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MOD awards 75 million Nimrod contract to BAE SYSTEMS

09 Oct 2002

BAE Systems has been awarded a 75 million maintenance contract which will guarantee availability of the Nimrod Maritime Reconnaissance fleet to the Royal Air Force for the next six years.

Operating out of RAF Kinloss, the primary role of the Nimrod MR2s is to hunt and, if necessary, destroy non-friendly submarines and surface ships in British waters. The Nimrod's long-range capability also makes it an ideal aircraft to carry out search and rescue missions in areas beyond the reach of helicopters.

The signing of the contract marks the culmination of over a year's work between the Defence Logistics Organisation's Equipment Support (Air)'s Nimrod Integrated Project Team (IPT), and BAE Systems Customer Solutions and Support Business. Under the incentivised contract, BAE Systems will provide guaranteed levels of Nimrod availability through spares-inclusive maintenance. BAE Systems will also carry-out major and minor maintenance and ensure an agreed level of airframe components are available to support the RAF's first and second-line maintenance of the Nimrod MR2 fleet.

The Nimrod Integrated Support Contract will run for some six years. The work, which will be undertaken at RAF Kinloss, also integrates the provision of design support and will help significantly in the transition to support solutions for Nimrod MRA4.

Group Captain George Baber, the Nimrod IPT Leader, based at RAF Wyton, Huntingdon, Cambridgeshire said, "This payment-by-results contract is a significant step forward in the advancement of support provision. Not only does it achieve the 20 per cent cost savings in Nimrod support we were striving for, but it also provides BAE Systems with a long-term order book."

"BAE Systems has already completed two successful contracts in Nimrod maintenance and post-design services both of which have delivered savings and enhanced performance. The company's excellent track records on these contracts have given us the confidence to include spares and repairs in one all-embracing output contract."

Steve Millward, Director Tanking, Transport & Reconnaissance Operations at BAE Systems said "Successful delivery of an incentivised service relies heavily on the supply chain integration, effective management and a good relationship with the customer and other partners. I am confident that together we will successfully deliver this innovative programme."

Notes to Editors:

1. BAE Systems and the MOD established a joint team in early 2001 to develop support proposals for Nimrod MRA4. The 50-strong team is based at Warton and is working to develop priced long-term support arrangement that can be implemented in time for the aircraft's scheduled entry to service in 2005. The main elements being addressed by the proposals include post design services, air-vehicle maintenance, supply chain management and training system support.
2. RAF Kinloss is home to 21 Nimrods whose primary role is to hunt and, if necessary, destroy non-friendly submarines and surface ships in British waters. Based on the Comet airliner, the Nimrod is the only land-based pure jet maritime reconnaissance aircraft in the world, combining the ability to transit at high speed to its operating area with lower speeds necessary for search and surveillance when on task.