago.

“Back in the ‘90s, Airbus said it wouldn’t support A340s Boeing took from Singapore in exchange for 777s,” he said. “It was ultimately resolved after Airbus realized that not supporting the planes would hurt residual values for all A340s. What Alenia wants to do is effectively embargo its own product. It’s an aggressive stance, but my question is how this plays out in reality. It’s extremely difficult to enforce on any sophisticated product with a whole lot of subcontractors and third-party suppliers.”

Aboulafia suggested the move is more a negotiating tactic than a final position, noting it’s never good for business to squeeze a customer.

“Customers have a tendency of noticing how you treat other customers,” he said. “On the other hand, it’s a great little airplane that’s living hand to mouth at a run rate of just under one per month, not a lot in the pipeline and with few prospects like Taiwan and Australia.

“You can say one thing in Finmeccanica’s favor, they’ve worked hard. Given all that’s happened, whether cancellation of the 27, the presidential helicopter, competitions going away or being delayed like the trainer, the degree of fatigue and annoyance with U.S. procurement of foreign systems is quite understandable, so what do they really have to lose? It’s very understandable, but it might not be tenable.”

Marcus Weisgerber in Washington and Tom Kington in Rome contributed to this report.

Two crew members ejected safely after their Su-30 fighter jet crashed 130 km northeast of Komsomolsk-na-Amur during a test flight

MOSCOW, February 28 (RIA Novosti)

Two crew members ejected safely after their Su-30 fighter jet crashed 130 km northeast of Komsomolsk-on-Amur during a test flight on Tuesday, according to sources in the regional administration.

"Both crew members ejected safely but one was hurt on landing," a regional administration source said.

The aircraft belonged to the Komsomolsk-on-Amur factory where Su-30s are manufactured.

The crash took place at 10:20 AM Moscow time.

The Su-30, a multirole combat aircraft, is operated by India, China and Russia.

Photo: IMI

February 12, 2012 Tamir Eshel – Defense Update

Israel Military Industries Ltd. announced today that the Boeing Company [NYSE:BA] has approved IMI’s 500-pound Multi Purpose Rigid (MPR 500) Bomb as compatible with their Joint Direct Attack Munition (JDAM) guidance kit.

The combination of IMI’s MPR 500 with Boeing’s JDAM guidance kit substantially enhances operational flexibility while reducing total ownership costs. With increased penetrating power and reduced collateral damage fragmentation, the MPR 500 was designed to defeat targets more commonly found in today’s fighting areana. By delivering IMI’s focused munition with Boeing’s reliable history of precision guidance, the MPR 500 JDAM system is ideal for gardened targets in dense urban areas or in close proximity to friendly troops.

Photo: IMI

 

IMI’s MPR 500 is a combat-proven 500-poud bomb with improved penetration capabilities and gas the same dimensions as a MK-82.

The bomb can penetrate more than one meter of reinforced concrete or punch through four 200mm thick walls or floors.
Because of its 500-pound size, MPR 500 enhances aircraft carriage efficiency, increasing the number of targets that can be engaged per sortie.

MPR 500 provides concentrated blast effects, utilizing approximately 26,000 controlled fragments. This reduces collateral damage risk within one hundred meters. By creating a straight penetration path through the target, the MPR 500 virtually eliminates the “J Effect”, in which the bomb’s warhead breaks on impact causing it to explode incorrectly.

MPR 500 is being displayed by IMI at the Singapore Airshow.

The RAF's C-17s play a vital role in supporting UK operations in Afghanistan – photo UK MoD

Feb 08, 2012 by Craig Hoyle- Flight Global

London - The UK is to order another Boeing C-17 strategic transport, with the acquisition to boost the Royal Air Force's fleet of the type to eight aircraft.

Announced by prime minister David Cameron on 8 February, the purchase represents the potentially final addition to the UK's C-17 fleet, which plays a vital role in sustaining its "airbridge" with Afghanistan. Seven are flown by the service's 99 Sqn from its air transport super base at RAF Brize Norton, Oxfordshire.

Writing on his Twitter account, minister for defence equipment, support and technology Peter Luff described the decision as "really good news for Defence and for [the] RAF".

Further details about the acquisition will be announced by the UK Ministry of Defence later today, with Boeing declining to comment in advance of its customer's statement.

