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Feds cancel Thales Canada deal, ends support for F-18s

The Harper government is terminating its contract with Thales Canada Ltd., which was to supply new radar units to support Canada’s CF-18 fighter jet squadrons in Cold Lake, Alta., and Bagotville, Que.

The deal signed in November 2010 was initially worth $55 million for two tactical-control radar systems, with delivery to begin in 2013. Thales won the tender over one other bidder.

Defence Department documents show costs had risen to more than $78 million by 2013. And by November last year, the Public Works Department was deep in negotiations with Thales to resolve problems. | READ MORE