General Electric has been awarded an extension to its contract for the maintenance of the F/A-18 classic Hornet’s F404 engine worth about $230 million.
Negotiations between the company and the DMO have resulted in savings of $36 million, Minister for Defence Senator David Johnston said in a statement. “In addition, the Australian component of the contract will continue to be subcontracted to TAE, creating continued employment for 90 personnel located at Williamtown, NSW and Ipswich, Queensland,” he stated.
General Electric, which is the original manufacturer of the F404, has held a contract with the DMO for engine maintenance and logistic support since 2008. The contract extension should ensure that the Hornet’s engines are maintained through to the aircraft’s revised planned withdrawal date of 2022, Senator Johnston said.
