BAE SYSTEMS Tornado Major servicing Agreement Extended
21 Jul 2004
His Royal Highness Prince Sultan bin Abdul Aziz Al Saud, Minister of Defence and Aviation and Inspector General, has signed a key agreement extending Royal Saudi Air Force Tornado work at the Programmed Depot Maintenance facility at Alsalam Aircraft Company in Riyadh. The initial agreement with the option to extend provides the platform for future work to be carried out at Alsalam.
Programmed Depot Maintenance, or PDM as it is widely known, was set up by Alsalam and BAE Systems in 1997. The purpose is to carry out deep strip maintenance that is ‘programmed’ into the life of an aircraft.
The original decision to transfer this work to Alsalam, with BAE Systems acting in its role as the design authority, was highly significant. It set up the notion of transferring expertise and technology-based systems to the Kingdom.
The maintenance work was carried out in the UK prior to 1997 and the transfer to Alsalam brings savings in both cost and time to the Royal Saudi Air Force. It is also a net addition to wealth and job generation in Saudi Arabia. During the maintenance process in the future, the air force has the option to update and replace Tornado systems actually in the Kingdom.
The contract signing also indicates the full commitment to Saudisation of Alsalam and BAE Systems and indicates the determination of the RSAF to improve employment prospects for all Saudis by demanding that their suppliers improve levels of Saudisation.
Martin McCann, BAE Systems director of Al Yamamah, expressed his delight at the agreement. “This is something we have been working towards for some time and it is a further indication that the company will continue to have a strong presence in Saudi Arabia for many years ahead.
“This facility proves that advanced aviation work can be conducted in-Kingdom and the development of the Saudi national workforce at the facility is continuing to proceed well,” said Martin McCann. “This will help the company in its intentions to help in the creation and growth of a domestic aviation engineering sector in Saudi Arabia, a stated wish of the government.
“A feature of the new contract with Alsalam is to give them more management responsibility. Alsalam will also take on the job of supplying local procurement of consumable items and expanding the local manufacture of other parts.”
Mohammed Fallatah, Alsalams President & CEO, sees this agreement as an important development in Alsalams long-standing relationship with BAE Systems. “Since 1997 Alsalam has steadily increased its participation in the Tornado PDM and this latest development not only demonstrates the continuing level of cooperation between our two companies but Alsalams commitment to increasing our capabilities and levels of Saudisation.”
The Tornado PDM facility has 125 staff in total. Both Alsalam and BAE Systems are working towards Alsalam having over 80 per cent of staff at the facility with BAE Systems staff having the remaining positions.
About BAE SYSTEMS
BAE Systems is one of the largest employers in Saudi Arabia with a workforce of 4,800 people, of whom Saudi nationals now constitute more than 50 per cent. It is an international company engaged in the development, delivery and support of advanced defence and aerospace systems in the air, on land, at sea and in space. The company designs, manufactures and supports military aircraft, surface ships, submarines, radar, avionics, communications, electronics and guided weapon systems. It is a pioneer in technology with a heritage stretching back hundreds of years. It is at the forefront of innovation, working to develop the next generation of intelligent defence systems.
BAE Systems has major operations across five continents and customers in some 130 countries. The company has more than 90,000 people and generates annual sales of approximately 12 billion through its wholly-owned and joint venture operations.
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