In May 2011, the RAF marked the completion of its first decade of operations with the C-17, an initial four of which were flown under a lease agreement with the USA. These were subsequently purchased outright, with orders later placed for two and one aircraft respectively.

The UK operates the second-largest fleet of C-17s, behind the US Air Force, although India recently completed the process of ordering a fleet of 10 to enter use from later this decade.

5 Feb, 2012, Bennett Voyles - economictimes.indiatimes.com

Many global arms industry observers were surprised this week when the Indian Air Force announced that it had chosen French firm Dassault Aviation as its preferred bidder for a roughly $11-billion deal to supply India with 126 jet fighters. After all, despite 12 years of heavy sales bombardments all over the world that sometimes even included the president, only the French air force has ever actually bought the Rafale.

The deal isn't done yet - the French have just won the right to an exclusive negotiation - but it is close enough that shares in Dassault shot up by 20% the day of the announcement.

So how did Dassault finally pull it off? And not just any deal, but what some say is the biggest cross-border military aviation contract of all time? Of course, the Indian government said it went to the low bidder, but that seems unlikely - particularly since the final price hasn't been set, and no one picks up jet planes just because they're on sale.

The Deal

 
French firm Dassault won $11 billion contract to supply 126 Rafale jets.
Snapped it up with lower bid against Eurofighter Typhoon aircraft.
The size of the contract could eventually go up to 200 aircraft.

The Aircraft

 
Rafale is a twin-engined, delta-wing jet Can fly up to 2,130 km per hour in high altitude.
In service for the French Air Force since 2006.
Has been playing air support roles in Afghan war Part of Nato campaign in Libya in 2011.

The Company

 
Dassault family is the majority owner. EADS, a co-producer of competing Typhoon, owns 46% of the equity.
The company has delivered 7,500 civil & military aircraft to 75 countries.
Dassault came close to selling aircraft to Brazil and Switzerland, but failed to secure a contract as yet.
UAE was reportedly in final negotiations to buy 60 Rafale in June 2010, but drama unfolded when Eurofighter Typhoon was allowed to submit a counter-offer.
French defence minister gave an ultimatum that Rafale production would be halted if the jets could be sold abroad.

And The Snag

 
The file containing the offset proposals of contenders went missing in December 2010. Later found on the roadside in south Delhi. The episode threatened to derail the tendering process itself.

Others in the race

 
Six contenders were subjected to extensive field evaluation trials.
Four aircraft eliminated last year on technical grounds were American Lockheed Martin's F-16 and Boeing's F/A-18, Russian United Aircraft Corporation's MiG-35 and Swedish SAAB's Gripen

With billions on the table, and the national security at stake, the French plane must have edged out the multi-national Eurofighter for a number of reasons. Nine possibilities:

A Better lunch

Of course, nobody makes an important decision for the food, but the prospect of hanging out in Bordeaux, home of the Dassault assembly line, instead of Halbergmoos, Germany, couldn't have hurt. On the one hand, you're in the heart of the French wine country, in a rich and sunny part of France. On the other, you're in cold, grey Bavaria, facing a few years of sausages, sauerkraut, and beer served in mugs the size of small aquariums.

DASSAULT WAS HUNGRY

Dassault has failed to sell the Rafale abroad since 2000. Although its Mirage planes were popular in the 1970s, Dassault hasn't had a similar success with the Rafale line. Deals with the United Arab Emirates, Morocco and Brazil all fell through.

To top it off, President Nicolas Sarkozy is very unpopular and faces an uphill election campaign. After all the economic troubles under his tenure, bringing home a little jambon would be seen as a positive - particularly as France has reportedly sunk more than $50 billion on the Rafale's development, a lot of money for a country that spends around $60 billion a year on defence.

Despite the fact that chairman and chief executive officer Serge Dassault is a member of Sarkozy's political party, owns the leading French conservative newspaper (Le Figaro) and even serves as a French senator (where he is vice-finance chairman), the government had recently announced plans to cease production in 2021 if outside buyers could not be found.

BECAUSE I'M WORTH IT

L'Oreal, the French cosmetics company, made a fortune selling its more-expensive home hair dye with ads that showed some sultry blonde saying she'd chosen L'Oreal, "because I'm worth it". Now that India has become a much wealthier country, it can afford the best for its pilots - and Rafale is arguably the best.

