AWD contract signed

From Defense Aerospace

Air Warfare Destroyers – The Foundation Laid

(Source: Australian Minister for Defence; issued Oct. 4, 2007)

I am pleased to announce the signing of the final contracts to build three Air Warfare Destroyers (AWDs) for the Royal Australian Navy. At a total cost of approximately A$8 billion, this is the largest naval shipbuilding project ever undertaken in Australia.

The signing follows two years of hard work by the AWD team in the design selection phase of the project that resulted in the Australian Government choosing the Spanish Navantia F-100 warship as the platform for Australia’s next generation Hobart-class AWDs.

The first of these Air Warfare Destroyers will be delivered in late 2014, followed by the second and third ships in early-2016 and mid-2017 respectively.

The project will provide enormous opportunities for Australia’s shipbuilding, electronics and engineering industries, creating 1,500 shipbuilding jobs in South Australia. Another 1,500 jobs will be created throughout Australia.

The Aegis-equipped F100 as our next generation Air Warfare Destroyer will provide the Navy with one of the world’s most capable warships.

The Australianised F100 will be capable across the full spectrum of joint maritime operations, from area air defence and escort duties, right through to peacetime national tasking and diplomatic missions.

Since entering service with the Spanish Navy, F100s, among their many other tasks, have worked alongside the United States Navy (USN) as the first foreign Aegis equipped ship to be fully integrated into a USN Carrier Strike Group.

The principal contract signed today was the three-way Alliance Based Target Incentive Agreement between the Defence Materiel Organisation, ASC AWD Shipbuilder Pty Ltd and Raytheon Australia Pty Ltd.

This contract does not include the Commonwealth contract for the Aegis Combat System, which is a separate agreement between the Australian and United States Governments.

The other contract signed today was the Platform System Design contract between the Commonwealth and Navantia S.A.

Australian Industry will play a pivotal role in the success of the AWD project by providing specialised skills and equipment to the AWD Alliance. Australian Industry is expected to deliver products and services for around 55 per cent of the AWD Program over the next 15 years. This will be followed by high value through life support contracts into the middle of the century.

Teams from the Air Warfare Destroyer Alliance will be touring Australia in late October-early November to promote project opportunities to Australian industry.

The Australia-wide tour will see two teams from the Alliance visiting Canberra and Cairns (22 October), Newcastle and Wollongong (23 October), Sydney and Launceston (24 October), Brisbane (25 October), Melbourne (26 October), Adelaide (30 October) and Perth (2 November). More details will be announced shortly on the AWD Alliance website at www.ausawd.com.

Companies interested in becoming involved in the AWD Program can register on the AWD Alliance Supplier Registration Portal also on the AWD Alliance website. (ends)

Air Warfare Destroyer Build Phase Commences

(Source: Air Warfare Destroyer Alliance; issued Oct. 4, 2007)

The Air Warfare Destroyer (AWD) Alliance is pleased to announce another milestone in the development of the AWD Program.

The AWD Alliance (the Defence Materiel Organisation, ASC and Raytheon Australia) have now signed the Build Phase contract which commits the Alliance Participants to work together as an integrated team to deliver the Royal Australian Navy's (RAN) next generation HOBART Class AWDs. The AWDs will provide air defence for accompanying ships, land forces and infrastructure in proximate coastal areas and for self-protection against attacking missiles and aircraft.

Chief Executive Officer of the Air Warfare Destroyer Alliance Mr John Gallacher hailed the significant milestone as further evidence that the Alliance is on track and delivering its value proposition to the Commonwealth.

“While DMO, ASC and Raytheon Australia have been working together for two years now, this signing ceremony signals the beginning of a period of high intensity for the Alliance,” Mr Gallacher said. “The Build Phase will require the engagement of hundreds of Australian suppliers and the success of the Alliance will depend on our people working as one team to meet the challenges of one of the most sophisticated engineering projects underway in the global defence industry.”

Chairman of ASC, Mr John Prescott, praised the AWD Alliance team for their dedication towards reaching this important program milestone.

“The commitment of all Alliance participants to arrive at this historical point in the AWD Program cannot be understated. As ASC now turns to the exciting challenge of building Australia’s next generation warship, we do so with the comfort and knowledge that this dedicated Alliance team will be at the helm.”

Ron Fisher, Managing Director of Raytheon Australia acknowledged the achievement, "Today's milestone is about our commitment to deliver NoDoubt Mission Assurance to the RAN through Raytheon's expertise as Australia's leading Mission Systems Integrator. We've prepared well in the earlier phases and today marks the moment when the Alliance begins building Australia's most advanced ships" he said.

AWD Program Manager, Mr Warren King, joined his Alliance colleagues in underlining the significance of this milestone. “This is the first time Defence has used an Alliance contracting strategy for a major defence project and signals the beginning of a new era in defence and industry engagement”, he said. “The DMO looks forward to working as one team alongside ASC and Raytheon Australia in delivering this next generation capability to tomorrow’s Navy.”

