BAE Systems will sign a potential 10-year, $2.8 billion agreement with the U.K.’s ministry of defense to support the country’s Typhoon fleet in partnership with the U.K. air force and Leonardo-Finmeccanica.
BAE Systems said Tuesday the formal Typhoon Total Availability Enterprise agreement will establish a single program to consolidate contracts with suppliers across Europe and build on the previous seven-year Typhoon Availability Support contract.
The company noted the TyTAN agreement will also introduce new systems to address operating costs at the Coningsby and Lossiemouth air force bases and use the potential $663.6 million in savings to develop new concepts for the aircraft.
“Combining support arrangements into one program will help to increase reliability and availability of the fleet, while making it cheaper to support, ” said Chris Boardman, BAE Systems managing director of military air and information.
Philip Dunne, U.K. minister for defense procurement, said the agreement will help the Typhoon aircraft meet the country’s air force operations requirements and support its mission to replace the service branch’s Tornado jets in 2019.