"They kind of went for the 'fun to fly' factor rather than the best value factor," says S Amer Latif, a visiting fellow in US-India policy studies at the Center for Strategic and International Studies (CSIS) in Washington, DC.

"If you ask me which plane is better, I'd answer Rafale is a more mature and already multi-role plane," says David Cenicotti, an Italian military aviation blogger. "The Eurofighter is a younger technology, believed to be cheaper and to have a more political clout because it is built by four European countries."

However, this can also be a flaw in times when financial crisis has seen the same four countries much distant from one another on the strategy to save eurozone.

DASSAULT IS SMART

Although the Eurofighter Typhoon and the Rafale began as more or less the same aircraft, Dassault pulled out of the design consortium in 1985, and in recent years the Rafale has made some technical gains. First, the Rafale has a more advanced radar system than the Eurofighter Typhoon. Unlike the Typhoon, it's also already possible to configure to landing on an aircraft carrier - an adjustment that can be difficult, according to James Hardy, Asia-Pacific editor of Jane's Defence Weekly.

The company has also had a tradition of being on the cutting edge. A 1973 profile of Dassault described the company as viewing sales differently than American aircraft companies: "Whereas most American aircraft companies commonly look on development as an unavoidable and not particularly attractive prelude to production, Dassault seems to view production as a buffer work assignment to fill capacity not absorbed by development."

DASSAULT IS NOT AMERICAN

American arms deals tend to come with strings attached - inspections, and possibly spare parts embargos if they don't approve of the uses to which a plane is put - as happened after India's nuclear tests in the 1990s. Buy American and you get the American agenda free.

"The US sells weapons under quite strict conditions - how to use them and where to use them," says Siemon Wezeman, senior researcher at the Stockholm International Research Institute. The US also requires buyers to submit to regular inspections, he says, which some countries find humiliating.

The French, on the other hand, tend to be more laissez-faire and more independent of the major powers - in their own way, not unlike the Indians. "The whole idea that the French are sometimes very independent vis-a-vis some of the big countries, may give them an added advantage," Wezeman adds.

OR BRITISH AND GERMAN AND SPANISH AND ITALIAN

An important part of the deal is the transfer of the technology to India. The Eurofighter is a joint product, which runs off four different production lines. This could have led to a lot of complexity down the line, particularly as the agreement calls for setting up a production line and transferring the technology to India. "It seems to me that the Eurofighter's technical transfer might have been a bit more complicated than the French," says Latif of CSIS.

FRANCE MAKES ALL THE PARTS

Even as most arms makers, including American manufacturers, have tried to cut costs and boost political consensus by creating global supply chains, France still tries to maintain an independent military industrial base. That makes things more expensive for the French taxpayer, but the Indian Air Force may see this as an advantage: rather than worry about maintaining relations with a group of countries, almost all the parts for the Rafale are sourced within France, simplifying the logistics, according to Wezeman.

THE ARAB SPRING SPRANG THE RAFALE INTO THE NEWS

To most of us, war is a horrible tragedy. To arms dealers, it's a great sales tool. Muammar Ghaddafi was a big fan of the Rafale, and even expressed interest in purchasing a number of them in 2007. Although he later changed his mind - a decision he may have regretted last spring - the one time fan inadvertently helped sell them: French Rafale fighters provided key support for Libyan rebels and reportedly performed very well.

BEAUTY IS IN THE WALLET OF THE BEHOLDER

In the late 1980s, Dassault was involved with a helicopter procurement scandal in Belgium that ended in the conviction of the minister of defence, the chairman of the Socialist Party and a number of other Belgian politicians and government officials, and 18 months' probation for CEO Serge Dassault.

However, it should be noted that at the time, Dassault was not actually breaking French law - bribing French officials was illegal but bribing foreign officials was fair game: until 2000, foreign bribery expenses were even tax deductible.

More recently, Dassault seems to have continued to have problems with his cash targeting system. In 2008, he won reelection of mayor (it's possible to hold several offices simultaneously in France) in Evry, a town south of Paris, but in 2009, the State Council invalidated results on allegations that he paid some voters for their support.

So far, no official allegations have been made about the Rafale contract, outside an outlandish claim last April by Subramanian Swamy, Janata Party leader, that a kind of criminal Italian sorority had engineered the deal, comprised Carla Bruni, the half-Italian first lady of France, and Sonia Gandhi, the head of the National Advisory Council, and Mrs Gandhi's sisters.

