Article Posted on : - Aug 28, 2013

MOSCOW (BNS): Russian Ministry of Defence Ministry and the United Aircraft Corporation have signed an 80 billion ruble ($2.5 billion) contract on the first day of the biennial MAKS international air show.

The contract which includes servicing of aircraft, avionics and related equipment was signed in the presence of Russian Prime Minister Dmitry Medvedev, a RIA Novosti report said.

According to UAC president Mikhail Pogosyan, the corporation's current portfolio of orders for the Defence Ministry was for over 300 planes while the total volume of orders as part of the state arms procurement programme would be about 600 aircraft.

The Defence Ministry will also receive three modernised A-50U AWACS aircraft this year, the report said quoting Vartan Shakhgedanov, deputy general designer at the Vega concern that produces the planes.

A contract for a fourth plane is expected to be signed shortly, he added.

Shakhgedanov also said the Defence Ministry would receive the first of the two advanced Tu-214ON planes worth 5 billion rubles ($150 million) at the air show.