Gripen Handbook

6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 40 42 Saabs CEO Hkan Buskhe: We can and we will This is Gripen E Gripen E: The most important features Six users rely on Gripen How the multi-role concept evolved Saab Chief Test Pilot: Master of the skies Our philosophy is unique Gripen E: Just a few steps away A Grifn in the Swiss Alps Strategy expert Albert A. Stahel: Why does a nation need an air force? Former Commander Markus Gygax: A modern air force is vital Swedens Minister for Defence: A win-win partnership Gripen is combat-proven Gripen in action Swedens Social Democrats: We cant stand still How Swiss industry gains from Gripen Chairman Marcus Wallenberg: We are committed to partnership Contact us

We can and we will

Saab CEO reiterates our commitment to Switzerland
Dear reader, The decision to buy a new fighter is always an important one for the country concerned. Its about security, the future, and financial viability. When delivered, Gripen E will be at the forefront of technology, using the latest state-of-the-art technology, systems and equipment and providing the latest operational capabilities. Saab is an aviation, defence and security company that was founded over 75 years ago and has produced some 5,000 aircraft. While the aeronautics business is important, having accounted for 30 percent of the order backlog by the end of 2012, we are not solely dependent on its product range. We have always kept our promises, and if you talk to our clients around the world they will tell you how satisfied they are. Saab is a strong company with a world-leading industrial portfolio. We believe in long-term customer satisfaction and a sustainable future rather than short-term profit. The Swedish Government and Parliament have given their resounding support for the Gripen system, and the E version in particular, will form the backbone of the Swedish Air Force for at least the next 30 years. Gripen E is the logical continuation of the evolving Gripen product that began in the 1980s. Saabs design philosophy has consistently produced the most modern fighters of the day. Saab also knows the importance of creating industrial participation throughout all regions of Switzerland and transferring knowledge. We guarantee that we will create offset business equal to 100 percent of the Saab contract value. This is a promise that we will keep. So lets work together. Dont hold back if you have any questions for us. I look forward to cooperating with you.

President & CEO Hkan Buskhe

Hkan Buskhe, President and CEO, Saab AB

GRIPEN E WILL OFFER THE MOST UP-TO-DATE TECHNOLOGY AVAILABLE.

Hkan Buskhe

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This is Gripen E
Smarter and more capable

been relocated from the fuselage to the wing, allowing it to carry more internal fuel and enable the addition of two pylon stations to carry either extra radar-guided Meteor missiles, other weapons or additional fuel tanks. A more powerful engine provides more thrust, enabling greater acceleration and the ability to use less fuel at supersonic speeds. It can sustain such speeds without the help of an afterburner. A modern Active Electronically Scanned Array (AESA) radar is built into Gripen Es nose cone. This active sensor is augmented by a passive Infrared Search and Track sensor (IRST). The AESA radar has a long range and a wide angle of detection and can even look backwards, while the IRST is a completely passive sensor, allowing Gripen E to detect targets without emitting energy. The new aircraft offers a revolutionary state-of-the-art avionics system, more powerful computers, and fast new communications systems. Gripen systems. Saab has developed its aircraft in small, manageable and financially viable steps. We are currently testing a twin-seater model called Gripen NG (New Generation) test aircraft. In October 2012, people in Switzerland saw the NG test aircraft for the first time, flown by Swiss and Swedish pilots during the Air Force live fire event, Axalp 2012. Gripen E improves on the performance of Gripen C: it offers extended range and stays in the air for longer. The landing gear has The Swedish Air Force denomination for Gripen is JAS 39 Gripen. JAS stands for Jakt, Attack och Spaning meaning that its a fighter aircraft (air-to-air combat), attack aircraft (air-to-ground) and a reconnaissance aircraft all in one. A genuine multi-role aircraft, air forces can prioritise whichever function is relevant to

them for a particular mission. In peacetime for example, it is mainly used in air policing roles. One of Gripen Es special qualities is that it can change its role at the push of a button while in flight, provided it carries the right equipment. This makes it an extremely modern, flexible and cost-effective aircraft. Saab has therefore managed to break the trend of fighters being more and more expensive, by producing a more capable aircraft at a lower cost. Smart solutions that intelligently combine hardware and software have been used to create the Gripen E. New functionality can be introduced to the aircraft by installing new software, and hardware components can be changed without affecting the rest of the aircraft. This is more cost effective and means that updates and upgrades can be performed much more quickly. Increasingly, we make use of widely available Commercial Off The Shelf (COTS) components, negating the expensive process of developing everything ourselves. Maintenance is also state-of-the-art. For example, turning around a Gripen in preparation for a fighter mission takes less than 10 minutes for a conscript crew, and if needed, the engine can be replaced and the aircraft can be airborne again within an hour.