Whether a few fat envelopes closed the deal or not, one analyst says suspicion of corruption could still unravel the contract. "I think the biggest risk is when somebody starts shouting corruption even if there isn't anything, because it has to be investigated," Wezeman says.

30.01.12 Dominique Gallois LE MONDE ECONOMIE

Les questions de défense entrent en campagne, avec la visite, lundi 30 janvier, de François Hollande sur la base des sous-marins nucléaires de l'Ile-Longue, à Brest. Début mars, le candidat socialiste précisera sa politique, notamment en matière industrielle. Partout dans le monde, les budgets militaires sont en baisse, notamment aux Etats-Unis, ce qui va pousser les industriels américains à chercher d'autres marchés à l'étranger. La compétition, déjà sévère, s'annonce encore plus rude avec la montée en puissance des acteurs russes, chinois, coréens, indiens. Or, les Européens se présentent en ordre dispersé. L'exemple le plus flagrant est l'aéronautique militaire. Sauf rebondissement (édition abonnés), le Gripen suédois l'a emporté en Suisse face au Rafale français et à l'Eurofighter Typhoon, un avion germano-hispano-italo-britannique. Le Rafale et l'Eurofighter se disputent aussi le "contrat du siècle", la vente de 126 avions à l'Inde.

Si l'industrie de défense est concentrée au Royaume-Uni autour de BAE Systems et en Italie autour de Finmeccanica, respectivement 2e et 8e mondiaux, il n'en est rien en France. Six groupes figurent dans les cinquante premiers mondiaux, du franco-allemand EADS (7e) à Dassault Aviation (54e), selon le palmarès annuel du magazine américain Defense News.

Le plus petit de ces acteurs n'en est pas moins celui qui bénéfice le plus des faveurs de l'Etat. Avec son soutien, Dassault est devenu l'actionnaire industriel du groupe d'électronique Thales, qui pourrait être le pivot d'un pôle de défense français regroupant les activités maritimes de DCNS et demain l'armement terrestre de Nexter.

Les questions sont nombreuses autour de ce projet. A commencer par les fonds que cela nécessitera. L'Etat est impécunieux et Dassault n'a peut-être pas l'envie d'investir assez dans ces domaines pour en prendre le contrôle. L'autre hypothèque tient au futur du groupe Dassault. Les enfants de Serge Dassault auront-ils la même stratégie que leur père lorsqu'ils en prendront les rênes ?

Quel que soit le prochain président, il devra aborder le futur de l'industrie de défense. L'Etat en tant que client, garant de la souveraineté nationale, mais aussi actionnaire des grands groupes, aura un rôle clé. Mais Dassault restera incontournable.

La montée en puissance de Dassault au sein de l'industrie de défense a lieu en trois étapes : d'abord la conquête de l'indépendance, puis celle de Thales (électronique de défense), et enfin la montée en puissance chez DCNS (sous-marins et navires) et Nexter (véhicules blindés et canons).

CONTRÔLE DE LA SOCIÉTÉ

En ce printemps 2002, Charles Edelstenne, le patron de Dassault Aviation, est satisfait : la famille Dassault vient de franchir la barre des 50 % en acquérant en Bourse le 1 % manquant pour détenir le contrôle de la société. "Pendant vingt-cinq ans, on nous a fait chanter. Aujourd'hui, nous sommes libres de nos mouvements", lit-on dans Le Monde du 29 mai 2002.

Dégagé de la menace des droits de vote double que revendiquait l'Etat français, libéré du pacte d'actionnaires avec EADS, qui est devenu simple minoritaire avec 46 % du capital, le PDG envisage avec sérénité les prochaines échéances stratégiques, qui se feront "à son rythme et à ses conditions", affirmait-il. Il soulignait aussi que les succès de son avion d'affaires, le Falcon (75 % du chiffre d'affaires), libéraient Dassault de la dépendance vis-à-vis des commandes militaires du gouvernement, et lui donnaient plus de marge de manoeuvre.

M. Edelstenne évoquait également son intérêt pour le groupe d'électronique de défense Thales, dans lequel il avait pris près de 6 % en échange de l'apport de ses activités électroniques. Il entendait ainsi profiter du désengagement annoncé d'Alcatel.

