posted on Feb, 20 2014 @ 07:08 PM
The Turkish government has demanded that Boeing pay $183M in penalties stemming from the delay in delivery of Peace Eagle AEW&C aircraft. The Peace
Eagle is based on the Boeing 737, and performs the same role as the USAF E-3 AWACS, with a more advanced radar and electronics suite.
The initial delivery was due to take place in 2008, but the first aircraft was delivered in January of this year. Two more aircraft will be delivered
this year, with the last delivered in 2015. The total cost of the deal was $1.3B, with the Turkish government paying $637M in advance.
The Turkish government has said they'll take the penalty in services, instead of monetary payments. They want the initial start up support to go
from two years, to five, with three years of software maintenance, and $32M in spare parts. In return they will write off the penalties.
ANKARA — The Turkish government has demanded $183 million worth of penalties from Boeing due to major delays in the delivery of spy planes to
the NATO ally, officials said Feb. 18.
A senior procurement official familiar with Turkey’s airborne early warning and control (AEW&C) aircraft program said that Ankara demanded Boeing
pay the penalty in services.
Cemal Evci, project coordinator at the Undersecretariat for Defense Industries (SSM), told reporters that the Turkish Defense Ministry demanded an
increase in the start-up support period from an initial two years to five years as well as three years of software maintenance service in addition to
$32 million worth of spare parts in return for writing off the $183 million penalty and accumulated interest due to delays in the AEW&C