Today’s signing ceremony also celebrated the beginning of the DMO’s partnership with the HOBART Class Platform System Designer, Navantia. Navantia is one of the most advanced shipbuilders in Europe and has centuries of experience designing and building warships for the Spanish Armada and a number of international customers.

While Navantia will be a subcontractor to the Commonwealth, the Design Team will be seamlessly integrated into the Alliance working environment to achieve common Alliance goals. The Alliance looks forward to the opportunity to work closely with Navantia throughout the life of the AWD Program.

The AWD Program ensures the timely and efficient delivery of an affordable, effective, flexible and sustainable AWD capability for the security of Australia. The Program uses an alliance-based contracting strategy for the design and build phase. Under this alliance, the Commonwealth, ASC and Raytheon Australia, work as an integrated team to achieve project objectives. The AWD Alliance Team includes personnel from the DMO, ASC and Raytheon Australia – supported by Navantia as the Platform System Designer and a range of sub-contractors.

AWD Alliance Industry Engagement Roadshow

The AWD Alliance is pleased to announce it will be conducting a National Industry Engagement Roadshow in late October – early November. The Roadshow seeks to inform industry about the opportunities available to suppliers wishing to participate in the largest Defence acquisition ever undertaken in Australia. (ends)

AWD Contract Heralds New Era

(Source: ASC Pty. Ltd.; issued Oct. 4, 2007)

Twenty years after signing a contract to build Australia’s fleet of Collins Class submarines, ASC Pty Ltd has today secured the agreement to construct Australia’s air warfare destroyers (AWDs).

Heralding a new era for the company, ASC signed the Alliance Based Target Incentive Agreement (ABTIA) in ASC’s AWD shipyard in Osborne, South Australia, along with the other AWD Alliance members, including Defence Materiel Organisation and Raytheon Australia.

The ABTIA commits the Alliance members to work as an integrated team to deliver the Royal Australian Navy’s next generation warships.

ASC Managing Director Greg Tunny said the significance of this milestone – representing the start of construction activities - could be likened to signing the Submarine Build contract twenty years earlier.

“While ASC has been involved in the Air Warfare Destroyer Program for two years now, today we signed the agreement that will ultimately see Australia’s air warfare destroyers built,” he said.

“This is tremendously exciting news for the company; both for our employees and for ASC’s future. We now set upon the challenging task of constructing Australia’s air warfare destroyer capability.”

To support the shipbuilding effort, ASC’s workforce will double by an additional 1,000 people, with spin-off opportunities set to benefit local industry.

The Build Phase that ASC has now entered involves design planning, engineering and development, and commencement of air warfare destroyer construction activity.

“The commitment of all Alliance participants to arrive at this historical point in the AWD Program cannot be understated,” said Greg Tunny.

“As ASC now turns to the exciting challenging of building Australia’s next generation warship, we do so with the comfort and knowledge that this dedicated Alliance team will be at the helm.”(ends)

Air Warfare Destroyer Build Begins With Contract Signature

(Source: Raytheon Australia; issued Oct. 4, 2007)

CANBERRA, Australia --- Representatives of the AWD Alliance (the Commonwealth of Australia, Raytheon Australia and ASC) have signed Australia's Air Warfare Destroyers (AWD) Phase III contract signalling the start of building. The AWD Alliance is committed to working together as an integrated team to deliver the Royal Australian Navy's next generation Hobart Class AWDs. The AWDs will provide air defence for accompanying ships, land forces and infrastructure in proximate coastal areas and for selfprotection against attacking missiles and aircraft.

Ron Fisher, Managing Director of Raytheon Australia was positive about the achievement, "Today’s milestone is about our commitment to deliver NoDoubt Mission Assurance to the RAN through Raytheon’s expertise as a Mission Systems Integrator. We’ve prepared well in the earlier phases and today marks the moment when the Alliance begins building Australia’s most advanced ships” he said.

As the AWD Mission Systems Integrator, Raytheon Australia will ‘Australianise’ the combat system around the Aegis core. The contract, worth A$1.4billion (US$1.2billion) to Raytheon, covers the design, development and procurement of the Australianised Combat System. Dan Smith, President of Raytheon Integrated Defense Systems and member of the AWD Principals' Council affirmed the importance of the program to Raytheon.

"Our strong pedigree as a Mission Systems Integrator provides our Australian team with Reachback™ – the ability to draw on the company's collective wealth of experience and expertise for the program's success. Raytheon is proud to be a partner with this team in what will be the most advanced shipbuilding project in Australia's history," he said.

Raytheon Australia was selected for the AWD Alliance in April 2005 and will continue to partner with Australian industry over the life of the project.

With facilities located across the country, Raytheon Australia is a highly capable prime contractor with an engineering and technical workforce of some 1300 backed by world-class management and quality systems. This local presence is bolstered by strong relationships with small and medium sized enterprises and access to the global resources of Raytheon Company.

Raytheon Australia is a wholly owned subsidiary of Raytheon Company. Raytheon Company, with 2006 sales of $20.3 billion, is a technology leader specialising in defence, homeland security and other government markets throughout the world. With headquarters in Waltham, Mass., Raytheon employs 73,000 people worldwide.