Viendra alors la deuxième étape, celle du renforcement de la participation de Dassault chez Thales, pourtant également convoité par EADS. Le groupe bénéficiera pour cela de l'appui de Nicolas Sarkozy, que Serge Dassault a largement soutenu dans sa course à l'Elysée.

Elu en 2007, le président de la République, Nicolas Sarkozy, n'a rien à refuser au sénateur UMP et au propriétaire du Figaro. Il se fait d'ailleurs fort de vendre le Rafale à l'étranger, une façon de rappeler que son prédécesseur, Jacques Chirac, n'y était jamais arrivé. Le chef de l'Etat s'engagera au Brésil et aux Emirats arables unis... pour l'instant en vain.

Informé dès le printemps 2008 d'un projet de reprise de Thales par EADS, l'Elysée fera savoir qu'il n'y est pas favorable. Mieux, il éconduira le groupe franco-allemand, dont il est pourtant actionnaire et bien que son offre soit financièrement plus avantageuse que celle de Dassault.

L'un des arguments évoqués est de privilégier une filière franco-française plutôt que de donner la gestion de Thales à un groupe franco-allemand. Dassault obtient ainsi d'entrer chez Thales sans lancer d'offre publique d'achat (OPA), et de participer à sa gouvernance. Il devient alors l'opérateur industriel d'un groupe trois fois plus important que lui.

BÉMOL

Fin 2011 intervient la troisième étape, avec la montée en puissance de 25 % à 35 % de Thales chez DCNS, tandis qu'est évoquée une prise de participation dans Nexter (ex-GIAT). Celle-ci serait dans un premier temps de 25 %. Avec, là encore, la bénédiction de l'Etat, ce dernier étant propriétaire des deux groupes.

Le groupe Thales, opéré par Dassault, pourrait alors faire une offre complète sur tous les marchés, en regroupant des fabricants de plateformes (chars, avions de combat, navires) et un fournisseur d'équipements électroniques tels les radars ou les équipements de télémesure.

Seul bémol, "Dassault n'a qu'une participation minoritaire dans Thales et ne peut rien faire s'il n'en prend pas le contrôle", note un banquier. Or, cela ne serait possible qu'avec le soutien de l'Etat, auquel Dassault est lié par l'intermédiaire d'un pacte d'actionnaires. Mais l'un et l'autre des actionnaires ont-ils la volonté ou la possibilité de financer une telle opération ?

aaa Pour l'Etat, la réponse est négative, la priorité étant désormais à la réduction des déficits budgétaires, qui pourrait passer au contraire par des cessions de participations.

Pour Dassault, c'est différent. "Toute la question est de savoir si Dassault veut développer cet ensemble ou faire fructifier son placement en réorganisant Thales, estime un analyste. La deuxième hypothèse semble la plus probable." Mais pour l'instant, en raison de la chute des marchés boursiers, l'investissement de l'avionneur s'est déprécié.

Le durcissement de la compétition mondiale peut toutefois changer la donne. Les grands groupes ayant déjà une présence internationale sont mieux armés pour s'affirmer sur le marché mondial et initier des rapprochements. C'est le cas d'EADS, de Safran et de Thales. Mais en fait, seuls les deux premiers ont la capacité financière pour mener de véritables regroupements.

SUCCESSION

Une première tentative s'est esquissée durant l'été 2011. Des rumeurs ont évoqué la possibilité d'une OPA lancée sur Thales par Safran. Un montage auquel se serait opposé... Dassault, même si le prix proposé aurait été celui qu'il avait payé pour son entrée dans Thales. L'Etat, pourtant actionnaire de deux groupes concernés, n'aurait pas donné suite. L'idée était de constituer un grand groupe fournisseur d'équipements et de grands systèmes d'aéronautique dans les domaines civils et militaires.

Les cartes pourraient à nouveau être rebattues, sauf si Dassault décroche entre-temps un contrat pour le Rafale aux Emirats arabes unis. Une telle commande permettrait d'alimenter ses bureaux d'études, et surtout ceux de Thales, pendant près de quatre ans. Autre avantage, cela permettrait au ministère de la défense d'étaler le programme de livraison des Rafale à l'armée française, la priorité étant donnée aux éventuels clients à l'exportation. Ainsi pourraient être financés d'autres projets.

