Austria plans to end Eurofighter program early amid row with Airbus

[The Sandman]

Austria plans to end its Eurofighter jet program early and replace it with a cheaper alternative fleet of aircraft bought or leased from another government, its defense minister said on Friday, amid a legal battle over the jets with Airbus (AIR.PA).

Austria sued Airbus and the Eurofighter consortium, including Britain's BAE Systems (BAES.L) and Italy's Leonardo (LDOF.MI), in February, alleging deception and fraud linked to a near 2 billion euro ($2.3 billion) jet order in 2003. Airbus and the consortium have denied the accusations.

The charges were the latest in a series of rows between Austria and the consortium, which have sparked two parliamentary inquiries and resulted in Airbus boss Tom Enders being investigated by Vienna prosecutors.

The defense ministry said in a statement that Austria's 15 Eurofighter jets could be phased out from 2020. The continued use of the Eurofighter planes for 30 years - the normal life span of such jets - would cost up to 5 billion euros, largely for maintenance.

Buying and operating a new fleet comprised of 15 single-seater and three twin-seater supersonic jets over the same period could be 2 billion euros cheaper than continuing its current program, the ministry added.

"It is necessary to get a grip on the overflowing costs of the Eurofighter," Defence Minister Hans Peter Doskozil said.

A source at the ministry was confident existing maintenance contracts with Airbus for the Eurofighters could be renegotiated. Doskozil said some kind of compensation for its Eurofighters was "likely" to come from the court battle. Alternatively, the aircraft or parts could be sold.

Airbus and Eurofighter said in emailed statements: "it is not for us to comment" on Austrian defense procurement discussions, adding the Eurofighter "works very well for all other customers".

Doskozil said the plan had nothing to do with campaigning ahead of Austrian elections in October and that he expected it to go ahead even if there was a change in government.

TALKS UNDERWAY

The defense ministry said it had already been in touch with other governments, air forces and aircraft producers.

It prefers a government-to-government deal that would see Vienna lease or buy aircraft from another country, rather than organizing a tender that would take longer and might jeopardize the 2020-2023 timeframe for the change of fleet.

Such a government-to-government deal could involve the other country buying supersonic jets from one of its national producers whose planes have self-defense systems, radar-guided missiles and can operate at night.


The head of export and international relations at Sweden's Defence Materiel Administration (FMV), Joakim Wallin, said the FMV supplied Austria last month with pricing and technical information about 18 Saab (SAABb.ST) JAS Gripen fighter jets.

"We expect to hear from them again after the summer," Wallin told Reuters, referring to a potential deal that could see Saab sell the planes to the FMV which would sell them to Austria. He declined to give details on the price quoted.

Austria has also spoken with U.S. officials about its interest in the U.S.-built F-16 fighter jet, made by Lockheed Martin Corp (LMT.N), the largest arms maker in the world, according to a source familiar with the matter.

Lockheed is still offering the F-16 in international competitions, although production is due to end, the source said. It would take about three years to start delivering aircraft, or about two years after a contract was signed, the source added.

The tranche 1 type of the Eurofighter jets which Austria uses is also in operation in Britain, Germany, Italy and Spain.

(Reporting by Shadia Nasralla, additional reporting by Johan Sennero in Stockholm and Andrea Shalal in Berlin; Editing by Mark Potter)
https://www.reuters.com/article/us-austria-eurofighter-idUSKBN19S0ZN
@Arsalan it's tranche 1 :/ otherwise you know mein kya dua krni thi

@Nilgiri @Vergennes @Hell hound

 

[A.P. Richelieu]

@WebMaster
Please merge this duplicate thread with
https://defence.pk/pdf/threads/gripen-favored-to-replace-austrian-eurofighters.505247/

 

[Bilal Khan (Quwa)]

20? Italian Tranche 1
18? Spanish Tranche 1
15? Austrian Tranche 1

Lol the dream lives on. It lives .... (not really) @Arsalan

 

[Arsalan]

20? Italian Tranche 1
18? Spanish Tranche 1
15? Austrian Tranche 1

Lol the dream lives on. It lives .... (not really) @Arsalan

Bahi i can share my address with you! Will you please come and shoot me before another such discussion starts here?

I know the OP and his intentions were not bad but we all know what this will turn into.

 

[Basel]

20? Italian Tranche 1
18? Spanish Tranche 1
15? Austrian Tranche 1

Lol the dream lives on. It lives .... (not really) @Arsalan

Is Trench-1 worth it, even if PAF had financial means available?

