Saab receives second development order for Gripen E from FMV
LINKÖPING, Sweden -- March 22, 2013
Defence and security company Saab (STO:SAABB) has, within the framework of the
agreement with the Swedish Defence Materiel Administration (FMV) that was made
public on February 15 2013, received a development order amounting to SEK 10.7
billion for operations during 2015-2023.
The agreement with FMV on Gripen E, that was made public on February 15 2013,
includes the development and modification of Gripen E for Sweden during the
period 2013-2026 as well as a possible order for new production of Gripen E
FMV has today placed an order for the remaining development work for Gripen E
corresponding to SEK 10.7 billion. The order includes definition and
development work as well as adaptation of test and trial equipment, simulators
The total value of possible orders under the agreement amounts to a total of
SEK 47.2 billion, of which SEK 13.2 billion now has been received, and these
will be booked when each order is received. Remaining orders within the
agreement are expected in 2013-2014.
“This is a strategically important order and of great significance for both
Saab as a company and Gripen as a system. Gripen is one of the most modern
fighter aircraft systems and through this development order, and the expected
modification order from Sweden, we have a strong competitive advantage when we
now increase our efforts on the export market,” says Saab’s President and CEO
The Gripen system is a unique fighter aircraft system with high defence
capability. The system is today used by five countries and also by the British
air force for training purposes.
”Now we have orders from FMV on the complete development of Gripen E, which
makes it possible for us, FMV and our partners to work very cost effectively.
In our civil programmes, the Neuron project and the Gripen Demo program we
have systematically and step by step developed and tested a methodology the
for development of aircraft systems, making us uniquely effective in our
industry on a global level,” says Lennart Sindahl, Head of Saab’s business
As made public on February 15 2013, the other parts of the agreement with FMV
includes: possible orders of modification of 60 Gripen C to Gripen E to Sweden
with first deliveries to Sweden in 2018; mission-specific equipment and
support and maintenance for Gripen E to Sweden with initial deliveries in
2018, and; delivery of 22 brand new Gripen E, and related equipment to
Switzerland, if the country decides to acquire Gripen E.
The agreement includes rights for FMV - conditional to certain pre-requisites
- to fully or partly make cancellations. If so, Saab has the right to
compensation for costs incurred and costs for discontinuation. The agreement
also includes sections regulating the conditions should Switzerland decide not
to acquire Gripen E.
Saab serves the global market with world-leading products, services and
solutions ranging from military defence to civil security. Saab has operations
and employees on all continents and constantly develops, adopts and improves
new technology to meet customers’ changing needs.
The information is that which Saab AB is required to declare by the Securities
Business Act and/or the Financial instruments Trading Act. The information was
submitted for publication on March 22 at 15.30.
This information was brought to you by Cision http://news.cision.com
Saab Press Centre
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