CAE wins military contracts worth over $100M
CAE wins military contracts worth over $ 100M
Flight training and technology firm CAE Inc. has won a series of military contracts worth over $ 100 million with the Netherlands, Germany, and other global defence forces.
December 10, 2009 By Administrator
Dec. 10, 2009 – Flight training and technology firm CAE Inc. has won a series of military contracts worth over $100 million with the Netherlands, Germany, and other global defence forces.
The deals announced Thursday include a major contract with the Royal Netherlands Air Force to expand CH-47 Chinook helicopter training at CAE's facility in the United Kingdom.
Under terms of the contract, CAE will upgrade one of the simulators, and RNLAF Chinook aircrews will continue training at the facility through 2018.
"(The RNLAF) decision to increase their training with CAE is a welcome endorsement of our strategy to offer contemporary turnkey training services tailored to customer requirements,'' CAE group president of military products, training and services Martin Gagne said in a statement Thursday.
The RNLAF began training their CH-47 Chinook aircrews at the U.K. facility in 2003.
Montreal-based CAE will also provide product enhancements to its command and staff training system for the German Army.
The contracts come after an industry wide aerospace downturn, in which the company's simulation sales dropped 44 per cent to $63.9 million in the quarter ended Sept. 30.
CAE, which employs more than 6,500 people in 20 countries, has said cost-cutting and its growing military business will help it through the recovery period.
The company announced 700 layoffs in May, including 600 in Montreal.
Shares in the company were up three cents to $8.61 during Thursday morning trading on the Toronto Stock Exchange.