Contract

BAE Systems - Charge for Omani Offshore Patrol Vessel contract

17 June 2011

Following recent sea trials, subsequent related engineering reviews and customer discussions BAE Systems has concluded that it will incur significantly higher than planned costs to complete the Omani Offshore Patrol Vessel programme. As a consequence the Group anticipates a charge of approximately £160 million, pre tax, will be required in its 2011 first half accounts.

The Omani programme was one of two loss making export ship contracts acquired by BAE Systems from VT Group as part of the consolidation of the UK naval surface ship building industry. 

Issued by:

BAE Systems plc

London