Canada: Sea King-replacing CH148 Cyclone delays, updates....

[Stratofreighter]

http://www.winnipegfreepress.com/canada ... 86509.html

http://www.winnipegfreepress.com/canada ... 86509.html

Sea King chopper replacement delayed again

Manufacturer could face $80M in penalties

Posted: 01/27/2012 1:00 AM

OTTAWA -- The manufacturer of the air force's new maritime helicopter has told National Defence it will deliver only five test aircraft this year
-- opening the door to tens of millions of dollars in fines on a project the auditor general has said is late and over budget.

Sikorsky Aircraft Corp. is supposed to deliver a "fully mission capable" version of the CH-148 Cyclone helicopter by June or face a further $80 million in contract penalties on top of $8 million the federal government has already levied.

Senior defence officials said safety certification of the aircraft is ongoing and it's highly unlikely the giant U.S. aircraft-maker will meet its target, even though the program is years behind schedule.

"Sikorsky are only committing to deliver five by this year, which will be training aircraft,"
said a high-level defence source, who spoke to The Canadian Press on the condition of anonymity.

The Cyclones are the highly touted replacement for the CH-124 Sea Kings, which will mark a milestone 50 years in service in 2013.

Originally, the company was supposed to deliver its first chopper in 2008 and have the whole fleet of 28 on the flight line by end of last year.

When it became evident a few years ago that schedule wasn't going to be met, the Harper government worked out a deal with the Stratford, Conn.-based corporation for a handful of scaled-down aircraft that would be retrofitted later.

The so-called interim helicopters, which are minus combat systems, were supposed to allow crews to train.

But only one helicopter was delivered last year and it arrived late, prompting the government to impose an $8 million fine.

Sikorsky still hasn't completed certification of the training aircraft, although it is expected to happen sometime this year.

But that's a long way from delivering a "fully capable (maritime helicopter), with all its mission software," which is what the contract stipulates.

When originally proposed 12 years ago, the cost was expected to be $2.8 billion,
but that has ballooned to an estimated $5.7 billion , according to a 2010 report by former auditor general Sheila Fraser.

[Le Addeur noir]

Cancelling the EH101s in the 1990s looks a bit stupid in light of this.

[Glidepath]

yeah, they were right about their complaints though.

A bit strange also that CHC/IAC just received the first SAR H-92, THAT seems to go well. (over 20 SAR H-92s in service ww.), so what so dufficult getting ch-148s out to rcaf traning, (even without the combat suit....!)

Reminds us of
1.
the Kaman Seaprite deal for the aussies, that didint live up to expectations either.
2.
the Helibus (later : S-92) proces getting into the field was a long long long long way anyway. (but they got there.)

[Stratofreighter]

http://www.flightglobal.com/news/articl ... ga-378087/

No resolution in sight for Canada's Sikorsky Cyclone saga

3 hours ago

Canada's long-running CH-148 Cyclone maritime helicopter procurement saga - which could leave prime contractor Sikorsky liable to pay compensation totalling almost C$90 million ($91 million) - looks no closer to resolution.

Although a fourth helicopter in an interim configuration recently arrived at the Royal Canadian Air Force's 12 Wing Shearwater base in Nova Scotia, there is still no delivery date set for its initial batch of six aircraft.

Ottawa had originally stipulated that the interim rotorcraft should arrive in 2008, but delays forced this date back to November 2010, with fully compliant Cyclones intended to arrive from June 2012.

In its most recent update on the programme, Canada's Department of National Defence said that six interim aircraft would be delivered by the end of this year.

But in a third-quarter earnings call on 23 October, Greg Hayes, chief financial officer of Sikorsky parent company United Technologies, admitted that problems remain with the contract.

The company is "well on its way" to completing the respective five and 19 helicopters it had planned to deliver in 2012 and 2013, says Hayes, but significant stumbling blocks remain to their acceptance.

"Until we have an agreement with the Canadian government in terms of the final configuration and an interim configuration, we really can't ship anything. We need to continue to work with the Canadians to find a win-win here."

Ottawa's procurement body, Public Works and Government Services Canada, says it will only "take delivery of an interim aircraft when the related contractual requirements are met."

It says that Sikorsky is so far liable for compensation of C$8 million due to the delay to the interim helicopters. A further sum, rising to a maximum of C$80.5 million, will be payable for late delivery of helicopters in the final configuration.

"Senior government officials are meeting with Sikorsky leadership regularly to review progress. Sikorsky has reconfirmed its commitment to deliver helicopters at no additional cost to the Crown," it says.

To date, 10 air force technicians from Shearwater have received servicing-level maintenance training for the S-92-derived Cyclone, says the service, but pilot training has yet to commence.

The maritime helicopter programme has been running since 2004, when Canada ordered 28 CH-148s in a deal worth C$5 billion, including a support package.

http://www.flightglobal.com/news/articl ... ga-378087/

[ehusmann]

"Until we have an agreement with the Canadian government in terms of the final configuration and an interim configuration, we really can't ship anything.