Gripen NG test aircraft

In November 2011 the Swiss Government decided that Gripen E was the preferred aircraft for the future needs of the Swiss Air Force. When it is delivered in 2018, it will be one of the most modern ghters available on the market. Switzerland plans to procure 22 aircraft, and the Swedish Air Force has ordered 60 Gripen E, making the aircraft the backbone of its air defence. This jet is not an unknown quantity. Rather, it is a logical continuation of the proven earlier
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Gripen E
The most important features
and the possible lines of action, thereby supporting the pilots decision making.
6  10 external hardpoints: for carrying 1   New avionics concept: safety critical and

mission functions are seperated from each other. This allows mission functions to be upgraded rapidly without having to re-test safety critical functions. In addition, modularisation enables integration of customer programmes and software. Extensive growth potential in computer capacity. Using off the shelf components from third party suppliers reduces the risk of the system becoming obsolete, and ensures costs are kept low. range, gives the ability to remain in the air for longer, and allows the aircraft to carry more external weapons and stores.

air-to-air and air-to-surface weapons, surveillance pods and targeting pods, and additional fuel tanks. F414G: the same as used by the U.S. Super Hornet.

10 2 7

7  Powerful engine General Electrics

8  Latest generation Active Electronically

2   Additional internal fuel tanks: increases

3  Air-air refuelling probe. 4   A wider and longer body with the landing

Scanned Array (AESA) radar system produced by Selex ES. With an upgraded ability to follow different targets, it provides a higher range and angle coverage and is more resistant to disruptive enemy action. (IRST): can detect targets by their heat signature, allowing Gripen to attain early situation awareness without emitting its own radar energy. self-defence system.
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4 3 5 9 1 6 10

9  Passive infrared search and track system

gear placed further out: allows the aircraft to carry more stores under the fuselage. Enhances air-to-air combat in particular.

5  Human-machine interface: gives the pilot

extremely good situation awareness, and also helps in analysing the tactical situation

10 Comprehensive electronic warfare

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Six users rely on Gripen

Gripen is in service with the Swedish, Czech, Hungarian, South African and Royal Thai Air Forces. The UK Empire Test Pilots School operates Gripen for test pilots worldwide. Brazil has also opted for Gripen. Saab has delivered successful industrial cooperation in Hungary and South Africa and continues to do so in the Czech Republic.

Four-aircraft Gripen formation over northern Sweden

How the multi-role concept evolved

First it was challenging threats, then challenging budgets
Throughout the Cold War, non-aligned Sweden felt threatened by the Soviet Union. In the case of war it would face an overwhelming force from the Warsaw Pact. As it could not muster a similar number of troops, warships and aircraft to counter this, Sweden needed a smart philosophy. During the 1960s the Swedish Air Force adopted an operational concept that involved having a large number of dispersed airbases where the aircraft could be hidden when they were not airborne. This was complemented with an extensive chain of air surveillance radars along the eastern borders of the country, integrated with an efficient network of command posts for rapid reaction and ground-controlled interception. With 55 squadrons operational, one of the worlds most impressive air forces at this time, the Swedish fighters stood constantly on Quick Reaction Alert (QRA) around the clock, ready to be airborne within 60 seconds if needed. The aircraft used were mainly versions of the Saab 32 Lansen and the Saab 35 Draken. Already then it was identified that it would be more cost-efficient if each aircraft could carry out several roles and at the same time reduce the maintenance cost by operating a unified fleet
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IN 1987 DURINg THE COLD WAR, 4,270 WARSAW PACT AIRCRAFT WERE BASED WITHIN 15 MINUTES EAST OF SWEDEN
SIPRI

