No restraints on Greek fighter jet buys
By Karolos Grohmann
ATHENS, Oct 25 (Reuters) - Greece will rethink plans to buy 30 fighter jets and decide on the number according to its present defence needs, a senior defence ministry official said on Thursday.
Greece, which has the EU's top defence spending as a percentage of GDP, said last year it was postponing the purchase, which had attracted companies such as the Eurofighter consortium and Lockheed Martin Corp.
"All the options are open, and there are no restrictions to how many will be purchased," the senior defence ministry official, speaking on condition of anonymity, told Reuters.
Greece has long-standing territorial and other disputes with neighbouring Turkey, and the two NATO members came to the brink of war over a deserted Aegean Sea island in 1996.
"The size and time of the purchase will be determined by the threat we feel," the official said. "We will buy as many as necessary."
Experts say that could now mean as many as 60.
Greece had initially planned to buy 60 Eurofighter warplanes but postponed the deal ahead of the Athens 2004 Olympics due to budget constraints.
The conservative government, which came to power in 2004, ditched that option a year later, buying instead 30 F-16 warplanes made by Lockheed Martin Corp in a deal valued at the time at 1.1 billion euros, and delaying a decision on the additional 30.
Last year, Defence Minister George Meimarakis said: "A committee will be set up to consider the purchase, as agreed, of 30 more fourth-generation aircraft."
But the ministry official said the number of planes that would be bought was not fixed.
"We are not obliged to stick with the old number," he said.
Among the frontrunners for the sale is the Eurofighter, built by a consortium including BAE systems, Airbus parent firm EADS and Alenia Aeronautica, a unit of Italy's Finmeccanica.
Lockheed's F-35 Joint Strike Fighters, French fighter Rafale made by Dassault Aviation, Swedish defence firm Saab's Gripen fighter, the Russian-built Sukhoi SU-35 and the F-18 Super Hornet made by Boeing are also considered strong contenders.
Greece has drawn up a 10-year defence procurement plan worth a total of about 27 billion euros between 2006 and 2015, the official said. Greece was spending about 3 percent of its GDP on defence each year, among the highest in NATO.
Experts say it is likely Greece will decide to purchase at least 40 warplanes to form two squadrons.
"For sure it will be 40 or more, because it would not make any sense buying fewer than two squadrons," defence expert Anastasios Gouriotis told Reuters.
Gouriotis, a former defence ministry spokesman and now the general manager of defence magazine Strategy, said the figure could be as high as 60 planes.