If true, then this says it all I would think. Too often the case with government contracts: changing requirements prolonging the delivery of the goods. Not always the fault of the government, but oh so familiar.

Erwin

[PilotoRico]

Reminds us of
1.
the Kaman Seaprite deal for the aussies, that didint live up to expectations either.
2.
the Helibus (later : S-92) proces getting into the field was a long long long long way anyway. (but they got there.)

And Australian Army Tiger, Norwegian NH.90 saga, same for Sweden and The Netherlands with the on going NH.90s problems, RAF Chinooks etc. It will not be the last

Cheers

[Stratofreighter]

Delivery of Sea King replacement helicopters delayed once again

Ottawa Citizen December 18, 2012

OTTAWA — The Canadian military’s plans to acquire new maritime helicopters have taken another hit with aircraft manufacturer Sikorsky acknowledging it won’t meet its targets this year or next for delivering the choppers.

Sikorsky was supposed to deliver five Cyclone helicopters in 2012 and 19 in 2013 as part of the Defence Department’s maritime helicopter program.

But Louis Chenevert, chairman of the corporation that owns Sikorsky, has conceded that won’t be happening.

Instead, Sikorsky is planning to deliver eight of the Cyclone helicopters in 2013, he said.

The original contract called for the first Sikorsky Cyclone helicopter to be delivered in November 2008, with deliveries of all 28 helicopters completed by early 2011.

But Sikorsky has yet to turn over a single helicopter to Canada under the $5.7-billion program. The Cyclone is supposed to replace the military’s aging Sea King helicopters.

Government documents obtained by the Citizen show that the Conservative government could have hit Sikorsky with up to $89 million in fines for missing its deadlines but it decided to waive those penalties.

Instead the government renegotiated with Sikorsky and, under a new deal, Canada is to pay the U.S. aerospace firm $117 million extra for improvements to be made to the Cyclone,
as well as changes to the long-term in-service support package for the aircraft.

But Sikorsky failed to meet those new delivery deadlines as well.

The government is now re-negotiating another deal with the firm but it is unclear when the helicopters might arrive.

Public Works did not comment.

Sikorsky spokesman Paul Jackson stated in an email Tuesday that 24 of the 28 Cyclones are in production, assembly or flight-testing.

“This is a complex development program using very advanced technologies,” he stated. “We are in discussions with the government as to how best to move forward.
We are working toward a win-win solution to provide the aircraft to the Canadian Forces as quickly as possible.”

There is still a whole lot more at
http://www.ottawacitizen.com/news/Deliv ... story.html

[Stratofreighter]

Published Monday, Feb. 11, 2013 4:55PM EST

Maritime Helicopters Likely Not Ready Until 2015: Manufacturer

OTTAWA -- The delivery of fully capable maritime helicopters for the Canadian air force could take another two years, the owners of manufacturer Sikorsky Aircraft Corp. have conceded in year-end financial statements.

The annual statement from United Technologies Corp. (NYSE:UXT), the aircraft maker's parent company, paints a sobering picture of the CH-148 Cyclone program --
and provides more details about a nasty and ongoing backroom dispute with the Conservative government over delivery dates and the chopper's final configuration.

The report, filed last week with the New York Stock Exchange, noted protracted negotiations are taking place with the Department of Public Works to "resolve open disputes," including the delivery of interim helicopters.

"If these efforts are unsuccessful and the Canadian government requires the delivery of only final configuration aircraft under current contractual requirements,
no deliveries are expected to occur until 2015 at the earliest," says the report, obtained by The Canadian Press.

The contract dispute and development issues with the program have put the Cyclones in a precarious position
and "provide substantial uncertainty and risk in regards to the future profitability of the overall program," the report continues.

News of the troubled program comes as Public Works Minister Rona Ambrose is set to receive a report Tuesday with suggestions on how to fix the broken military procurement system.

Answering opposition questions on Monday, Ambrose talked tough.

"Our government expects Sikorsky's obligations under this contract to be met," she told the House of Commons.

"To date, they have not been met.
In fact, they have missed every deadline and every timeline.
To that end we have already applied millions of dollars in liquidated damages,
and we are going to be applying significant additional charges that have begun to accure against this company."

Paul Jackson, a spokesman for Sikorsky, said the company and the government both want a solution.

"While no aircraft were delivered to Canada last year,
there are currently four aircraft at CFB Shearwater, N.S.,
and the remaining 24 Cyclones on order are in production, assembly or flight testing," Jackson said in an email.

"Sikorsky and the Government of Canada are in discussions to try to reach an agreement that will provide the remaining aircraft to the Canadian Forces as quickly as possible."

Paul Martin's Liberal government signed a contract with Sikorsky in 2004 to replace the air force's fleet of CH-124 Sea Kings, which this year celebrate 50 years of service flying off the decks of warships.

The Cyclone program, which originally anticipated the first helicopter being delivered in 2008, was meant to catch up to the 1993 procurement of EH-101 helicopters, ordered by the Mulroney government, but cancelled in 1993 by former prime minister Jean Chretien.

