HC Deb 26 July 1993 vol 229 cc747-9W
Mr. Morgan

To ask the Secretary of State for Defence how many MOD contracts Airwork Ltd. currently has; what is their approximate total value; and when the last contract currently held by Airwork Ltd. was last awarded.

Mr. Aitken

Further to my answer to the hon. Member for South Shields (Dr. Clark) on 27 April 1993 at column394, the position at the end of June was that Airwork Ltd. held 51 contracts from my Department. The original value of these was just over £95 million, but the value of work still to be carried out was approximately £28.3 million. The most recent of these contracts was placed on 28 April.

Mr. Morgan

To ask the Secretary of State for Defence which companies tendered for the 134 F3 Tornado 25 fatigue index modification contract awarded to Airwork Ltd. in September 1992.

Mr. Aitken

Four companies submitted tenders for the 25 FI modification programme:

  • Airwork Ltd.
  • Lovaux Ltd.
  • BAe Warton
  • BAe Hamble

Mr. Morgan

To ask the Secretary of State for Defence whether his Department's assurance periodic surveillance reports on the quality of performance by Airwork Ltd on the F3 Tornado modification contract by RAF St. Athan from September 1992 to March 1993 identified the problems leading to the cancellation of the contract on 25 May.

Mr. Aitken

In view of our pending claim, it would be inappropriate for me to comment on the contents of the surveillance reports by the MOD quality assurance staff.

Mr. Morgan

To ask the Secretary of State for Defence what was the estimated turn-round time per aircraft for the modification programme for RAF F3 Tornados to be carried out by Airwork Ltd. pursuant to its September 1992 contract; and in what way its quality assurance procedures and surveillance work differed from those agreed with British Aerospace on the preceding contract.

Mr. Aitken

The Airwork contract required a turnround time of 45 working days for each aircraft, though 60 days were allowed for the first aircraft off each production line. The same quality assurance procedures applied to both the Airwork and BAe contracts for Tornado F3 fatigue modifications.

Mr. Morgan

To ask the Secretary of State for Defence what assessment he has made of the flight safety risk of the damage done by Airwork Ltd. in the course of the F3 Tornado modification programme; and if he will make a statement.

Mr. Aitken

The damage, if unrepaired, would have reduced the aircraft's safe fatigue life and could have posed a flight safety risk. The detailed investigation now underway will assess the extent to which the damage to each aircraft affects its structural integrity and determine the most appropriate repair scheme.

Mr. Morgan

To ask the Secretary of State for Defence what consultations he has had with Deutsche Aerospace in relation to inspection of fasteners and fastener holes with respect to the manufacturer's guarantee on the centre fuselage section of F3 Tornados damaged by Airwork Ltd in the course of the modification programme.

Mr. Aitken

The investigation by the aircraft design authorities into the precise extent of the damage to each aircraft is not yet complete and we have still to receive their assessment.

Mr. Morgan

To ask the Secretary of State for Defence on what date and at which RAF station the structural damage to F3 Tornados was first discovered, which led to the cancellation of the Airwork modification contract.

Mr. Aitken

Damage to one aircraft was discovered on 29 March at RAF St. Athan where Airwork was carrying out the embodiment of the modifications. However, this was not sufficiently serious to justify termination of the contract. More serious damage was discovered subsequently.

Mr. Morgan

To ask the Secretary of State for Defence on what date Airwork secured AQAP4 registration; when that registration was last reviewed and checked; and if he will make a statement.

Mr. Aitken

Airwork Ltd. has held AQAP1 registration (a higher level which embraces AQAP4) for a number of years. The registration was last reviewed in August 1992, when the company was reassessed against the new ISO 9001 requirement and certificated for a further three years.

Mr. Morgan

To ask the Secretary of State for Defence if Airwork remains on the defence contractors list; and when its ownership and financial standing and level of performance indemnity assurance was last reviewed.

Mr. Aitken

Airwork Ltd. remains on the defence contractors list, a position which is subject to regular review. In making decisions on the award of contracts, we take account of contractors' past performance.

The ownership and financial standing of Airwork were last reviewed by my officials on 17 May. My Department holds a performance guarantee from Airwork Ltd's holding company, supported by guarantees from the holding company's shareholders; these are not limited in value and are still current.

Mr. Morgan

To ask the Secretary of State for Defence what was the average cost of the 25 fatigue index modification programme carried out on the F3 Tornado RAF aircraft at RAF St. Athan by British Aerospace; what the quality assurance procedures and surveillance were; and what the average turn-round times per aircraft.

Mr. Aitken

Contract prices are commercially confidential. The normal MOD quality assurance arrangements applied to both the BAe and Airwork contracts. Under these a contractor with the appropriate QA registration is responsible for the quality of his work in accordance with the contractual quality plan; there is some limited MOD QA surveillance. The average turnround time on the BAe contract was 63 days. However, the two contracts called for different turnround times and hence different shift and resource patterns.