Leonardo has been awarded a £27m ($35m) contract by the National Armaments Director (NAD) Group to supply critical consumable spares for the UK’s fixed-wing and rotary-wing military aircraft.
The Aircraft Consumables Commodities (ACC) contract has an initial term of three years. It comes with an option to extend for up to four additional one-year periods, potentially raising the total contract value to £70m over a seven-year period.
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Under the agreement, Leonardo will be responsible for sourcing aroundy 11,000 Nato Stock Numbers (NSNs), encompassing range of equipment necessary for aircraft operation and maintenance.
These items, which include consumables such as rivets, washers, cable ties, and face masks, are vital to ensure continued airworthiness and mission readiness across the defence fleet.
The contract covers several aircraft types, including Typhoon fighter jets, Apache and Chinook helicopters, and A400M and C-17 transport planes.
Some of these aircraft are currently supporting UK military operations in the Middle East.
During the delivery period, the agreement is expected to sustain around 75 jobs in the UK defence sector, with most positions located in Edinburgh, Coningsby, and Bristol.
The new contract aims to simplify and improve the management of spares by consolidating equipment distribution at depot level, moving away from the previous model which supplied spares directly to individual units.
A hybrid management strategy will be employed, with Leonardo managing “fast-moving” high-demand items proactively, while “slow-moving” parts are handled on an “as-and-when” basis.
Leonardo will also oversee spares modelling, forecasting, proactive maintenance, procurement, and obsolescence management.