At the time the Liberals committed to the Cyclones, the helicopter was still in the development stage, being upgraded to military specifications from the less rugged civilian variant.

It's an aspect the auditor general harshy criticized in 2010.

The conversion challenges -- coupled with changes imposed by the Canadian air force
-- prompted a thorough redesign of the aircraft.
It led Sikorsky to miss several delivery deadlines, including one last year to provide five "interim" helicopters,
which would have been used for flight test and training purposes.

United Technologies' year-end statement estimated Sikorsky could lose as much as $14 million for every CH-148 it churns off the assembly line,
under the current arrangement.

Those losses could mount with the in-service support contract, which charges for maintenance based upon the number of hours the aircraft is flown.

As part of budget reductions, the head of the air force recently said in an interview that he plans to use flight simulators more often in the coming year for training
-- something that would bite into the value of Sikorsky's support contract.

"With respect to the multi-year (in-service support) contract,
the future profitability is dependent upon a number of factors including aircraft flight hours,
deployed aircraft availability, aircraft performance,
availability of trained pilots and government budgetary pressures," the report said.

Anticipating the hit,
Sikorsky booked a US $157-million loss in the fourth quarter of 2012 because the value of the service contract "no longer exceeded the estimated remaining losses on the acquisition contract."

The report comes as an Ottawa-based think-tank urges the Harper government to get tough with the U.S. defence giant, and even look at alternative aircraft, the way its doing with the equally contentious F-35 program.

Michael Byers, a military and political expert at the University of British Columbia, said it's unacceptable that pilots are still flying the old Sea Kings.

"The government of Canada signed a contract for an aircraft that was still in the design phase that had never been built,"
Byers told a Parliament Hill news conference Monday.

"The Cyclone does not exist in fully operational form. It never has. It may never exist."

No other country has bought or is flying the aircraft and it's time to say "enough is enough," Byers added.

http://www.ctvnews.ca/canada/maritime-h ... z2KiaNHtCe

[Stratofreighter]

The decades-long project to replace Canada's 50-year-old Sea King helicopters has hit another snag,
with the government now hiring an independent expert to study whether helicopter-maker Sikorsky is even capable of delivering a replacement as promised.

CBC News has learned that Public Works Minister Rona Ambrose has gone outside government and hired a consultant to study Sikorsky's work, and Canada's contract,
to determine whether it's even possible for the U.S. helicopter giant to deliver the aircraft Canada ordered.

So far, only four helicopters have been delivered — all of them interim, and none of them meeting even those lower "interim" standards, said Ambrose.

Now, CBC News has learned Public Works is refusing to allow the military to accept delivery of those four interim helicopters, because they allegedly aren't up to standards.

With the Sea Kings now about to enter their 50th year of service, and maintenance costs soaring, the military is desperate for some form of new maritime helicopter.

http://www.cbc.ca/news/politics/story/2 ... orsky.html mentions other problems, like ships that have to be kept in service longer now.

[mwpeters]

This story is even more funny than our NH90 procurements.

[Le Addeur noir]

Will the Cyclone actually enter service in the lifetime of anyone reading this today?.

[tomcat604]

Will the Cyclone actually enter service in the lifetime of anyone reading this today?.

It may - but will it use circa 2005 systems and electronics or will they have to be upgraded before a full capability version is delivered.
Also this beast looks heavy and draggy - I think that the last thing our forces need would be a very handicapped and underpowered helo.

It defies the imagination that our bureaucrats and politicians can be so ..... what's the word i'm looking for ?
USELESS - yup that works

[Hans Rolink]

Why not simply order MH-60R's?
<sigh>

Hans

[ Post made via Mobile Device ]

[Stratofreighter]

Military team sent to UK to evaluate helicopters 'other' than troubled Cyclones

OTTAWA - The Harper government may be ready to throw in the towel on the purchase of long-delayed CH-148 Cyclone helicopters and has gone as far as sending a military team to Britain to evaluate other aircraft.

Defence sources say the team, which included an officer from the air force directorate of air requirements branch, visited a southern base (Culdrose) in the United Kingdom recently to look at Royal Navy HM-1 Merlin helicopters.

...you'll find lots more interesting tidbits through
http://www.montrealgazette.com/news/Mil ... story.html

[Le Addeur noir]

Military team sent to UK to evaluate helicopters 'other' than troubled Cyclones

OTTAWA - The Harper government may be ready to throw in the towel on the purchase of long-delayed CH-148 Cyclone helicopters and has gone as far as sending a military team to Britain to evaluate other aircraft.

Defence sources say the team, which included an officer from the air force directorate of air requirements branch, visited a southern base (Culdrose) in the United Kingdom recently to look at Royal Navy HM-1 Merlin helicopters.

...you'll find lots more interesting tidbits through
http://www.montrealgazette.com/news/Mil ... story.html

The Canadians should never have cancelled the EH101 order in the 1990s th replace their Sea Kings.

the Merlin HM.1 is being superceded by the HM.2 version on RN service.