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Oct. 26, 2016 / 12:38 PM

Saab signs sub and surface ship deal with Polish arms group

Memo of understanding with Polska Grupa Zbrojeniowa covers development of Polish naval programs.

Saab has signed a memorandum of understanding with the Polska Grupa Zbrojeniowa, or PGZ, defense company for the development of Polish naval programs, Saab announced Wednesday. A rendering of Saab's A26 submarine is shown here. Image courtesy Saab

Saab has signed a memorandum of understanding with the Polska Grupa Zbrojeniowa, or PGZ, defense company for the development of Polish naval programs, Saab announced Wednesday. A rendering of Saab's A26 submarine is shown here. Image courtesy Saab

STOCKHOLM, Sweden, Oct. 26 (UPI) -- Saab has signed a memorandum of understanding with the Polska Grupa Zbrojeniowa, or PGZ, defense company for the development of Polish naval programs, Saab announced Wednesday.

PGZ is the biggest defense company in Poland and the agreement will focus on programs that include ship and submarine construction for the country's navy and export customers, Saab said in a statement.

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The latest signing comes after the two companies signed a letter of intent earlier this year to cooperate on a range of products to modernize Poland's defense sector.

This week's agreement will open up Poland's access to procurement of modern ships, Saab said.

Saab said it shares the same Baltic Sea security challenges faced by the Polish market.

Poland's military is undergoing modernization through 15 programs that include buying modern boats and surface ships.

Saab already provides Poland with Sea Giraffe radars and RBS15 Mk 3 missiles for various vessels, among other provisions.

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