German Minister Vows 'Fair Contract' for New Warships

German Defense Minister Vows to Secure 'Fair Contract' for New Warships (excerpt)

German Defence Minister Ursula von der Leyen vowed on Friday to press a consortium led by Luerssen Werft of Bremen for a "fair contract" for five new warships, saying the group's initial bid was too high.

"My goal is to get the contract started in this legislative period, but we want a good contact, we want a fair contract and above all a realistic one," von der Leyen told reporters on Friday. "We are working hard on that now."

Asked if there was any chance the consortium's reported initial bid of 2.9 billion would be accepted, von der Leyen said, "I can state clearly that that number will not stand."

Defence industry sources said last week the German government had rejected the initial bid from the consortium before it exceeded the budget target of 1.5 billion euros ($1.59 billion).

The Handelsblatt newspaper reported this week that the bid came in at 2.9 billion euros, nearly twice the expected amount. (end of excerpt)

Click here for the full story, on the Reuters website.

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