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Feb 17, 2013

BAE hit by delay on Saudi jet deal



BAE Systems is to reveal that 2012 was a weaker-than-expected year in profit terms as a result of delays in agreeing a price with Saudi Arabia for its Typhoon fighter jets.

The defence giant will publish full-year results for 2012 on Thursday, and analysts are forecasting a rise in revenue to around £18.7bn from £17.8bn.
Pre-tax profit is forecast to rise to £1.63bn from £1.47bn.
However, The Sunday Telegraph understands results will come in below City expectations as BAE continues negotiations on the pricing of a contract to supply 72 jets to the Royal Saudi Air Force. It is a government-to-government deal known as “Salam” and worth roughly £4.5bn in total.

telegraph

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