of common design, says Bengt Littke, Senior Advisor, Gripen Export. As an example, the conceptual study for the Saab 37 Viggen, which was being developed during the 60s and 70s, resulted in the vision for a common-type aircraft. The Viggen system eventually matured into four operational versions. Each of them had a clearly defined secondary role. Early in the studies for the Gripen fighter, it was realised that advances in electronics now enabled the design of avionics that could fully support the vision of a multi-role aircraft, says Littke. This enabled any aircraft in the fleet to carry out fighter, fighter-bomber or reconnaissance missions. The multi-role Gripen and its increased capabilities allowed fewer aircraft to meet the same threats. A lot of effort was also put into creating a robust design that reduced failures to a minimum and allowed for easy and rapid maintenance of the aircraft. Adapting to budget constraints, the Swedish Air Force recently decided to consolidate and optimise its operations. With the closure of airbases, they needed an aircraft with greater operational range and more advanced capabilities and so Gripen E was born.

Master of the skies

No other ghter can be controlled so easily and precisely
I have own about 40 different ghters and none of them obey me as precisely as this one, says Richard Ljungberg, Chief Test Pilot at Saab. Gripen is like skiing with carving skis, while flying other aircraft is like skiing with the old traditional downhill skis. Ljungberg has worked as a test pilot since 1998, first for FMV, the Swedish Defence Material Administration, and then for Saab from 2004. He has flown all versions of Gripen, from A to D through to todays two-seater Gripen NG test aircraft. Flying is one thing, but flying a mission is something else, he explains. Every pilot needs to train for missions. Because Gripen is so responsive and easy to fly, the pilot can concentrate fully on performing the mission. In a modern fighter jet, there is an enormous amount of information for the pilot to deal with. But Gripen offers significant advantages. Ljungberg who has 2,800 flight hours under his belt explains further: The cockpit computer only shows me the information at the specific time that it is needed. I never feel overloaded and can concentrate fully on my task. If Im flying an attack mission for example, I dont need to know anything about the hydraulic system or the standby instruments. As a result, the pilot becomes more confident and the aircraft becomes more efficient. In addition, if a system fails, the backup system pops up digitally on the display. This means that the display area is used to maximise the chance of mission success. Ljungberg, who has flown all over the world, would not want to miss flying in the Swiss Alps. They have an unrivalled beauty. Flying around the mountaintops above a sea of fog and then diving into it, is usually a pure adrenaline experience. Not so much with a Gripen, however, since I know that I can rely on it completely, he says with a smile.

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View from Fronalpstock toward Urner Lake

Saab Chief Test Pilot Richard Ljungberg

I HAVE FLOWN ABOUT 40 DIFFERENT FIgHTER JETS AND NONE OF THEM OBEY ME AS PRECISELY AS THIS ONE.
Richard Ljungberg

Our philosophy is unique

How Gripen became better and inexpensive over time
We sometimes take international clients to Swedish Air Force exercises at bases in the Swedish countyside, says Matti Olsson, Head of Strategic & Business Development Production. I love going along, since it is when I see the most astounded faces. We do this to show them Gripens unique capabilities. In these situations we sometimes replace the engine of a Gripen to prove ease of maintenance and short turnaround time. This is done by the everyday Air Force maintenance staff. Our guests usually roll their eyes, preparing themselves for hours of being patient as they await the result. As far as they are concerned, replacing an engine is a time consuming task. But not with Gripen. Within an hour were done quite to the surprise of our guests, laughs Olsson. By following this design philosophy through the entire production process, purchasing and operational costs have been kept lower than for twin-engine fighters. The smart approach and the smooth interaction of hardware and software make Gripen E superior to its competitors in terms of performance. Gripen Es flight and mission-critical software systems are kept completely separate from each other. Changing one component does not affect the others or the aircraft as a whole allowing updates to be implemented faster and cheaper. Production is also efficient. Olsson explains: In earlier times mechanics needed to call quality control after every screw they put in. Today the assembly team is trained to be independent, to perform quality checks themselves, without outside supervision. The aircraft is only approved at the very end. This has saved time. Thanks to this production philosophy, flight critical or mission critical safety is never compromised.

