Poland on April 21 announced it picked Raytheon [RTN] and Airbus Group for a pair of big-ticket procurement items.
Poland picked Airbus’ H225M Caracal helicopter for use by its defense forces over offers from Sikorsky and AgustaWestland. The agreement is preliminary as Airbus said in a statement it is preparing for the next steps of the tender process. The H225M, previously known as the EC725, is a twin-engine, 11-metric-ton vehicle capable of flying in all types of weather, including icy conditions. The H225M features 700 nautical miles of range with air-to-air refueling capability both in forward flight and during hover, according to Airbus.
Sikorsky spokesman Frans Jurgens said April 21 the company offered its S-70i Black Hawk, built in Poland, and its United States-built S-70B Seahawk for the maritime mission. Jurgens said Sikorsky remains ready to deliver affordable, low-risk and multi-role helicopters that can address Poland’s urgent and compelling security requirements. Jurgens said Sikorsky’s offer would provide interoperability with U.S. and North Atlantic Treaty Organization (NATO) forces, deliver 70 aircraft and meet the original stated budget, while maximizing the contributions of Polish industry. Sikorsky is a division of United Technologies Corp. [UTX]
AgustaWestland spokeswoman Lauren Slepian said April 21 the company, through its subsidiary PZL Swidnik in Poland, offered the AW149. The AW149 is a “medium category” helicopter, designed to provide versatile battlefield support, according to AgustaWestland, which is a division of Finmeccanica.
Bell Helicopter Director of International Military Market Development said April 21 in an email the company did not participate in any combat utility competition, but looks forward to entering its AH-1Z into Poland’s upcoming attack helicopter competition. Bell Helicopter is a division of Textron [TXT]. MD Helicopters also did not participate, according to company spokeswoman Amy Romano.
Poland also selected Raytheon’s Patriot air and missile defense system. In a translation of a Polish ministry of defense announcement provided by Raytheon, Poland said it plans to purchase eight batteries through 2025, including two batteries within three years of reaching an final contract, according to Raytheon spokesman Michael Nachshen.
Poland said offset negotiations will be launched concurrently with negotiations over delivery conditions. This, Poland said, will secure its industrial participation and enable technology and “know-how transfer” with the aim to creates the production and servicing potential in Poland. The State Department said April 21 the “Vistula” program award is expected to generate at least $2.5 billion in U.S. export content. The award is part of Poland’s 10-year, $45 billion defense modernization program.
Poland said the chosen procedure will speed up the agreement and minimize the risk of a prolonged supplier selection, which it said would be likely under a regular competition. Raytheon beat out the EUROSAM Consortium’s SAMP/T system. The EUROSAM Consortium is MBDA and Thales. MBDA is a government consortium of France, Germany, Italy, Spain and the United Kingdom.
MEADS International, a venture of MBDA in Italy and Germany, and Lockheed Martin [LMT], had been under consideration by Poland, but was dropped earlier in the program. MEADS International said April 21 it is competing in a separate Polish missile defense competition, called Narew, and is also focused on a German air and missile defense competition. The company also said it has been selected to participate in technical dialogues for Narew.
Byron Callan of Capital Alpha Partners said April 21 in an investor note the selection of Raytheon for the Polish Tarcza air defense program is worth $5 billion. Callan also said the selection of Airbus in the helicopter competition removes the single largest export opportunity Sikorsky was pursuing.