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Saab to cut Swiss Gripen fighter price: report

Saab to cut Swiss Gripen fighter price: report

Published: 08 Feb 2012 15:18 GMT+01:00
Updated: 08 Feb 2012 15:18 GMT+01:00

In November, Dassault lost out on a bid to replace Switzerland's ageing F5 fighter fleet when the Federal Council opted instead to buy 22 Saab Gripen planes for an estimated 3.1 billion francs (2.6 billion euros).

"The price will be less than 3.1 billion (francs), Saab's Switzerland director Anders Carp was quoted by the Swiss daily Tages-Anzeiger as saying.

Sources cited by the newspaper suggested the new price could be between 2.5 and 2.8 billion francs.

It is understood Saab wants to challenge a reported counter-offer by Dassault proposing 18 Rafale planes for 2.7 billion francs.

Dassault sent a letter outlining the proposal to the security commission of the Swiss parliament, which still has to approve the Gripen purchase.

The Swiss government must formally endorse the deal this month and it will then be sent to lawmakers for final approval later this year.

Saab has said Bern can sign the Gripen contract directly with the Swedish government which would act as a guarantor in the event of any difficulty in delivering the aircraft, Hakan Jevrell from the Swedish defence ministry told Tages Anzeiger.

Last month, India announced it had selected Dassault as sole bidder to negotiate a sale of 126 Rafales estimated at $12 billion (9.1 billion euros).

AFP/The Local (news@thelocal.se)

Your comments about this article

15:42 February 8, 2012 by millionmileman
Whatever it takes because the French Rafale recevied a whooping 136 plane possible order from India last week. Brazil is within grasp and then the NG Gripen is the the best value for money in the world because of its performance.
16:27 February 8, 2012 by BritVik
You can tell that Sarkozy is doing all he can to remain in power. The man is so desperate he will take any steps, however questionable, to keep his presidency, hence encouraging French industry to cut prices and boost the failing economy.
21:41 February 8, 2012 by johan rebel
The Swiss will be pleased to learn that Saab was planning to flleece them to the tune of somewhere between 300 and 600m Swiss francs before the French came along and forced them to reduce the asking price.
16:21 February 9, 2012 by glenquagmaire
Good point @ Johan Rebel... competition brings in the true business value...
17:39 February 9, 2012 by Migga
Dassault lost and was out of the race. That`s when they start rumors about a lower price. A price they would never live up to. But it worked well as a cheap trick to make sure their competators get`s as little out of the deal as possible.
06:03 February 13, 2012 by sunnchilde
The French were probably feeling the pressure to push their Dassault Rafale fighter. Before this India order, they hadn't been able to convince anybody to buy their Rafale fighter. Can't you see how that would be an embarrassment to them? The French are a proud people. Building a main line fighter that nobody else wants and nobody else flies except for them? That's embarrassing.
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