France Contracts With Boeing to Buy 3 AWACS Radar Planes

France signed a contract with Boeing Co. today to buy three airborne warning and control system (AWACS) radar planes and take options on two more, Defense Minister Andre Giraud told a news conference.

The planes, worth more than $150 million each including training and support, will be delivered at the end of 1990 and during 1991, he said.

Giraud put the total value of the contract at 5.75 billion French francs ($940 million) at 1986 prices, and said Seattle-based Boeing has guaranteed contract work to the French aerospace industry worth 130% of the AWACS contract value.

The French decision was no surprise after Britain opted to buy six AWACS planes in December, including training and support, in preference to the British-built Nimrod system which France was also testing.

U.S. defense industry officials said Wednesday that Boeing had offered to award more than $800 million in contracts to the French aerospace industry for work on AWACS and other Boeing contracts in the next eight years.

The AWACS planes are packed with electronic and communications equipment and are designed to remain in flight for long periods directing fighter aircraft and missile installations.

U.S. defense officials have said a large part of the French offset deals for the AWACS purchase will go to the CFM International consortium. This is jointly owned by SNECMA of France and General Electric of the United States and will make CFM-56 turbofan engines for the AWACS planes.