Fixed-Wing Search and Rescue Aircraft Replacement to Deliver Economic Benefits to Eastern Canada

ST. JOHN'S, NEWFOUNDLAND AND LABRADOR--(Marketwired - Dec. 20, 2016) - Search and rescue is an essential service for Canadians from coast to coast to coast. That is why the Government of Canada is building a more agile, better-equipped military, while ensuring the best value for Canadians.

The Honourable Judy M. Foote, Minister of Public Services and Procurement, was in St. John's, Newfoundland and Labrador, today speaking about the essential role of PAL Aerospace in servicing Canada's new fleet of fixed-wing search and rescue aircraft.

Minister Foote was joined by local members of Parliament, Nick Whalen for St. John's East, Seamus O'Regan for St. John's South-Mount Pearl and Ken McDonald for Avalon, and representatives from PAL Aerospace, where she highlighted the local company's critical role and impact in maintaining this new search and rescue capability for the Canadian Armed Forces.

The Government of Canada recently announced the award of a contract for $2.4 billion to Airbus Defence and Space to replace Canada's fleets of CC115 Buffalo and CC130 Hercules aircraft. The contract includes delivery of 16 C295W aircraft, equipped with technologically advanced systems to support Canada's search and rescue operations.

In partnership with Airbus Defence and Space, PAL Aerospace will be responsible for the post-delivery maintenance and support services for the new fleet. Airbus was required to partner with a Canadian company and, together with PAL Aerospace, will ensure that Canadian businesses are involved, and that the majority of the maintenance and support services work is performed in Canada.

This work is expected to provide well-paying jobs for middle-class Canadians, grow the economy and Canada's strong aerospace sector, and provide potential export opportunities for Canadian businesses. The contract also includes options to extend the maintenance and support services for an additional 15 years.

Quotes

"Airbus' partnership with PAL Aerospace will ensure the majority of maintenance work for this new fleet of aircraft is performed in Canada, by Canadians. This commitment to make investments in the Canadian economy will create and maintain good middle-class jobs in the region."

The Honourable Judy M. Foote, Minister of Public Services and Procurement

Quick Facts

• The Canadian Armed Forces is responsible for providing aeronautical search and rescue operations. In collaboration with federal, provincial, territorial and municipal governments, as well as local search and rescue organizations, the Armed Forces respond to Canadians in distress across the country and at sea.
• The initial contract was awarded to Airbus for a period of 11 years and is valued at $2.4 billion (plus applicable taxes). It includes 6 years of acquisition and set up, construction of a new training centre in Comox, British Columbia, as well as the first 5 years of maintenance and support services.
• The contract also includes options to extend the maintenance and support services for an additional 15 years. Should Canada choose to exercise these additional options, the contract value would increase to $4.7 billion (plus applicable taxes).
• Canada's CC115 Buffalo and CC130 Hercules have served the country well over the last 20 to 40 years. These aircraft perform over 350 missions annually and are responsible for saving thousands of Canadian lives every year.

Related Products

News Release: Canadian Armed Forces to Receive New Search and Rescue Aircraft

Backgrounder: A Modern and Effective Search and Rescue Solution for the Canadian Armed Forces

Backgrounder: Fixed-Wing Search and Rescue Aircraft Procurement Process

Infographic: Procurement Timeline: Fixed-Wing Search and Rescue Aircraft

Infographic: Capability

Associated Links

Public Services and Procurement Canada: Fixed-Wing Search and Rescue Aircraft Replacement

National Defence: Investing in Equipment: Fixed-Wing Search and Rescue Aircraft Replacement Project and Search and Rescue in Canada: A Shared Responsibility

Royal Canadian Air Force: Search and Rescue

Innovation, Science and Economic Development Canada: Industrial and Technological Benefits: Fixed-Wing Search and Rescue Aircraft-Acquisition

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