Partner Article

BAE Systems confirm Trinidad and Tobago settlement

British defence firm BAE Systems has confirmed a settlement with the Government of the Republic of Trinidad and Tobago (GORTT), after a two year dispute over their offshore patrol vessels contract.

Trinidad and Tobago’s Government entered into the contract with the security giant in April 2007, and subsequently pulled out of the deal in 2010.

The South Caribbean country expressed its wishes to cancel the contract with BAE, who confirmed a deal on Wednesday to sell off three vessels to the Brazilian Navy.

Brazil received the first of the ships in June after a contract was agreed in December last year.

The original agreement would have seen BAE Systems’ company VT Shipbuilding build three vessels for the Republic, however as a result of delays and overspending, the firm suffered a £100m charge once GORTT cancelled the deal.

There was no disclosure of remuneration in Wednesday morning’s announcement, however BAE Systems said the settlement with the GORTT was “consistent with provisions held.”

This was posted in Bdaily's Members' News section by Miranda Dobson .