PROCUREMENT NEWS

Canada : CAE wins defence contracts valued at more than C$110 million

Published 10 Jan 2014

CAE today announced that it has won contracts valued at more than C$110 million, not including options, to provide a range of training systems and services for defence customers. The contracts, which add to CAE's third quarter fiscal year 2014 order intake, include a new program to provide Beechcraft T-44C aircrew training for the United States Navy, a foreign military sale contract to provide an MH-60R Seahawk helicopter simulator for the Royal Danish Navy, and a contract from Beechcraft to provide a T-6C ground-based training system (GBTS) for the Mexican Air Force.

"CAE is a skilled and experienced training systems integrator with the proven capability to deliver comprehensive, integrated training solutions," said Gene Colabatistto, Group President, Defence and Security, CAE. "We are continuing to be successful with platforms where we have a strong position such as the MH-60R as well as pursue and win a range of turnkey training programs, such as the U.S. Navy T-44C. We are encouraged by the pipeline of global opportunities we have in front of us in both the traditional defence market as well as adjacencies such as public safety and security."

U.S. Navy T-44C
CAE USA will provide comprehensive T-44C aircrew training services at Naval Air Station (NAS) Corpus Christi in Texas. Under terms of the contract, which was awarded as a nine-month base contract for US$3.5 million with an additional six one-year options valued at a total of more than US$30 million, CAE USA will provide T-44C aircrew training services under a contractor-owned, contractor-operated training program. CAE will be providing classroom and simulator training for more than 500 students annually to support the Navy's T-44C aircraft, which is used for multi-engine intermediate and advanced flight training. As part of the T-44C aircrew training program, CAE will be providing a suite of new T-44C training devices to ensure concurrency with the digital, glass cockpit avionics suite in the T-44C aircraft.

"This is a new program for CAE USA, and we are honored the U.S. Navy has selected us following a competitive acquisition process," said Ray Duquette, President and General Manager, CAE USA. "We are also encouraged by the Navy taking an innovative approach to procuring aircrew training services under a contractor-owned and contractor-operated training program. We will provide the required T-44C training devices, and then put these new training devices into service to support the overall T-44C training program. We believe this approach to training service delivery can help our military customers save money, decrease risk, secure investment and contribute to enhanced training effectiveness."

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