The aviation and
engineering support and aircraft services (AESAS) contract includes
the provision of forward maintenance and aircraft engineering for
Merlin, Sea King, Lynx and Wildcat helicopters, general airfield engineering
services and support to aircraft operations.
Babcock’s
bid was strengthened by the Group’s experience of supporting
rotary wing platforms in both its Defence & Security division
and MCS business. The AESAS contract is to provide full service delivery
by 1 January 2016 and will involve the TUPE transfer of a significant
number of skilled staff to Babcock.
Additionally,
the Group has seen further growth within its existing DSG contract
to provide maintenance, repair, overhaul and storage of a range of
current military vehicles and light weapons for the UK MoD.
As a result of
successfully meeting an early milestone in the service provision and
output based contract which began on 1 April 2015, Babcock will increase
its responsibility for managing the procurement of equipment spares
and repairables on behalf of the MoD, to include transacting with
suppliers directly.
In combination,
the two contracts will generate an additional £100 million (US$
154 mn) of revenue per year.
Peter Rogers,
Babcock Chief Executive, said: "We are delighted to continue
to grow our partnership with the Ministry of Defence, both in the
air and on the ground. Babcock is committed to delivering the improved
performance levels, enhanced operational capability and increased
cost effectiveness which are so critical for our customer."
