Boeing-BAE Systems JV Submits Bid for UK Future Strategic Tanker Aircraft (FSTA)

LONDON, July 3 -- Tanker & Transport Service Company Limited -- representing a consortium consisting of BAE SYSTEMS, The Boeing Company, Serco Group and Spectrum Capital -- today submitted a response to the United Kingdom Ministry of Defense Invitation to Negotiate for the Future Strategic Tanker Aircraft (FSTA) program.

"We are delighted to provide a fully compliant solution and look forward to working with the Ministry of Defense to further develop our proposal during the next phase of this important program," said Keith Archer-Jones, bid director for Tanker & Transport Service Company Limited. "I believe the unparalleled experience and complementary capabilities of the companies within our consortium will enable us to deliver an optimum solution to the requirements of the FSTA program."

Through the FSTA program, the Royal Air Force will acquire complete air- to-air refueling services through a private-financing initiative from a contractor company.

Tanker & Transport Service Company Limited will acquire, modify and utilize Boeing 767 aircraft to provide air-refueling services. The company will own, manage and maintain the aircraft, as well as provide training facilities and some personnel. The Royal Air Force will fly the aircraft in the refueling role and will retain responsibility for military missions. Tanker & Transport Service Company Limited will also utilize the aircraft for commercial purposes when not needed in support of military operations.

The Ministry of Defense plans to issue a contract to the preferred bidder in 2003.