The agreement follows an earlier decision by the Swedish Parliament to acquire the Gripen E and will lead to the start of initial deliveries of the aircraft to Sweden in 2018.
The FMV has placed an initial order of 2.5 billion Swedish Krona or about $396 million for development work in 2013 and 2014 with further orders expected. The total value may amount to 47.2 billion Swedish Krona or about $7475 million.
The initial order is just the first part of the agreement with FMV. Other parts include:
- Another 10.6 billion Swedish Krona or $1678 million order for development work on Swedish Gripen E aircraft in the first quarter of 2013
- Start modifying 60 Gripen C to the E standard no later than the fourth quarter of 2013 for delivery starting in 2018
- Mission specific equipment, support and maintenance for Gripen E aircraft no later than the fourth quarter of 2014
- Provisions for the possible acquisition of 22 new-build Gripen E by Switzerland and in the event Switzerland does not acquire the Gripen E
As reported earlier, the FMV reserves the right to make cancellations if it decides to do so. In this instance, Saab has the right to be compensated.
The single-seat Gripen E and two-seat Gripen F are also known as the Gripen NG and feature the following improvements over the previous Gripen C/D:
- Installation of the more powerful GE F414G engine
- Increased payload and internal fuel capacity
- Two extra under-fuselage hard-points
- New landing gear
- New AESA radar from Selex Galileo
- Passive infrared search and tracking sensor
- New cockpit and avionics
- New electronic warfare (EW) suite
The development of the Gripen E/F is conducted in collaboration with Switzerland, who is also partially paying for its costs. Swiss pilots have test flown a Gripen F demonstrator, but a decision on the acquisition of 22 new Gripen E/F for 3.12 billion Swiss Franc or $3.39 billion has yet to be decided on.