Mais il faudra d'abord régler les questions de gouvernance, notamment la succession de Charles Edelstenne qui, l'année prochaine, quittera à 75 ans son poste de PDG. L'inconnue majeure reste la stratégie des enfants Dassault quand l'heure sera venue de remplacer leur père, Serge, âgé de 86 ans. "Il n'y aura pas de vacance de pouvoir dans la société, la continuité sera assurée. Chaque chose viendra en son temps et sans l'avis de tous ces "fameux experts"...", affirmait en décembre, dans Le Figaro, M. Edelstenne. Une manière de rappeler que toute décision appartient... à la famille.

La France au 4e rang des exportateurs d'armes

Rang Avec 6% du marché mondial (un peu plus de 5 milliards d'euros), la France se maintient en 2010 au 4e rang des exportateurs d'armes, après les Etats-Unis, la Grande-Bretagne et la Russie.

Emplois L'industrie de la défense représente 165000 emplois directs, au moins autant d'emplois indirects et un chiffre d'affaires de 15 milliards d'euros, dont le tiers environ est donc réalisé à l'exportation.

Budget En 2012, le budget du ministère de la défense augmente de 1,6%, pour atteindre 30,6 milliards d'euros. La part prévue pour les équipements est de 16,5 milliards (+ 500 millions).

Nato AGS – photo Northrop Grumman

January 20th, 2012 by Craig Hoyle - Flight Global

London - NATO's long-running process to order an Alliance Ground Surveillance (AGS) capability could at last achieve a contract signature within the next few months, although the scale of its programme appears to have again been revised.

"We have the contract, and it's under negotiation," said US Air Force Maj Gen Steve Schmidt, commander of the NATO Airborne Early Warning and Control Force. A 13-nation deal should be signed before the next NATO summit, in Chicago from 20-21 May, he added.

"I fully expect to see the announcement that NATO has purchased AGS by that summit," Schmidt told the AEW and Battle Management conference in London on 17 January.

Schmidt valued the pending acquisition at about €1 billion ($1.3 billion) for five Northrop Grumman RQ-4 Global Hawk Block 40 unmanned air vehicles, each equipped with a Northrop/Raytheon surveillance payload. An associated 20-year operational support package is expected to total a further €2.2 billion, he added.

This assessment contrasts with a previous plan, which had called for the purchase of six Global Hawks, to be operated from NAS Sigonella in Sicily from later this decade. Northrop officials last October said a deal was expected to be signed in early November 2011.

Although NATO was able to access information from a USAF Global Hawk that flew a limited number of sorties during last year's Libya campaign, Schmidt said the availability of an Alliance-owned fleet "would have been a game-changer" during the seven months of Operation Unified Protector.

Beyond its application during such coalition operations in the future, Schmidt said additional uses for the AGS fleet would include crisis management and cooperative security tasks.

source Ria Novisti

January 15, 2012: STRATEGY PAGE

Indonesia has signed a contract to buy six more Su-30 jet fighters from Russia for $78 million each. Indonesia already has ten Su-27s and Su-30s, but wants at least 16 of these modern aircraft so they will have a full squadron. Although expensive, the Russian fighters are modern, and look great. They are also relatively cheap to maintain. This was all part of a plan to switch from American fighters (ten F-16s, and 16 F-5s) to Russian Su-27s and 30s. But used F-16s are so much cheaper than Su-27s, and the public pressure forced the Indonesian politicians to hang on to the F-16s, and upgrade existing F-16s, an expensive proposition that appeals to corrupt Indonesian officials.

Although Indonesia wants to buy 180 Su-27 and Su-30 fighters from Russia, they are now also rebuilding their older force of early model F-16s. In addition, Indonesia has ordered 24 used, but modernized, F-16Cs for $31 million each. The ten older F-16s will also be modernized to the same standard.

Indonesian Air force generals opposed the acquisition of the F-16s because they fear this will lead to a reduction in the procurement of new Russian fighters. The generals believe the Russian fighters are a better match for the 80 F-18Es that neighboring Malaysia is acquiring, and the F-35s that Australia is buying. But the F-16s have a proven combat record that the Su-27s and Su-30s lack.

A330 MRTT

09 janvier 2012 par Barbara Leblanc – L’USINE NOUVELLE

Devant un panel de journalistes de la presse aéronautique, le ministre de la Défense, Gérard Longuet, assure que la France pourrait commander des ravitailleurs dès 2013.