TODAY THE ASSEMBLY TEAM DOES ITS WORK COMPLETELY INDEPENDENTLY WITHOUT OUTSIDE SUPERVISION.
Matti Olsson

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Matti Olsson, responsible for the Gripen E production strategy

Gripen mechanics carry a great responsibility

He tells this anecdote to show how Saab thinks. By the mid-1980s and the end of the Cold War, it was obvious that future defence budgets would be less generous, so Saab intensified its efforts to make the fighter even smarter. After all, it had to distinguish itself from competitors in the big producer nations.

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Gripen E just a few steps away

How Saab continuously evolves its ghter jet
In contrast to its competitors, Saab has always enhanced its aircraft on a continuous basis, says Richard Smith, Campaign Director for Switzerland, Saab. As a result the aircraft is always up to date, satisfying the evolving needs of its customers. In addition, upgrades are relatively small, which makes them easier to manage and keeps spending under control. This is certainly the case with Gripen E. Its new, but we still know what were getting, says Smith. After the tests in 2008, with an early version of a Gripen C, Saab identified 98 improvements for the future of Gripen. 34 percent of the list was implemented in a later C model and another 20 percent in todays C model. An additional 39 percent has been implemented in todays Gripen NG test aircraft. The remaining 7 percent will be fulfilled in Gripen E before delivery with ongoing integration conducted to an agreed schedule. The Swedish Government granted Saab a development budget in February 2013, allowing the company to make Gripen E ready for serial production. Sweden and Switzerland will buy the same version. armasuisse will monitor all development phases closely, ensuring that Swiss needs are met. armasuisse plans to buy Gripen E at a fixed price. In addition to the cost of the Saab fighters, it will buy materials and services from other suppliers. All this adds up to a total cost of 3.126 billion francs. Even after Gripen E is delivered to Switzerland in 2018, Gripens evolution will continue. But Switzerland will only have to contribute the cost of future upgrades that it wants for itself. When we say upgrades, we mean that if new, more advanced, more efficient equipment is available, then we look at implementing it. It is important to stay at the forefront of technology as this maintains the operational edge needed by a modern air force, says Smith.

IN CONTRAST TO ITS COMPETITORS, SAAB HAS ALWAYS ENHANCED ITS AIRCRAFT ON A CONTINOUS BASIS.
Richard Smith

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Gripen Campaign Director Richard Smith

South African Gripen pilots on their way to a mission

A Grifn in the Swiss Alps

Gripen is the Swedish word for Grifn, a mythical creature with the head of an eagle and the body of a lion. The Grifn is also the main element of the Saab logotype. This picture shows Gripen in front of the Matterhorn. An armasuisse pilot sits in the front of the cockpit and a Saab test pilot sits in the back. In a report by Swiss TV, the Swiss pilot says: I have to praise the versatility of Gripens capabilities, both in peacetime as well as in periods of tension and conict. It complements the existing F/A-18 in an ideal way.

Gripen NG test aircraft in front of the Matterhorn, October 2012

T U ES

AR TI C LE

Why does a nation need an air force?

International law and global threats determine our safety
Albert A. Stahel is a professor for strategic studies at the University of Zurich. He explains his view on the need of an army and an air force in modern times. The worlds security situation is determined by financial crisis, conflict and war. There is an economic crisis in Southern Europe, chaos in Libya, unrest in Egypt, and war in Syria. Tehran challenges world powers, and in the Western Pacific tension between China and the USA increases, closely watched by Japan, South Korea and the Philippines. Quite apart from that, industrial countries are faced by other threats too. These include terrorism and cyber-war. While the USA has scored some successes in recent years in the fight against international terrorism, cyberattacks have increased all over the world. They have become a method for organised crime to pursue its aims. In European countries the fight against organised crime is conducted by national police forces in collaboration with Europol. In such an unstable international environment, every state must implement the principle of international law. A state consists of three elements: its territory, its citizens and its government. It can only exist if its government can protect its territory and people with armed forces. If it cant, the international community will deem this country to be a failed state. These rules apply to Switzerland too. If the Swiss government wants to maintain the claim that Switzerland is a properly functioning, independent state within Europe, it will have to maintain all the resources of a proper army and use these to protect and control Switzerlands territory. This territory includes the airspace above Switzerland. The Swiss Army is only credible if it has an air force of its own that can control Swiss skies. There is a symbiosis between the state, its army and its air force. Without this, Switzerlands existence and credibility will be called into question. Switzerlands reputation as a safe place for investment would vanish, and there could well be an exodus of foreign investors and capital from the country.

