UAE May Buy $9 Billion U.S. Military Wares
The United Arab Emirates may buy roughly $9 billion of U.S. military wares, including $8.25 billion of missile and missile/air defense systems and $774 million worth of Black Hawk helicopters.
That gigantic purchase, equaling about 10 percent of the entire annual U.S. military procurement budget, demonstrates how stratospheric oil prices provide OPEC nations the wherewithal to go on extensive military shopping sprees.
The Defense Security Cooperation Agency (DSCA) in the U.S. Department of Defense notified Congress of the possible Foreign Military Sales to the geographically tiny but financially powerful UAE, broken down into several sales:
- Terminal High Altitude Area Air Defense (THAAD) missile defense fire units and related gear are worth up to $6.95 billion if all options are exercised. Lockheed Martin [LMT] leads the program. With Raytheon [RTN] playing a leading role. That would include three fire units and 147 missiles, four radar sets (three tactical and one maintenance float), six fire control and communications stations, and nine launchers. Also included are fire unit maintenance equipment, prime movers (trucks), generators, electrical power units, trailers, communications equipment, tools, test and maintenance equipment, repair and return, system integration and checkout, spare/repair parts, publications, documentation, personnel training, training equipment, contractor technical and logistics personnel services, and other related support elements.
- Avenger and VMSLP gear would be worth $737 million, if all options are exercised. This is a Boeing [BA]-led program, with Raytheon playing a leading role. The UAE would buy 78 complete fire units including Vehicle Mounted Stinger Launch Platform (VMSLP) fire units (72 Tactical and six maintenance floats); 780 Stinger- reprogrammable micro-processor (RMP) Block 1 Anti-Aircraft missiles; 24 Block 1 Buy-to-Fly missiles; 78 Captive Flight Trainers, 16 AN/MPQ64-F1 Sentinel Radars; 78 AN/VRC-92E single channel ground and airborne radio system (SINCGARS) radios; 78 Enhanced Position Location Reporting System (EPLRS) Radios; 20 integrated fire control stations, S250 shelters on Humvee vehicles, communication and support equipment, system integration and checkout, tools and test equipment, spare and repair parts, publications, installation, personnel training and training equipment, U.S. Government and contractor technical support services, and other related elements of logistics support. Principal contractors will be Boeing Aerospace Co. of Huntsville, Ala., Raytheon Missile Systems of Tucson, Ariz., and Thales Raytheon of Fullerton, Calif. The United Arab Emirates does desire a government support presence in its country on an extended basis. An in-country field office comprised of three contractor Field Service Representatives and one U.S. government personnel will be stationed in the United Arab Emirates for a period of five years.
- Surface Launched Advanced Medium Range Air-to-Air Missiles (SL-AMRAAM). The UAE package of air-to-air missiles would be worth up to $445 million if all options are exercised. This is a Raytheon-led program. This would include 288 AIM-120C-7 Advanced Medium Range Air-to-Air Missiles (AMRAAM) Air Intercept Missiles, two Air Vehicle-Instrumented (AAVI), 144 LAU-128 Launchers, Surface Launched Advanced Medium Range Air-to-Air Missile (SL-AMRAAM) software, missile warranty, KGV-68B COMSEC chips, training missiles, containers, support and test equipment, missiles components, spare/repair parts, publications, documentation, personnel training, training equipment, contractor technical and logistics personnel services, and other related support elements. The UAE intends to request offsets; agreements are undetermined and will be defined in negotiations between the purchaser and contractor. Implementation of this proposed sale will require the assignment of 10 U.S. government personnel and 15 contractor representatives to the United Arab Emirates for a period of three months. Also, various personnel will be required to travel to the United Arab Emirates in one-week intervals, for surveys and other program requirements.
- A fourth UAE missile-related deal would involve Patriot Advanced Capability-3 (PAC-3) defense systems worth up to $121 million if all options are exercised. This is a Raytheon-led program, with Lockheed playing a key role. The deal would include four PAC-3 Intercept Aerial Missiles with containers, 19 MIM-104D Guided Enhanced Missiles-T with containers (GEM-T), 5 Anti-Tactical Missiles, and 5 Digital Missiles. These missiles are for lot validation and testing of the PAC-3 missiles notified for sale in Transmittal Number 08-17. Also included: AN/GRC-245 Radios, Single Channel Ground and Airborne Radio Systems (SINCGARS Export), power generation equipment, electric power plant, trailers, communication and support equipment, publications, spare and repair parts, repair and return, U.S. government and contractor technical assistance and other related elements of logistics support. The UAE intends to request offsets; however, agreements are undetermined and will be defined in negotiations between the purchaser and contractor. Implementation of this proposed sale will require assignment of U.S. government or contractor representatives to the UAE. An in-country field office will likely be manned by one to four U.S. government personnel who will remain in country for an undetermined length of time. A total of 65 contractor personnel are expected to be in country for an extended period for training purposes.
These notices to Congress don’t mean that the sales deals have been finalized.
Also, the DSCA notified Congress of a planned Black Hawk helicopter sale to the UAE worth $774 million. Black Hawks are made by Sikorsky Aircraft, a unit of United Technologies [UTX].
In this transaction, the UAE would get 14 UH-60M helicopters with engines; 6 T700-GE-701D spare engines; 14 AN/ALQ-144A(V)3 Infrared (IR) Countermeasure Sets, AN/APR-39A(V)4 Radar Signal Detecting Sets, AAR-57(V)3 Common Missile Warning Systems, and AN/AVR-2B Laser Warning Sets; weaponization of 23 UH-60M Black Hawk helicopters; 390 AGM-114N Hellfire missiles; 8 Hellfire training missiles; 30 M299 Hellfire launchers; 23,916 MK-66 Mod 4 2.75″ Rocket Systems in the following configuration: 1,000 M229 High Explosive Point Detonate, 540 M255A1 Flechette, 1,152 M264 RP Smoke, 528 M274 Smoke Signature, 495 M278 Flare, 720 M274 Infrared Flare, 20,016 HA23 Practice; 22 GAU-19 Gatling Gun Systems; and 93 M-134 Mini-Gun.
The UAE also would receive spare and repair parts, publications and technical data, support equipment, personnel training and training equipment, ground support, communications equipment, U.S. government and contractor technical and logistics personnel services, aircraft survivability equipment, tools and test equipment, and other related elements of logistics support.
The United Arab Emirates (UAE) plans to increase its air mobility capability and existing helicopter fleet. The Black Hawks will be used for various military operations to include protection of sovereign borders as well as protection and defense of U.S. and coalition strategic facilities.
Principal contractors will be: Sikorsky, of Stratford, Conn., and General Electric of Lynn, Mass. The UAE requested offsets; however, at this time, agreements are undetermined and will be defined in negotiations between the purchaser and contractor.
Implementation of this proposed sale will require the assignment of six to eight contractor representatives to the UAE for approximately two years after initial fielding to assist in the delivery and deployment of the helicopters.
NASA Gives $77 Million Information Tech Contract To Perot Systems
NASA gave Perot Systems a potential $77 million contract for information technology services at Ames Research Center, Calif.
The bridge contract goes to Perot Systems Government Services, Inc., of Fairfax, Va.
Perot will provide support for information technology systems and facilities; network/communications, business systems, scientific computing systems; and outreach/informational systems.
Work will be performed at Ames, in a 13-month base period followed by three one-month options.