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Finland's Patria Says Open to Review of APC Deal with Slovenia

Sep 4, 2009, 5:07:45 PMArticle by Georgi Georgiev
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September 4 (SeeNews) - Finnish defence company Patria said it is willing to be formally invited to renegotiate the scope of a 278 million euro ($398 million) armoured vehicle contract with Slovenia's ministry of defence (MoD) after a reprogramming of the deal has been in media focus for quite some time.

Finland's Patria Says Open to Review of APC Deal with Slovenia

Under the deal, signed in 2006, Patria should deliver 135 armoured personnel carriers (APCs) .

"Informal discussions with the MoD have indicated that a substantially lower number of vehicles and an enhancement of armament would be the relevant issues," Patria said in a statement on its website.

It also said that 13 vehicles have been delivered to Sovenia and paid for so far and approximately the same number of vehicles is at this moment in various stages of completeness and some almost ready for delivery.

"It has been indicated to Patria that the MoD has presently no funding for these vehicles," the statement said.

"The production is not discontinued but will be concentrated on finalising those vehicles that might be delivered later this year and during next year."

Seppo Seppaelae, the head of Patria's land and armament division, told the Finnish News Agency on Wednesday that Slovenia wanted to reduce the order to about 80 APCs, adding he hoped an agreement would be reached over the course of the autumn.

"In addition to the quantity we are discussing the armament of the armoured vehicles. It may well be that the equipment level of the armoured vehicles is to be changed to a considerable extent," Seppaelae said.

He added the changes might mean a marked increase in unit price.

($=0.6989 euro)

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