I propose to take Questions Nos. 170 and 171 together.
On 17 January 2002, I authorised my Department to open negotiations with Sikorsky International Operations, Inc., Connecticut, USA, for the purchase of three medium range helicopters – S-92s – for search and rescue purposes. The negotiations were also to include an option exercisable within three years by the Department for a further two helicopters for general purpose military transport. The decision followed from a detailed examination of the tenders received from the four companies: Sikorsky, USA; CHC Scotia, Scotland; EH Industries Limited, UK, and Eurocopter, France.
The offer from Sikorsky was deemed to be the most strategically and economically advantageous tender taking account of the award criteria set out for the tender competition, which were: functional characteristics; technical merit; all maintenance and on-line technical support; after sales service and warranty terms on offer; cost and ready availability of spare parts; tender prices and life cycle costs over a nominal 20 year period. I am satisfied, that on the basis of the facts presented to me, that the offer from Sikorsky would provide best value for money from the taxpayers point of view. The time frame proposed by Sikorsky would see the delivery of three search and rescue helicopters by the end of next year.