Professor Albert A. Stahel

A STATE CAN ONLY EXIST IF IT CAN PROTECT ITS TERRITORY AND ITS PEOPLE WITH ARMED FORCES.
Albert A. Stahel

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Gripen pilots during a briefing

T U ES

AR TI C LE

A modern air force is vital

Why Gripen is the right choice
Markus Gygax, Commander of the Swiss Air Force from 2008 to 2012, played a major role in evaluating Gripen. Here he describes the Air Forces responsibilities and explains why Gripen was chosen. Military conflicts of recent years show that a successful army needs a modern air force, otherwise it would be substantially disadvantaged. The army has to provide a broad range of services if it is to ensure Switzerlands security. For its part, the Air Force must ensure our sovereignty in the air which includes such tasks as monitoring, air policing and, if necessary, defence of the airspace. Switzerlands airspace is small, so it doesnt get much early warning. In case of an escalating ongoing conflict, when you need to intervene immediately, four aircraft must be in the air at any time. This places heavy demands on the fleet and requires a minimum number of aircraft. The 54 Tiger fighter jets we have used for the last 30 years no longer meet modern operational requirements. The F/A-18s perform very well but with only 32 of them, the fleet is too small to protect our airspace permanently over a longer timescale. In the case of a specific threat, our 32 F/A-18s could protect and control Swiss airspace for a maximum of 3 weeks its essentially a question of endurance and credibility. During this aircraft procurement process it is vital to ensure that the quality, quantity and military capability match modern European standards. We need fighters that are state-ofthe-art but that are also affordable to buy and maintain. Gripen E fulfils these criteria. The main factor for successful aircraft deployments is no longer the speed of the aircraft, but the fact that it has powerful weapons, and that it features the very latest radar and sensors. With the next generation Gripen we will be getting an aircraft that meets our requirements. We also get the overall package we require, with the necessary adjustments to infrastructure included in the price. Should the purchase of the fighters fail, we would have less endurance, security and trust.

Gripen communicates efficiently with other aircraft and with the ground forces

Markus Gygax, former commander of the Swiss Air Force

THE F/A-18 FLEET IS TOO SMALL TO PROTECT OUR AIR SPACE OVER A LONGER PERIOD OF TIME.
Markus Gygax

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A win-win partnership
Swedens Minister for Defence Karin Enstrm talks about Gripen
The purchase of Gripen is a government to government affair. In August 2012 the Swedish Defence and Security Export Agency, FXM, and armasuisse signed a framework agreement that set out the basics. Sweden and Switzerland will together procure Gripen E, which will be beneficial for both countries. The Swedish Parliament has given their approval for the armed forces to buy Gripen and the government has subsequently decided on the procurement of 60 aircraft. In February 2013, FMV, the Swedish Defence Material Administration, signed an agreement with Saab worth 6.9 billion francs. It allows Saab to put Gripen E into production and includes the delivery of 60 fighters for Sweden and 22 fighters for Switzerland (assuming that the country does indeed go ahead with the purchase). This will include mission-specific equipment as well as support and maintenance equipment. Swedens Karin Enstrm strongly believes in the countrys need for an effective air force: Because of todays security situation, Sweden needs armed forces that can both defend Swedish territory and allow us to participate in international missions. The armed forces need to be capable of meeting such challenges, and this means having an air force that others respect and that we can trust to fulfil its missions. Our investment in the next generation of Gripen will strengthen our future air defences. With two industrialised countries of similar sizes working together, Karin Enstrm sees advantages for both of them: This is a win-win partnership. It will give Switzerland and Sweden the chance to acquire a highly advanced fighter aircraft at a lower cost, and create synergies in areas such as training, operations and logistics. There will be many opportunities for cooperation between our nations air forces.

