A400M to be four years late, says French DGA

On March 12, the seven launch customers for the Airbus Military A400M transport aircraft – Germany (60 aircraft), France (50), Spain (27), the UK (25), Turkey (10), Belgium (7) and Luxembourg (1) – all agreed to a three-month contract moratorium from April 1, in order to try and adopt a common approach to the troubled program. This means that, until July1, none of the seven launch nations will cancel their orders for the aircraft.

     Meanwhile, on March 17, the new Chief Executive of the French DGA national armaments directorate, Laurent Collet-Billon, said that a DGA audit showed that the A400M program would be delayed by four years, rather than the three claimed by Airbus Military and its parent company, EADS.

     Collet-Billon said that EADS plans to deliver “a first aircraft after three years, with the second aircraft shipped after four years.” He added that “a reduction in the target” of orders is one of the options under consideration for the French Air Force. Cancellation by France is not an option, however. “This plane is indispensable,” he said.

     The French Air Force’s fleet of 65 Transall C-160R transport aircraft “is at the end of its tether,” he continued and, to fill the airlift gap, “We are looking at all options… We are looking at leasing certain types of aircraft through NATO. There are no taboos.”  This could mean interim leases by the French Air Force of either NATO-owned Boeing C-17s or some of the Alliance’s already leased Ukrainian Antonov An-124-100 Ruslans.

Discussions on contract re-negotiation

During the moratorium on the Euros 20 billion (US$25 billion) A400M contract signed with OCCAR on behalf of the launch customers, and probably starting in April, the launch customers, EADS and Airbus Military are to discuss re-negotiation of the contract.

     The discussions are expected to focus on EADS’ desires for later delivery dates, revised (i.e. lower) technical specifications, lower penalties for late deliveries and generous allowances for inflation. In addition, EADS warns that “Revised industrial plans to complete the A400M program could lead to a significant charge.”

     Few, if any, of the customer air forces are likely to agree, but they may be overruled by their political masters.

Germany’s position

On March 19, German Deputy Defence Minister Ruediger Wolf said that it would be more realistic to extend the contract moratorium to six months, in order to allow EADS and Airbus Military to get the A400M program back on track.

      But, he said, to bring pressure on EADS, “Cancellation must be a serious option after a delay of three to six months.”

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