Up to $89M fine for Sikorsky excused despite delivering new Cyclones late
The Federal government has excused US aerospace giant Sikorsky up to $89 million in fines for delivering a fleet of Cyclone helicopters (to replace the military’s aging Sea Kings) more than two years behind schedule. The original contract saw the first Cyclone helicopter being delivered in November 2008, but under a new deal reached in December, Canadians will actually pay the company $117 million extra for upgrades on the fleet and long-term service support package.
Public Works, the Defence Department and the US company have yet to explain the specific reasons for the delay, and Sikorsky has also been given another two years before they face penalties.