Swedish fighters (Gripen E/F test aircraft in the foreground and Gripen D in the background) above the Swedish coastline Swedish Minister for Defence Karin Enstrm
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THERE WILL BE MANY OPPORTUNITIES FOR COOPERATION BETWEEN OUR NATIONS AIR FORCES.
Karin Enstrm

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Gripen is combat-proven
The Swedish and Czech Air Forces on Gripen
The Swedish Air Force proved itself in battle as part of the NATO mission over Libya, participating in reconnaissance missions and in securing the no-y zone. Eight of Swedens Gripen were armed and ready for combat if attacked. The information they delivered was crucial for combat missions flown by other aircraft. The Swedish Air Force flew 40 percent of the reconnaissance missions during the conflict. Over the course of 650 deployments and nearly 2,000 hours of flying it captured 150,000 images. Canadas Lieutenant General Charles Bouchard, who commanded the intervention in Libya, said: Swedish reconnaissance was the best in the coalition. Our aircraft proved fully compatible with the international forces equipment, says Micael Bydn, Swedish Air Force Chief of Staff. It was very well integrated into all systems and we were a full partner of the combined forces. Avionics and equipment were equal to those of the others. Reflecting on the experience he adds: like Switzerland, we have decided to be solely responsible for the protection of our own airspace. We have succeeded very well with Gripen so far. We can train our own personnel,
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Swedish Air Force Chief of Staff Micael Bydn

take care of our own maintenance and take off and land almost everywhere in the country. The Swedish Air Force is also a voice heard by Saab when it comes to future developments. The Czech Air Force also operates Gripen. It has twelve Gripen C and two Gripen D (two-seaters). This is not enough to fulfil all our missions, states Ji Verner, Czech Air Force Commander. So we have to prioritise. Currently we only undertake air policing tasks. We are ready at any time, 24/7. Verner likes Gripen not only for its flight performance and avionics, but also because its a complete system. The radar, sensors, weapons, training and maintenance all work smoothly together. Even the pilots suit, helmet and underwear are part of the system, which has a positive influence on cost and operational performance. I would also like to stress our great cooperation within Gripen user countries, Verner says. In the meantime, Czech pilots gained so much experience that they were asked to fly air policing missions in the Baltic region during 2009 and 2012, with four aircraft and 67 and 64 airmen respectively. Further such missions are also planned over Iceland in 2014.

WE HAVE SUCCEEDED VERY WELL WITH GRIPEN SO FAR.

Micael Bydn

WE LIKE GRIPEN FOR BEINg A COMPLETE SYSTEM.

Ji Verner

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Czech Air Force Commander Ji Verner

From desert to Arctic: Gripen performs in all climates

Gripen in action
The Czech Air Force has performed several air policing missions over the Baltic States. Estonia, Lithuania and Latvia dont have their own air policing capabilities, so other NATO members rotate responsibilities.

//UNCLASSIFIED//

Libyan SA-2 SAM site. Photo taken by JAS 39 GRIPEN.

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15 metres

We cant stand still

Why Swedens Social Democrats favour Gripen
Sweden has been ruled by a center-right government since 2006. However, when it comes to the Gripen programme, both the government and the leading opposition party are in broad agreement. Their views may differ in detail, but there is a general consensus about the need for an effective air force and thus for the Gripen programme. This is not just because of the desire to preserve jobs in high tech sectors, says Peter Hultqvist, a leading Social Democrat and Chairman of the Defence Committee in the Swedish Parliament. He explains what potential military threats Sweden faces today and in the future now that the Cold War is long over. There is no acute threat, but there are still things like Russias ambition to develop its military capability. The Gripen programme serves to keep our military strength intact. There is a lot of gas and oil transportation in the Baltic Sea, and various nations are becoming more and more interested in the Arctic region. Despite cooperation with other countries we still need the military. Hultqvist explains that the aircraft production that started before the Second World War also continued during the Cold War. This ensured that the nation would always have fighters that met its needs. Thats the case in this latest round too. What Gripen E offers is what our Air Force needs and it is also the most cost-effective option, he states. The Social Democrats are Swedens leading opposition party. But theres no major sign of disagreement to the centre-right governments plans for Gripen. Hultqvist explains why not. The Swedish Air Force has been flying Saab aircraft for more than 70 years. The Social Democrats have always been in favour of developing the Swedish Air Force. We are now supporting Gripen E. We need the new aircraft because of the way the operating environment has evolved. Other countries are also modernising their air forces. Russia especially is doing a lot at the moment. We cant stand still.

