Government of Canada

Government of Canada

May 31, 2013 10:11 ET

Government of Canada Makes Progress on Seven-Point Plan to Replace Canada's CF-18 Fleet

GATINEAU, QUEBEC--(Marketwired - May 31, 2013) - The National Fighter Procurement Secretariat today is providing an update on the Government of Canada's progress on the Seven-Point Plan to replace the CF-18 fleet. In April 2012, the Government launched the Seven-Point Plan in response to the Auditor General's report, to restore public confidence and reset the process to replace the CF-18 fleet. In December 2012, the Secretariat reported on the work undertaken to date, and today the Secretariat is reporting on the significant progress made.

Regarding the first and second points of the Seven-Point Plan, the acquisition funding for the replacement of the CF-18 remains frozen and the Secretariat continues to implement the Seven-Point Plan.

On point three, with regard to the Department of National Defence Annual Update on the cost of the F-35, the American data from the Joint Strike Fighter Program office was provided to the United States Congress on May 23. Canadian government officials will be meeting with United States officials to receive and clarify the Canadian-specific data. Consistent with the Seven-Point Plan commitment to provide an update within a maximum of 60 days, National Defence's 2013 Annual Update to Parliament on the cost of the F-35 will be ready over the summer and tabled at the earliest opportunity.

The focus of the Secretariat's work over the past few months has been on the fourth point, the evaluation of options. Companies with available aircraft have been engaged through questionnaires on fighter aircraft capabilities, price and industrial benefits. Companies were briefed on the assessment methodology for the capability questionnaire on May 3, 2013 and price and industrial benefits questionnaires on May 31, 2013. The assessment methodology was posted today on the Secretariat web site. This methodology, the three questionnaires and the approach to options analysis have been developed by the Secretariat and the Royal Canadian Air Force, and reviewed and challenged by the Independent Review Panel. The Panel is meeting regularly and is ensuring the work to evaluate options is both rigorous and impartial. The members of the Panel are Mr. Keith Coulter, Mr. Philippe Lagassé, Mr. James Mitchell and Mr. Rod Monette.

Regarding the fifth point, Raymond Chabot Grant Thornton has been awarded a competitive contract to conduct an independent review of the National Defence 2013 Annual Update.

On the sixth point, the Secretariat has also competitively contracted Samson & Associates to provide lessons learned that could improve acquisitions of a similar nature going forward.

Finally, on point seven, the Secretariat is releasing the latest report on Industrial Participation in the Joint Strike Fighter Program. The report indicates that Canadian companies have secured US$488 million in contracts to date, an increase of US$50 million since the last report in December 2012. It also indicates that the total value of identified opportunities could be up to US$9.75 billion.

The evaluation of options to replace Canada's CF-18 fleet is a key element of the Government of Canada's Seven-Point Plan. The Government of Canada is committed to examining all options. Until the Seven-Point Plan is complete, the Government will not make a decision on the replacement for the CF-18 fighter jets and all options remain on the table.

A backgrounder follows.

For additional information, visit the National Fighter Procurement Secretariat website at

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