Why BAE has America in its sights

By This Is Money
Updated: 13:46 BST, 11 March 2005

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DEFENCE and 航空宇宙学 巨大（な） BAE Systems this week signalled the beginning of the 広大な／多数の／重要な ground 不快な／攻撃 in its new grand 戦略 by buying 部隊d Defence 産業s of the US for £2.2bn. The five-year 計画（する）, agreed by the high 命令（する） of the main board last November, will tak e the company's main 利益／興味 inexorably 西方の, out of Europe and into America.

For マイク Turner, the ebullient, blunt talking 長，指導者 (n)役員／(a)執行力のある, the 取引，協定 for UDI - making of the Bradley Fighting 乗り物 - makes BAE the 主要な transatlantic defence and 航空宇宙学 company. The 連合させるd company becomes a world player in the 開発 of ground 戦闘 systems, rivalled only by Abrams 戦車／タンク 建設業者 General Dynamics. In Europe, it puts BAE's Alvis-Vickers and Swedish 分割 Hagglund together with UDI 子会社 Bofors.

The new BAE team is 始める，決める fair to 勝利，勝つ 契約s for the most ambitious programmes of the US and British armies. But here is the difference: the 未来 戦闘 Systems for the US 軍隊s is costed at about $100nbn (£52bn) over five years. The 未来 早い 影響s System for the UK, already 延期するd, is 価値（がある） £6bn or いっそう少なく.

While the US 申し込む／申し出s prospects for new markets, によれば Turner, the European and UK end of the 商売／仕事 will see a 安定した 拒絶する／低下する with an 必然的な loss of 職業s. After the 台風 Eurofighter, Britain will lose the ability to build 急速な／放蕩な 戦闘 jets. This will mean a 拒絶する／低下する of specialists in the 航空機 部門 from 15,000 to 5,000.

'This will be paid for by the taxpayer,' says Turner. He would like to see 技術s and 資源s switched to new 世代s of 無人の 監視 and 戦闘 計画（する）s, which Britain will さもなければ have to buy from the US or イスラエル.

'Since 9/11, defence and 安全 are number one in the 部隊d 明言する／公表するs. For 政治家，政治屋s here, support for a 予算 増加する for defence is a low 優先,' he says. 'It's not the 投票（する）-勝利者 it is in the US - 9/11 didn't occur in Europe.'

In the UK, Turner believes the worst of BAE's 最近の troubles are over, 特に the 侵略（する）／超過（する）s and 延期するs in the Nimrod MRA4 航空機 and Astute 潜水艦 programm es. The ending of the 直す／買収する，八百長をするd-price 契約 cost BAE 株主s £750m and UK taxpayers £500m.

In Britain and Europe, programmes such as the Type 45 破壊者, 台風 闘士，戦闘機, MBDA ミサイルs and its 株 in Airbus are making a 安定した 利益（をあげる）. 'We have what we have, and we're comfortable with it,' Turner says.

'On the 現在の model, there is a gap between the design they want and the 予算 利用できる,' says Chris Geoghegan, in 告発（する），告訴（する）／料金 of the programme at BAE. The design will have to be rethought this summer, making it 事実上 impossible to 会合，会う the in-service date of 2012. With all 注目する，もくろむs on the US, where the defence 予算 is about to 攻撃する，衝突する $500bn - next year it will be bigger than the 連合させるd defence 予算s for the 残り／休憩（する） of the world - Turner sees little 脅し to BAE from Europe.

He sees the 合併 between Eads and Thales in フラン as 必然的な. 'It's taken far too long as it is,' he says drily. 'The 残り／休憩（する） of Europe does not have support from the US, and they don't have our unique 競争の激しい advantage, 存在 the preferred 同盟（する）. They are going to 直面する a 大規模な 拒絶する／低下する in 商売／仕事 soon.'

In the short 称する，呼ぶ／期間／用語, BAE will stick with its 20% 火刑／賭ける in Airbus. Eads owns the 残り／休憩（する）. But the change in 管理／経営 and 財政／金融 許すs for a quick sale and 出口, 'in 事例／患者 we need the cash quickly somewhere else', によれば a 上級の 経営者／支配人.

While 商業の skies may darken over Europe and new horizons open in America, Turner's biggest worry is the prospect for Britain and i ts 安全 and defence 政策. 'The 省 of Defence does not have the 基金ing to support and 用意する the 武装した 軍隊s in the way they should,' he says. 'As part of BAE I am very 楽観的な, as a British 国民 I am 深く，強烈に 悲観的な. And I don't like it.'

海軍 on course for crunch

THE fortunes of BAE in the UK and of the 王室の 海軍 as an 独立した・無所属 fighting service - in the 200th 周年記念日 year of its greatest 勝利, Trafalgar, and of the death of its greatest hero, Nelson - 残り／休憩（する） with two 航空機, one European and one American, and two 航空機 運送／保菌者s.

配達／演説／出産s of the Eurofighter - or 台風 in the UK 見解／翻訳／版 - to the RAF are 井戸／弁護士席 under way. Orders for 45 in the first （製品，工事材料の）一回分 and 85 in the second were 確認するd at the end of last year. The 契約 for the second （製品，工事材料の）一回分 and the retro-fitting of some of the first for ground attack comes to about £5bn. The whole UK 台風 事業／計画（する） is costed at £19bn, the most expensive British defence 事業／計画（する） to date.

Critics argue that the 計画（する） is years late and out of date because it was designed to fight off ロシアの 爆撃機s in the 冷淡な War. But RAF 長，指導者s are purring about its 業績／成果. It can （警官の）巡回区域，受持ち区域 any 航空機 現在／一般に operating, and will probably outperform the hugely expensive US F22 Raptor.

Some 恐れる the 事業／計画（する） may have to be scrapped, which would leave 計画（する）s to build the 王室の 海軍's two 60,000-tonne 航空機 car riers without a 指定するd 航空機. The CVF 運送／保菌者 事業／計画（する）, a 共同の programme between the 省 of Defence, BAE, Thales and KBR, 直面するs a crunch this summer. 初めは costed at £2.9bn, the price is now put at a more 現実主義の £4bn, and this is not 利用できる under 現在の defence 予算 圧力s.

Any new 政府 after this summer's General 選挙 will have an ugly choice of finding extra money or cutting 負かす／撃墜する the size and 能力 of the 運送／保菌者s - or cancelling them.

Which brings us 支援する to Nelson. Without the 運送／保菌者s, the 海軍 loses almost its entire 推論する／理由 for 存在するing, at least によれば New 労働's 戦略の Defence Review of 1998. As the hero of Trafalgar might say: 'Engage the enemy more closely' - with the 目的（とする） this time on Whitehall, rather than the French.