Poland Abandons Airbus Helicopter Purchase
October 11 2016 - 10:51AM
Dow Jones News
Martin M. Sobczyk
WARSAW--The Polish government said on Tuesday it has walked away
from a deal for 50 Caracal helicopters from Airbus because it was
bad for national security, as Airbus insisted it had been misled in
the bidding process.
Poland last week said it ended talks with Airbus Helicopters
over a $3.5 billion delivery. It later said it would buy Black Hawk
helicopters made in Poland by Lockheed Martin.
The decision to reject a deal first agreed by the previous
Polish government has strained ties with North Atlantic Treaty
Organization ally France, whose president delayed a planned visit
to Warsaw in reaction.
Defense Minister Antoni Macierewicz said at a press conference
on Tuesday Airbus would take over a servicing plant in central
Poland as a result of the deal. Speaking at the repair plant, he
said the facility guaranteed the security of the Polish
military-industrial complex.
Prime Minister Beata Szydlo also said her government insisted
that the helicopters be manufactured in Poland to support jobs in
the arms industry.
Airbus said it would take action to defend its interests.
"Never have we been treated by any government customer the way
this government has treated us," Airbus Groups Chief Executive Tom
Enders said in a statement. "The controversial and contradictory
declarations of the Polish government over the course of this
procurement proceedings created the impression of unprecedented
confusion."
Polish officials have said they were dissatisfied with the offer
Airbus made for trade-off investments in Poland. The company said
it was ready to offer $2.8 billion in such trade-offs as part of
the deal.
Write to Martin M. Sobczyk at martin.sobczyk@wsj.com
(END) Dow Jones Newswires
October 11, 2016 10:36 ET (14:36 GMT)
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