All Hawk trainer issues with India resolved: BAE Systems

BAE Systems has asserted that issues concerning the Hawk trainer jet deliveries have been resolved to “both parties’ satisfaction” and that there are no outstanding concerns regarding the delivery of parts for the aircraft which is being manufactured under licence in India by Hindustan Aeronautics Limited (HAL). “The follow on Hawk contract signed this summer for a further 57 aircraft is testimony to both the aircraft’s performance for the Indian Air Force (IAF) and the strong relationship existing between HAL and BAE Systems”, said Guy Douglas, BAE Systems spokesperson in India. India’s defence minister A.K. Antony had told Parliament earlier this week that BAE Systems had been fined for supplying defective components which in turn had caused a delay in the supply of the aircraft by HAL to the IAF. "In view of the delay in delivery of Hawk by HAL due to the receipt of defective components, jigs and fixtures from the foreign manufacturer, on whom liquidated damages have been levied, the original training plan by Hawk AJT for 2010-11 has been modified," he had said. A HAL source told defenseworld.net that damages were in the region of $10 million which was required to enable retooling and fixtures necessary for the assembly which had not been originally supplied by the manufacturer. The licence manufacture of Hawk trainers at HAL is again as per schedule and supply of aircraft to the IAF should be normalized from the beginning of next year, he said. Relationship between HAL and BAE Systems had soured last year prompting the Indian MoD to issue an RFP for trainer jet aircraft early 2009. However, protracted negotiations between the two companies led to the settlement of the components and jigs issue and following the reported payment of damages, the follow on order for 57 jets was placed worth GBP 700 million.