Gripen NG test aircraft above Sweden Head of the Security Committee Peter Hultqvist
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WE NEED THE NEW AIRCRAFT BECAUSE OF THE WAY THE OPERATING ENVIRONMENT HAS EVOLVED.
Peter Hultqvist

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How Swiss industry gains from Gripen

Offset deals will be worth 100 percent of the contract value
A lot of terms are used to describe the same thing: offset, industrial cooperation, compensatory business or, indeed, Swiss industrial cooperation. When a state procures defence goods on the international market instead of at home, there is a potential loss in sales for Swiss companies. Therefore industrial cooperation, based on competitive grounds, ensures that the Swiss economy also benefits from such a procurement. It creates business, knowledge and/or technology transfer for Swiss companies. In this case it means that Saab and its partner companies are to enter into business deals with Swiss companies that are worth at least 2.2 billion francs. Saab can sign direct contracts with Swiss companies, or can arrange thirdparty deals through partners and other firms to create new market and export opportunities. The suppliers of the Gripen E weapon systems are responsible for an additional 300 million francs, making the total obligation 2.5 million francs. A distinction is made between direct and indirect industrial participation. If Saab arranges for Gripen components to be made by a Swiss company, this counts as direct
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A Gripen fighter being painted

cooperation. If such a Swiss company is producing the same components for a third party customer to Saab this is also counted under direct industrial cooperation. If Saab or other companies do non-Gripen related business, it is called indirect cooperation. This type of business consists mainly of industrial and infrastructure contracts, energy and environmental projects, technology transfer and joint research & development activities. Direct cooperation makes even more sense if it helps to create production capacity in Switzerland and if knowledge is transferred, says Lennart Sindahl, Head of Saab Business Area Aeronautics. The aim is for Switzerland to be able to maintain its fighters as autonomously as possible, as well as to increase the value of the Gripen system. Saab will award design, development and production of significant parts of the Gripen E fuselage to an industrial consortium. Indirect deals however, will make up the lions share of the total offset business. armasuisse, in cooperation with the Offset Office in Bern, assures that all requirements are met. In line with armasuisse guidelines, Saab is committed to delivering a regional distribution of offset, with 5 percent in Italian-speaking, and

Lennart Sindahl, Head of Saab Aeronautics

DIRECT COOPERATION MAKES SENSE IF IT CREATES PRODUCTION CAPACITY AND IF KNOWLEDGE IS TRANSFERRED.
Lennart Sindahl

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30 percent in French-speaking Switzerland. At the same time, all compensation business has to be purely based on competitive grounds. This is because the business is designed to be long-term and to strengthen Swiss industry. Principles for industrial cooperation should be evaluated well in advance in order to be implemented as quickly as possible after the Gripen E contract is signed. From this point on, Saab and its partners, including Gripen subcontractors, will have ten years to deliver. The aim of such deals is sustainable growth through long-term partnership, says Sindahl. Saab has agreed with armasuisse to deliver contracts worth 300 million francs before the Gripen E contract is signed by the Swiss and Swedish governments. True to its word, by February 2014 Saab had already arranged for business with 125 Swiss companies, valued at 400 million francs. Many of these companies are small and medium size companies. But even when a contract goes to a large company, Saab makes sure that this company works together with smaller sized subsuppliers. armasuisse has to date analysed and accepted 247 million as offset transactions and continues to investigate the remaining business.

How does industrial cooperation work?

