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December 26, 1999
The Eurofighter consortium is scrambling to find a way to meet Norway's demand for a 100% offset package (i.e., the Eurofighter consortium must buy Norwegian products equal to 100% of the value of the aircraft sold to Norway). The Norwegians want 20 fighters (with an option for 10 more) and are considering the Eurofighter Typhoon and the F16C50N. The deal is expected to be worth $1.3 billion. Eurofighter first offered an offset package it said was worth $3.25 billion, but Norway said that the package was in fact really worth only $400 million because Eurofighter had used unsupportable assumptions in calculating the deal. Eurofighter then offered a deal it said was worth $2 billion, but Norway said it is really worth only $1 billion. --Stephen V Cole
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