KUALA LUMPUR - MALAYSIA will buy 12 military helicopters from
Eurocopter in a S$686 million deal, an official said on Thursday,
two years after the plan was shelved due to the financial
crisis.
In October 2008 the government scrapped a contract awarded to
the European firm for 12 Cougar EC725 helicopters as a cost-cutting
move and to reprioritise its budget because of the bleak global
economy.
A defence ministry official confirmed the order had been
reinstated, with government officials signing a contract worth 1.6
billion ringgit (S$686 million) with Eurocopter at a defence
exhibition in Kuala Lumpur this week.
'We are expecting Eurocopter to deliver the first helicopter in
2012,' the official, who requested for anonymity, told AFP. He
added that the ministry will officially get an endorsement of the
deal from the cabinet on Friday.
Eurocopter is the helicopter unit of European aerospace giant,
the European Aeronautic Defence and Space (EADS). The group's
products account for 30 per cent of the total world helicopter
fleet.
Eurocopter was awarded the contract to replace Malaysia's fleet
of 28 military Nuri transport helicopters in 2008, but opposition
parties criticised the deal and alleged there were irregularities
involved in the procurement. The government has denied the claim.
-- AFP