La France doit renouveler sa flotte vieillissante de ravitailleurs, composée de C135FR fabriqués par Boeing et d'Airbus A340 et A310, également utilisés pour le ravitaillement en vol. Et le gouvernement entend choisir le groupe européen Airbus et ses ravitailleurs des MRTT (Multirole tanker transport). C’est ce que le ministre de la Défense assure tablant sur une livraison des appareils en 2017.

Cette déclaration met un terme à plusieurs rumeurs laissant planer le doute sur l’attribution de ce contrat. L'Airbus A330 est en effet en concurrence avec Boeing sur ce marché des MRTT. Aux Etats-Unis, l'A330 a fini par perdre un énorme marché de ravitailleurs pour le Pentagone, remporté par Boeing après plusieurs retournements de situation.

L'A330 MRTT, qui peut ravitailler en vol deux avions simultanément, est capable d'emporter à la fois plus de cent tonnes de carburant, 37 tonnes de matériel et jusqu'à 270 passagers. Pour l’heure, les pays ayant commandé cet appareil sont l'Australie, la Grande-Bretagne, l'Arabie saoudite et les Emirats Arabes Unis. Il a aussi été présenté à l’Inde.

TA-50 breaking formation. Photo: KAI

January 6, 2012 Richard_Dudley – DEFENSE UPDATE

With the New Year barely underway, South Korea is once again demonstrating a determination to build a formidable military force capable of dealing with potential enemies. The government has signed a $600 million deal with Korea Aerospace Industries (KIA) for 20 FA-50 fighter/attack aircraft based on the highly regarded T-50 advanced jet trainer.

KAI is reporting that the aircraft will be delivered between 2013 and 2014. The FA-50 is a lightweight fighter/attack aircraft incorporating the most advanced technology available in the T-50 Golden Eagle family of aircraft.

KAI also believes that South Korea may increase the order to as many as 60 aircraft for use as replacements for the aging 150 Northrop F-5 aircraft currently being operated.

The FA-50 aircraft ordered are expected to be equipped with the Link 16 tactical link, Elta Systems EL/M-2032 pulse Doppler radar, radar warning systems and a night vision imagery system. Northrop Grumman and Raytheon previously selected the FA-50 as a prime candidate for being outfitted with the same version of active electronically scanned array (AESA) radar slated for use in a United States Air Force F-16 upgrade.

The FA-50 is built to carry a weapon’s payload of 9,920 pounds that includes Boeing’s Joint Direct Attack Munitions and Textron’s CBU-97 Sensor Fused Weapon. In addition, the FA-50 is also fitted with a 20mm cannon and is configured to carry air-to-air missiles.

KAI has also included in the Golden Eagle family, along with the T-50 and the FA-50, a T-50B aerobatic aircraft and an armed TA-50. All versions of the Golden Eagle family feature a single General Electric F404 engine.

South Korea is expected to issue a call for bids for its F-X III project in February to select a replacement for its F-4 Phantom jets. The candidates competing for this lucrative contract include the Boeing F-15 Silent Eagle, Lockheed Martin F-35, Sukhoi PAK FA, and the Eurofighter Typhoon.

January 4, 2012: STRATEGY PAGE

Despite being in service for 25 years, the Su-27 continues to appear in updated models. The most recent one is the Su-27SM(3). The Russian Air Force received a dozen of these in 2011. The SM(3) version has more powerful and durable AL-31M1 engines and a reinforced airframe that enables the aircraft to take off with three more tons of fuel or weapons. There were also updated electronics and a "glass" (full of touch screens) cockpit. Russia considers the Su-27SM(3) twice as capable as the original model, the Su-27S, in air-to-air combat and three times as effective in ground attack.

Things are not doing so well with existing Su-27s. Last year, Russia grounded all of its Su-27s. This necessary until it could be determined what caused one to crash on January 14th, 30 kilometers from its airbase at Dzemga (in the Far East). The pilot died in the crash, but the flight recorder was recovered. A year earlier, two Su-27s crashed. The Su-27 entered service in the 1980s and some of them are showing their age. It's still a first line fighter, but only as long as updated models can be developed and built. Russia's Sukhoi aircraft company has sold over a billion dollars' worth of these aircraft (plus components and technical services for them) a year for the last few years. Sukhoi mainly supplies Su-27/30 jet fighters to India, China, Malaysia, Venezuela and Algeria. The 33 ton Su-27 is similar to the U.S. F-15, but costs over a third less.