 

[Bilal Khan (Quwa)]

Is Trench-1 worth it, even if PAF had financial means available?

I think 2 Typhoon Tranche 1 squadrons is doable, but there's little value in the PAF going that route unless they just want to stack up on a Block-52+ like fighter. Yes the Typhoon T1 is an excellent air superiority platform, no doubt, but the Tranche 1 was not intended for deep-strike (which has gone to T2 and T3). It can lob JDAMs and Paveway LGBs, but I don't think the T1 can deliver LACM or AShM.

The ideal scenario would be to see the PAF acquire the Tranche 3, but that's utterly prohibitive, not worth really thinking about unless we have the UK step in and offer a hefty credit line for 15 years. Currently, won't happen.

If the PAF really wants to stack up on Block-52+ like fighters for cheap, then it should aggressively pursue 36 F-16C/D Block-25 and Block-32 from the AMARC in the U.S. Get them structurally restored by LM and TAI and maybe put them and the 18 Block-52+ through the AN/APG-83 AESA radar upgrade.

As for deep-strike, doesn't seem like there's much out there that balances cost, capability and customization as the Su-35 and Su-30SME. Sadly, doesn't seem like there's much happen from the Russian end.

 

[Basel]

I think 2 Typhoon Tranche 1 squadrons is doable, but there's little value in the PAF going that route unless they just want to stack up on a Block-52+ like fighter. Yes the Typhoon T1 is an excellent air superiority platform, no doubt, but the Tranche 1 was not intended for deep-strike (which has gone to T2 and T3). It can lob JDAMs and Paveway LGBs, but I don't think the T1 can deliver LACM or AShM.

The ideal scenario would be to see the PAF acquire the Tranche 3, but that's utterly prohibitive, not worth really thinking about unless we have the UK step in and offer a hefty credit line for 15 years. Currently, won't happen.

If the PAF really wants to stack up on Block-52+ like fighters for cheap, then it should aggressively pursue 36 F-16C/D Block-25 and Block-32 from the AMARC in the U.S. Get them structurally restored by LM and TAI and maybe put them and the 18 Block-52+ through the AN/APG-83 AESA radar upgrade.

If we can lure UK to help our 5th gen bird then EFT tech and bird will easier to get, Pakistan should talk to China for finance as at the end that will get benefit too.

 

[Bilal Khan (Quwa)]

If we can lure UK to help our 5th gen bird then EFT tech and bird will easier to get, Pakistan should talk to China for finance as at the end that will get benefit too.

The issue is that the TFX is not a "British" bird.

It's actually a Turkish bird that involves BAE on a consulting services basis (on Turkish money).

Except for the engine (a joint Rolls-Royce and Kale venture), Britain is not a partner in the TFX, just a service provider. This is basically what the PAF might consider doing for Project Azm - i.e. issue a design and development support contract to a Chinese company to work in Pakistan (like BAE will work in Turkey).

Now if the Azm fighter's design and development work is entirely done in Pakistan, the PAF might have a shot at picking up the RR-Kale engine. However, I don't think ToT (besides standard MRO and maybe some parts supply) will be possible in that case.

That said, from Britain's perspective, the TFX is a competitor to the Typhoon Tranche 3. Sure, the TFX isn't available today, but some air forces - like the PAF - might prefer stashing funds for that instead of even trying to pursue an option today, like the T3.

 

[Basel]

The issue is that the TFX is not a "British" bird.

It's actually a Turkish bird that involves BAE on a consulting services basis (on Turkish money).

Except for the engine (a joint Rolls-Royce and Kale venture), Britain is not a partner in the TFX, just a service provider. This is basically what the PAF might consider doing for Project Azm - i.e. issue a design and development support contract to a Chinese company to work in Pakistan (like BAE will work in Turkey).

Now if the Azm fighter's design and development work is entirely done in Pakistan, the PAF might have a shot at picking up the RR-Kale engine. However, I don't think ToT (besides standard MRO and maybe some parts supply) will be possible in that case.

That said, from Britain's perspective, the TFX is a competitor to the Typhoon Tranche 3. Sure, the TFX isn't available today, but some air forces - like the PAF - might prefer stashing funds for that instead of even trying to pursue an option today, like the T3.

I m not saying make them partner but bring them in to help build and design the bird and get financial help from China, design help from European companies will be better then Chinese as earlier have experience with already deployed and tested 5th gen birds.

