Consortium containing elements of Russkya Avionika reported to have won Su-27 upgrade contract(800 words)

Published: 12/7/2000

It seems that avionics developer Russkya Avionika despite problems earlier this year due to irregularities in bidding for a contract to upgrade the MiG-29, which led to the removal of its licence to develop defence equipment. Is about to participate in consortium for one of the largest defense contracts available. The exact number of aircraft is unknown, but the contract is estimated to be worth between $0.5-2 m per aircraft, with “several dozen aircraft upgraded in the coming years” according to Russian daily Vedomosti. The consortium is made up of one the aircraft's producers Irkutsk based IAPO (Su-27UB) who employ Mikhail Korzhuev, head of Russkaya Avionika, as capacity of Deputy General Designer, Russkaya Avionika and United Avionics Building Consortium, St Petersburg. According to experts, the modernization of a Su-27 type fighter will amount from $0.5m to $2m. Several dozen aircraft will be upgraded in the coming years. It became known to Vedomosti that the MoD has given this order into the lap of a group of closely related companies: IAPO, OKB Russkaya Avionika, and United Avionics Building Consortium, St. Petersburg. The contract follows a decision in late November by the Ministry of Defence to upgrade the Su-27, Su-27UB, and two-seat Su-30. The details of the upgrade are not entirely clear, but there are reported to be two options under discussion. The KnAAPO led consortium proposed the installation of an on board computer and weapons control system produced by the Ramenskoye Avionics Design Bureau (RPKB), which the two have already collaborated on for installation in the Chinese Su-30MKK and largely replaces the aircraft's existing equipment. The IAPO led consortium is reported to have proposed the “Board 302”, which provides for minimal changes to the aircraft installed equipment, but achieving the upgrade through the installation of additional modules on top of the existing equipment without rebuilding the whole cockpit. The modules reported to similar to the scheme incorporated in the Su-30M which involved the installation of “blocks” including a MVK onboard computer, but with an emphasis on upgrade rather than replacement and keeping compatibility high, with accompanying cost benefits. The original removal of the RA licence was reported to been have ordered by Deputy Prime Minister Ilya Klebanov, who was unhappy about the relationship of Russkya Avionika and the MiG Bureau sharing as they did Mikhail Korzhuev in a senior position, when he held a considerable interest in Russkya Avionika, a company closely associated with MiG. It has not been possible to confirm Russkaya Avionika licence status officially , but according to sources close to thed company, the license has not been restored. It appears however, that the designers will get around the lack of licence by being employed by a new joint venture to undertake the work owned IAPO (51%) and United Avionics Building Consortium, St. Petersburg (49%) with Mikhail Korzhuev, as a senior manager. The General Director of the consortium Andrey Yaschenko quoted by Vedomosti, said that the new JV had not been registered yet. The consortium reported to own 11% of IAPO, is said to have involved Korzhuev direct believing that his connections in the MoD, particularly his relationship with recently retired head of MoD procurement Anatoly Sitnov would bring access to contracts such as that for the Su-27. Although the relationship between Korzhuez and the head of the air force's procurement Yury Klishin and the latter's willingness to convince the commander of the air force Anatoly Kornukov of the merits of the Board 302 are credited with the success of the consortium's bid. For KnAAPO as the serial manufacturer of most of the Su-27 variants, the awarding of the contract to the consortium will undoubtedly be a blow. There are reports however, that AVPK Sukhoi at odds with the plant over its privatization and incorporation into Sukhoi, opposed KnAPPO getting the contact. For those not involved in the Su-27 upgrade, the pressing concern must be that the Russian Avionics 302 concept already adopted on the Su-30 could also be fitted to other type upgrades, particularly the MiG-29. With the air force attracted by the potential operational flexibility and costs gains for the air force and potentially shutting out other aircraft and avionics producers. The success of IAPO may in part be due to the reports over the last year of a thawing in the historically relations between the General Director of AVPK Sukhoi, Mikhail Pogoysan and his counterpart at IAPO Alexei Federov, with Korzhuez, former General Designer of the MiG Design Bureau and Sukhoi number two reported to be acting as champion of the IAPO led upgrade,. The latter traditionally seen as a champion of the upgrade over new aircraft; a philosophy that has gained an increasing audience in the cash strapped MoD, which has been openly critical of what they see as a Sukhoi Bureau obsession with new aircraft.

Article ID: 2235