Developed near the end of the Cold War, the aircraft is one of the best fighters Russia has ever produced. The government helped keep Sukhoi alive during the 1990s, and even supplied money for development of an improved version of the Su-27 (the Su-30). This proved to be an outstanding aircraft, and is the main one Sukhoi produces. There are now several Su-30 variants, and major upgrades. While only about 700 Su-27s were produced (mostly between 1984, when it entered service, and the collapse of the Soviet Union in 1991), adding Su-30 production and you have over 1,000 aircraft (including license built ones in China and India).

SAO PAULO, Dec. 23 (UPI)

Brazil is investing heavily in developing its potential rival to Lockheed Martin's C-130J and other European, Russian and Chinese competitors in a multibillion-dollar global military transport market.

This month Brazilian aircraft maker Embraer signed a strategic partnership agreement with Portugal that gives the Brazilian aviation giant a head start with anticipated early access to parts it cannot immediately produce at home.

Embraer is banking on being able to break even and make good on its investment in the KC-390 military airlifter and aerial refueling jet program with just 120 orders, industry sources said.

Embraer said the deal with Portugal's Industria Aeronautica de Portugal will give the company access to components to be made in Portugal.

Global demand for the 20-ton versatile air transport sector, dominated for years by the C-130 and its Russian rivals, remains strong. Aviation industry forecasts said the total international demand for aircraft in the category could exceed 700.

Embraer hopes to develop the jet-powered KC-390 to a point where it can compete comfortably in price and capacity with the Lockheed Martin C-130J, the Airbus A400M, the Russian AN-12 and its Chinese prototype the Yun-8/9 as well as the Indo-Russian Irkut/HAL MRTA aircraft.

The air transport market has also seen the emergence of smaller transport aircraft, including the European EADS-CASA C-295M and Italian Alenia Aeronautica's C-27J that Embraer as well as its rivals have to contend with.

Embraer said it hopes to enter the market with a jet-powered medium transport KC-390 model that is likely to have a cargo capacity of around 23 tons, able to refuel and be refueled in the air.

Portuguese components for the KC-390 are likely to include structural parts and aerial refueling jet technologies.

Embraer Defense and Security President Luiz Carlos Aguiar said, "Portugal's participation in the KC-390 program strengthens our position in the European defense market."

A declaration of intent between the Brazilian and Portuguese ministries of defense, signed in September 2010, preceded this contract which also emphasizes Portugal's commitment to purchasing KC-390 airplanes.

Brazilian government sources said the partnership with Portugal gives Brazil new opportunities to boost its military aviation sector and develop technological competencies.

The original C-390 was meant to be a militarized ERJ-190 jet that competed in a niche market between EADS-CASA's C-295M and Lockheed Martin's C-130 Hercules. The aircraft served Brazil's postal services but over the years additional research and development allowed Embraer to add or modify features, turning it into a serious rival to the C-130 range.

14 décembre 2011 par DSI

Un protocole d’accord a été signé entre Cassidian et Alenia Aeronautica afin d’étudier conjointement la possibilité d’une coopération dans le domaine des systèmes de drones MALE (Moyenne Altitude Longue Endurance) et de combat.

Grâce à cet accord, les deux entreprises analyseront les besoins exprimés par leurs gouvernements respectifs en matière de drones. Le mouvement est important : Alenia est un acteur plus expérimenté que Cassidian en matière de drones, en ayant développé les Molynx, Sky-X, Sky-Y et en travaillant également sur le projet Neuron.

On notera que Selex Galileo, également membre de Finmeccanica comme Alenia, s’est spécialisé sur les micro-drones et les drones tactiques. C’est donc à un acteur de poids que s’associe Cassidian. Reste que ce dernier semble également accroché au Talarion.

Ainsi, selon Bernhard Gerwert, Chief Operating Officer (COO) de Cassidian, « nous nous réjouissons à la perspective d’explorer toute forme de collaboration possible avec Alenia Aeronautica autour des drones MALE de prochaine génération, tels que le Talarion (…) ». En tout état de cause, une alliance franco-italienne pourrait bien chercher à faire face à une alliance franco-britannique (Dassault-BAE).