 

[The Sandman]

Lol the dream lives on. It lives .... (not really) @Arsalan

If it was about me than pls let me clear it. It's just that i am a huge fan of EFT (followed by mig21 and su35) because of how beautiful and beastly looking it is and obviously i wanted to see it in PAF colors it's just my personal wish that's it and i know PAF won't work according to my wishes or anyone's i obviously don't have any knowledge on modern day fighter jets and @Arsalan told me why there's no point in getting EFT if it's tranche 1 or 2 so i wasn't presenting a wish list or demands like almost every other member do here i hope you will understand it.

 

[Arsalan]

Is Trench-1 worth it, even if PAF had financial means available?

NO!!
Not at all!!

Considering how we relied on Turkey to keep our F16s flying and how we cannot and should not expect the Saudis to extend us the same courtesy in such a desperate time of need. Not worth it. There are better uses of that money, MUCH BETTER uses.

@Basel @Bilal Khan (Quwa) i would like to point you to a huge numerical and technological gap that exists between JF17 Block III and the possible fifth generation (and even beyond the Fifth gen). Need to fill in that gap and JF17 seems like the best possible bet. If we have money to buy Tranche 3 i would invest the same in JF17 to make it into a 4.5 gen plane. We will need just 36/44 planes for deep strike role and that will need to be addressed, all other boxes will be checked.

If it was about me than pls let me clear it. It's just that i am a huge fan of EFT (followed by mig21 and su35) because of how beautiful and beastly looking it is and obviously i wanted to see it in PAF colors it's just my personal wish that's it and i know PAF won't work according to my wishes or anyone's i obviously don't have any knowledge on modern day fighter jets and @Arsalan told me why there's no point in getting EFT if it's tranche 1 or 2 so i wasn't presenting a wish list or demands like almost every other member do here i hope you will understand it.

Nops, i do not think it was about you plus i have explained that already. However we cannot rule out certain someone to go down that road again, just a bit worried about that

 

[The Sandman]

Nops, i do not think it was about you

I just wanted to clear things out.

However we cannot rule out certain someone to go down that road again, just a bit worried about that

Ah i can guess who that someone is but it's good to take a break during serious discussions
well you guys continue with technical discussion than.

 

[Ryuzaki]

It is rumoured that Pakistan will buy these jets at throwaway price

 

[Penguin]

Instead of getting 18 Tranche 2 jets at a price of €109 million each, as stipulated by the original contract, a revised deal agreed by Minister Darabos led to Austria paying an increased unit price of €114 million for 15 partially used, Tranche 1 jets. The 15th and final aircraft was delivered on 24 September 2009. By October 2013, all eurofighters in service with Austria had been upgraded to the latest Tranche 1 standard. In 2014, due to defense budget restrictions, there were only 12 pilots to fly the 15 Eurofighters in Austria's service.

As of 2017, possible corruption affairs surrounding the Eurofighter procurement are still being investigated by the Austrian parliament. Austrian prosecutors are investigating allegations that up to €100 million were made available to lobbyists to influence the purchase decision in favour of the Eurofighter. In February 2017, Austrian Defense Minister Hans Peter Doskozil accused Airbus of fraudulent intent following a probe that allegedly unveiled corruption linked to the order of Eurofighter jets. In July 2017, as a result of ongoing controversy, the Austrian Ministry of Defense announced the phasing out of the Typhoon starting 2020, and its replacement by a "militarily more effective and more cost-efficient" air surveillance system.

Production is divided into three tranches. Tranches are a production/funding distinction, and do not imply an incremental increase in capability with each tranche. Tranches are further divided up into production standard/capability blocks and funding/procurement batches, though these do not coincide, and are not the same thing. For example, the Eurofighter designated FGR4 by the RAF is a Tranche 1, block 5 aircraft. Batch 1 covered block 1, but batch 2 covered blocks 2, 2B and 5.

In April 2016, Finmeccanica (Leonardo from 2017) demonstrated the air-to-ground capabilities of its Mode 5 Reverse-Identification Friend-Foe (IFF) system integrated on an Italian Air Force Tranche 1 Eurofighter Typhoon. This demonstration shows that it is possible to give pilots the ability to distinguish between friendly and enemy platforms in a simple, low-impact fashion using the aircraft’s existing transponder. Finmeccanica says NATO is considering the system as a short- to mid-term solution for air-to-surface identification of friendly forces and thus avoid collateral damages due to friendly fire during close air support operations.

Eurofighters starting with Tranche 1 block 5 have the PIRATE IRST. More advanced targeting capabilities can be provided with the addition of a targeting pod. Tranche 1 aircraft could drop laser-guided bombs in conjunction with third-party designators.

