Contract Modification Valued at C$300 Million
CAE announced on 12 January that it has received formal modification of the contract to provide support to NATO Flying Training in Canada (NTFC). The Canadian government will now make use of the facility through 2023 and the contract includes a one-year option to extend usage through 2024. The contract modification contributes C$300 million to the company’s revenues.
Originally intended to expire in 2021 after a 20-year period, the contract was considered by the government for extension in order to give it time to evaluate future aircrew training requirements. NFTC combines basic, advanced, and lead-in fighter training as part of the current comprehensive military pilot training programme. The contract extension brings NFTC more in line with the potential expiration of other flying training programmes in Canada that may eventually be combined to provide a fully integrated, seamless training pipeline for all aircrew requirements.
As the prime contractor for the NFTC programme, CAE operates the NFTC base facilities, delivers the ground-school classroom and simulator training, and supports the live flying training on a fleet of Beechcraft T-6 (CT-156 HARVARD) and BAE Systems HAWK (CT-155 HAWK) aircraft.
In addition to modifying the operating period and extending the NFTC contract through 2023, CAE will also add new capabilities and perform a range of upgrades and updates to the overall NFTC training system and aircraft over the next several years. Some of the new capabilities as well as upgrades and updates include:
- Upgrades to the two existing HAWK and three HARVARD flight training devices;
- Minor upgrades, ongoing maintenance and obsolescence management for the combined fleet of HAWKs and HARVARDs.
“Since acquiring the NFTC programme in October 2015, CAE has worked closely with the Royal Canadian Air Force on a range of initiatives to help improve the quality and efficiency of training,” said Joe Armstrong, Vice President and General Manager, CAE Canada. “As the training systems integrator on the NFTC programme, we will now continue to make enhancements and improvements that will sustain NATO Flying Training in Canada well into the next decade.”