Saabs intention is to support the competitiveness of Swiss industry by inviting them to submit quotations and proposals that eventually lead to contracts in relation to the Gripen programme. Saab will create business in Switzerland by working under the following principles:  Involve Swiss industry in the Gripen programme  Promote Swiss export using the Saab industrial network Further include Swiss industry in the supplier base of Saab and its partners  Increase Swiss industry capabilities and competitiveness via knowledge and technology transfer

There are various opportunities for industrial participation

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We are committed to partnership

With 75 years of aviation history, Saab believes in a strong future
In the international context, Saab is a medium-sized company. However, Marcus Wallenberg, Chairman of the Board of Saab AB, provides support for the company that will be there for the whole of Gripens lifecycle and beyond. Saab has been at the forefront of high-tech manufacturing since its inception, and has 77 years of experience in the design, development and production of advanced aircraft systems for Sweden as well as for international customers, he explains. With this experience comes a knowledge and understanding of aircraft development and production that allows us to believe that Saab has excellent opportunities to progress further as a fast-moving, customer focused, high-tech, internationally oriented company. He goes on to point out that Saabs strength lies in its proven processes for delivering high-quality solutions that are cost effective to buy, operate and maintain, and which are therefore competitive in a world where fiscal and economic conditions remain uncertain. The Wallenberg Foundations, backed by the Wallenberg family, control 38.7 percent of Saab through their investment company Investor AB, Northern Europes largest industrial holding company. The Investor portfolio also includes ABB (energy), Atlas Copco (mining), Ericsson (telecommunications), various medical and pharmaceutical companies (AstraZeneca, Mlnlycke Healthcare), as well as SEB (banking) and Electrolux (white goods). Setting out his commitment to Saab, Wallenberg explains his long-term plans. We have been involved with Saab ever since it was founded in the 1930s, and we continue to have a deep commitment as the main owner of the company. We have the financial stamina, the network and the perspective that allows us to continue believing in Saab. I am also very proud that Sweden and Switzerland are working together to explore this opportunity for collaboration. Switzerland is a very strong partner for Sweden and Saab, and we will do all we can to make it a successful partnership. Wallenberg highlights the fact that the Swedish government has made a clear commitment to becoming a strong, long-term strategic partner for Switzerland. This commitment provides a solid foundation for increased cooperation on several levels. The Swiss and Swedish have similar attitudes to industrial efficiency and quality. Our two industrial sectors should aim to establish a long-term collaborative partnership to the benefit of both countries. Saab has a long history of successful industrial cooperation. As part of the Investor business network and with an extensive international supplier network, Saab has ample resources when it comes to assisting its customers and finding mutually beneficial business opportunities.

WE HAVE THE PERSPECTIVE THAT ALLOWS US TO CONTINUE BELIEVING IN SAAB.

Marcus Wallenberg

40 Gripen Handbook

Gripen Handbook 41

Marcus Wallenberg, Chairman of the Board of Saab AB

Contact us
Saab AB Effingerstr. 3 P.O. Box 7865 CH-3001 Bern Visitors: Effingerstr. 3 CH-3011 Bern +41 31 312 07 07 Richard Smith, Gripen Switzerland Campaign Director richard.smith@saabgroup.com +46 73 418 42 41 Henry Johansson, VP Gripen, Switzerland henry.johansson@saabgroup.com +41 79 762 68 77 Mike Helmy, Gripen Switzerland Communications & Marketing Manager mike.helmy@saabgroup.com peter.sjostrom@saabgroup.com Useful addresses
armasuisse, competence centre for the procurement of systems and equipment for the armed forces: www.ar.admin.ch/internet/armasuisse/en/home.html Federal Department of Defence, Civil Protection and Sport: www.vbs.admin.ch/internet/vbs/en/home.html Swiss Air Force: www.lw.admin.ch/internet/luftwaffe/en/home.html Swedish Ministry of Defence: www.government.se/sb/d/2060 FMV, the Swedish Defence Materiel Administration: www.fmv.se/en FXM, Swedish Defence and Security Export Agency: www.fxm.se/en The Swedish Air Force: www.forsvarsmakten.se/en/our-organisation/our-forces/the-swedish-air-force

+41 79 777 40 30 +41 79 545 72 39

Peter Sjstrm, Director Industrial Cooperation Switzerland

Photography
armasuisse/Swiss Air Froce (1, 22/23), Emiel Sloot (12/13), Remo Hediger (17, below), South African Air Force (21, top), Jamie Hunter (28), Jan Cadil (32)

We thank everybody who agreed to be interviewed for this handbook. All quotes reflect the personal opinions of their authors and may differ from Saabs view point. www.gripen.ch | www.saabgroup.com

2013/2014 Saab AB www.gripen.ch | www.saabgroup.com