The anticipated deployment of Typhoon to Afghanistan however meant that the UK required self-contained bombing capabilities before the other partners. On 20 July 2006, a £73m deal was signed for Change Proposal 193 (CP193) to give an "austere" air-to-surface capability using GBU-16 Paveway II[182] and Rafael/Ultra Electronics Litening III laser designator for the RAF Tranche 1 Block 5 aircraft . With this upgrade these aircraft were designated Typhoon FGR4 by the RAF. The RAF's Tranche 1 version used the GBU-12 Paveway II in combat over Libya.

---------
Austria to retire Eurofighter Typhoons from 2020

• 07 July, 2017
• SOURCE: FlightGlobal.com
• BY: Dominic Perry
• London

Austria is to phase out its fleet of 15 Tranche 1 Eurofighter Typhoons from 2020, amid a deepening row with the four-nation consortium over the cost and capability of its aircraft.

Vienna in February began legal proceedings against Airbus Defence & Space and Eurofighter over alleged fraud and deception related to its near €2 billion ($2.28 billion) acquisition of the Typhoons in 2003. Airbus and the consortium deny the accusations.

But its proposed exit from Eurofighter operations from the end of the decade reveals the depth of Vienna’s dissatisfaction with the Typhoon.

The Austrian defence ministry describes the Tranche 1 Typhoons, which it received between 2005-2008, as possessing “limited equipment and significant cost uncertainty”.

It says retaining the 15-strong fleet for the next 30 years would see it incur costs of between €4.4 billion and €5.1 billion ($5 billion-$5.8 billion). Figures produced by a special commission appointed to examine the issue suggest the fleet switch would generate potential savings of €100 million to €2 billion in the period to 2049.

At present, Austria conducts airspace policing missions with the Typhoons, as well as an aged fleet of 17 Saab 105OEs. These, it says, will require replacement from 2020.

By aligning the out-of-service dates, Vienna will be able to move to a one-type fleet of 15 single- and three twin-seat aircraft, it says.

Defence minister Hans Peter Doskozil says: "Those who say yes to Austrian neutrality and sovereignty must also say yes to modern, high-performance supersonic aircraft capable of round-the-clock operations.

“At the same time, we need to get the escalating costs of the Eurofighter under control and minimise the enormous cost risks associated with it – in the interests of the taxpayer, and also in relation to the other branches of the armed forces.”

Austria has based its decision on a report generated by the special commission it set up in March, headed by the air force chief Brig Karl Gruber.

The report concludes that the air force requires a new fleet of supersonic fighters, able to operate round the clock, and equipped with guided missiles and an advanced self-defence system.

It says the new aircraft should be acquired via a government-to-government deal and could either be purchased or leased. A separate commission has now been established to examine aircraft and acquisition methods, says the defence ministry.

Among the 19 options analysed by the commission was the upgrading of its current Typhoon fleet and acquisition of three used two-seaters.

“However, continued operations with the existing Austrian Eurofighter fleet would involve cost risks that are difficult to quantify at present," says Gruber, noting the gradual replacement of Tranche 1 examples by the consortium's partner nations Germany, Italy, Spain and the UK.

"Consequently, it appears likely that there will be no uniform Eurofighter Typhoon Tranche 1 system in the future," he says.

Eurofighter declines to comment on the detail of the Austrian report, although it says: ‎"This is an Austrian defence procurement discussion and it is not for us to comment. However, the Eurofighter works very well for all other customers."

As the Saab 105OEs are also used for training missions, the report also signals Austria’s possible intention of replacing its fleet of Pilatus PC-7 turboprop trainers at the same time.

If the PC-7s are phased out it will look to buy training hours from a European partner in the short term, while in the longer term Vienna would upgrade its simulator training and purchase a “high-efficiency trainer” aircraft. It does not specify if this would be jet- or turboprop-powered.
--------
https://www.flightglobal.com/news/articles/austria-to-retire-eurofighter-typhoons-from-2020-439130/

$5 billion-$5.8 billion
/30= 167-193 US$ million annually
/15 = 11.1-12.9 US$ million annually per aircraft

Not including acquisition costs....

 

[Penguin]

Existing threads on this topic
https://defence.pk/pdf/threads/gripen-favored-to-replace-austrian-eurofighters.505247/
https://defence.pk/pdf/threads/austria-to-sue-airbus-over-eurofighter-deal.478753/#post-9220729
https://defence.pk/pdf/threads/aust...ase-fighter-jets-instead.505448/#post-9643459