AW announces new maintenance deal for Royal Navy helicopters

LONDON, March 26 (UPI) -- AgustaWestland has won a five-year award from Britain's Ministry of Defense for maintenance support for the Royal Navy's AW101 Merlin MK3 and MK3 helicopters.

The new contract is part of the 25-year Integrated Merlin Operational Support program signed by the MOD and AgustaWestland in 2006. It carries a value of more than $861.7 million and will sustain more than 1,000 AW jobs in Britain. It is also expected to yield nearly $208 million in savings to the British government over the five-year period.

"Our fleet of Merlin helicopters has benefitted from considerable investment by the MOD through major upgrades in recent years," said Defense Minister for Defense Equipment, Support and Technology Philip Dunne. "This new contract will ensure we can continue to deliver flexible capability to meet the needs of our armed forces, as well as excellent value for money for the taxpayer."

New or upgraded MK2 Merlins, an anti-submarine aircraft, are being acquired by the Royal Navy. They began entering service last year and so far 19 of 30 aircraft have been received from AgustaWestland.

The Royal Navy has a fleet of 55 AW101 helicopters currently in service.