Text Fwd: KAI Faces Downsizing

Korea Times
03-13-2010 00:37
[Exclusive]KAI Faces Downsizing
By Jung Sung-ki
Staff Reporter

Korea Aerospace Industries (KAI), the nation’s only aircraft maker, is facing a major restructuring and a significant reduction of its executives in coming weeks, amid lingering speculation that the company may be privatized.

Currently, the Korea Finance Corp. (KoFC), which was spun off from the state-owned Korea Development Bank last October, holds a 30.5 percent stake in KAI, which also has three other major shareholders — Samsung Techwin, Doosan DST and Hyundai Motor, each with a 20.5 percent stake.

KDB wanted to sell KAI last year under a government policy to privatize public firms but withdrew the decision temporarily in the face of opposition from KAI’s labor union and concerns that such a move could harm efforts to sell the T-50 supersonic trainer jet to Singapore.

Singapore is set to announce a final bidder for its trainer acquisition program this or next month. The T-50 is competing with the M-346 jet built by Italy’s Alenia Aermacchi.

In a news conference Jan. 28, KoFC Chairman Ryu Jae-han said his organization was looking to sell KAI and other assets in the first half of the year in consideration of the market situation.

``KoFC notified KAI of its restructuring plan last month,’’ an industry source told The Korea Times. ``In particular, the organization asked KAI to halve the company’s executive officers in a bid to streamline the aircraft maker.’’

Other industry sources said the major restructuring could be a preliminary step for privatization.

``It seems that KoFC wants to slim down KAI and increase the company’s efficiency and profitability. If so, the organization will be able to manage KAI in a more flexible manner,’’ the source said.

Observers say the result of the Singapore competition is expected to influence the fate of KAI, which develops and produces a wide range of civil and military aircraft, including helicopters, basic trainer jets and unmanned aerial vehicles.

Last year, KAI apparently lost a bid to Aermacchi to sell up to 48 trainers to the United Arab Emirates (UAE) in a $1.3 billion deal. But reports said in January that the UAE was considering reopening talks with KAI after failing to finalize an agreement with the Italian company.
But reports said in January that the UAE was considering reopening talks with KAI after failing to finalize an agreement with the Italian company.

Text Fwd: S. Korea May Lease U.S. MRAPs for Afghan Mission

Defense News
S. Korea May Lease U.S. MRAPs for Afghan Mission
By JUNG SUNG-KI
Published: 9 Dec 2009 12:26

SEOUL - South Korea is discussing with the U.S. military a plan to lease or buy 10 Mine Resistant Ambush Protected (MRAP) vehicles to protect the 320 troops it will deploy to Afghanistan next year, the Ministry of National Defense said Dec. 8.

"A final decision will be made as late as next month," Lt. Gen. Jang Kwang-il, deputy minister for policy, said in a briefing on details of the redeployment to Afghanistan, apparently in support of the upcoming 30,000-troop U.S. surge.

Jang cited statistics that show the U.S. deployment of MRAPs to Afghanistan has helped lower its troop fatalities there significantly in recent years.

If it fails to secure U.S. MRAPs, the ministry will deploy the South Korean Army's Barracuda four-wheel-drive armored vehicles or K21 armored infantry fighting vehicles, Jang said.

Jointly developed by the state-funded Agency for Defense Development (ADD) and Doosan DST, the 25-ton K21 has a 750-horsepower turbo-diesel engine and 40mm automatic cannon capable of shooting down slow-moving helicopters and aircraft. It is equipped with digital communication, GPS receivers and inter-vehicle digital links. The K21 can travel as fast as 70 kilometers per hour on paved roads and cross a river at a speed of 7.8 kilometers per hour with the help of its water-jet propulsion system.

South Korean troops will be stationed in mountainous Parwan province, 60 kilometers north of Kabul, along with civilian reconstruction workers, the ministry said in a news release.

Other gear for the deployment includes:

* Four UH-60 Black Hawk helicopters fitted with missile protection systems.

* A mini UAV for reconnaissance and surveillance. A viable candidate is a Ucon Systems-developed hand-launched UAV that uses a parachute landing system. The UAV, which has a service ceiling of 1.5 kilometers and a mission radius of 10 kilometers, is under field trials, according to the release.

* The ADD-developed K11 airburst assault rifle. It consists of a semi-automatic 20mm smart-grenade launcher, an underslung assault rifle that fires a standard 5.56mm NATO round, and a top-mounted computer-assisted sighting system with integrated rangefinder and thermal infrared night-vision capabilities.

Deploying portable/robotic explosive detection systems is also under consideration, the ministry said.

Earlier in the day, the South Korean Cabinet endorsed the plan to send 320 troops, 40 police and 100 Provincial Reconstruction Team members to Afghanistan in July.

The ministry is to submit the motion, which calls for 29 months of deployment, to the National Assembly for approval later this week.

Text Fwd: S. Korea to Deploy Airburst Rifle to Afghanistan

* Image source/ caption: same as below

'Dual-Caliber Airburst Weapon'

Korea Times
S. Korea to Deploy Airburst Rifle to Afghanistan
By Jung Sung-ki, Staff Reporter
Nov. 30, 2009

South Korean troops to be deployed in Afghanistan will be armed with the latest K-11 airburst assault rifles for self-defense, according to the Ministry of National Defense.

The ministry unveiled the timeline as well as the troop numbers and equipment to be sent to the Central Asian nation, last week.

About 350 soldiers will be dispatched to Afghanistan with the main mission of protecting 120 South Korean civilian reconstruction workers, Defense Minister Kim Tae-young said in a National Assembly session. Two dozen civilian reconstruction workers have already been sent to the war-torn country.

A motion calling for the deployment is to be submitted to the Assembly this month, he said.

Besides the K-11 rifle, Korean troops will be supported by four UH-60 transport helicopters, which will be able to avoid potential terrorist attacks using improvised explosive devices (IEDs), ministry officials said. The ministry is also considering sending an RQ-101 unmanned aerial vehicle, they said.

Other key equipment for the Afghan deployment includes Barracuda 4x4 armored wheeled vehicles, K1A/K2 assault rifles and K200 amphibious armored personnel carriers.

Developed by the state-funded Agency for Defense Development, the K-11 consists of a semi-automatic 20mm smart grenade launcher, an under-slung assault rifle firing a standard 5.56mm NATO round, and a top-mounted computer-assisted sighting system with integrated rangefinder and thermal infrared night vision capabilities.

Using a self-detonation system, the 20mm round from the rifle can track its target and explode three to four meters above it. And it is also capable of penetrating walls of buildings.

The Barracuda, built by Doosan DST, is a tactical armored vehicle whose steel plate armor provides ballistic protection against 7.62mm caliber projectiles.

The vehicle can transport 12 men at a top speed of 100 kilometer per hour and climb steep slopes. It is equipped with a roof-mounted small-caliber weapon station, CCTV and a dozer system.

The UH-60 Black Hawk is a four-bladed, twin-engine, medium-lift utility helicopter manufactured by Sikorsky Aircraft. It is armed with 7.62mm machine guns and has a top speed of 296 kilometers per hour.

gallantjung@koreatimes.co.kr

Text Fwd: New Armored Vehicles Put Into Service

K21 Infantry Fighting Vehicle

Korea Times
11-27-2009 19:40
New Armored Vehicles Put Into Service
By Jung Sung-ki, Staff Reporter

The K21 Infantry Fighting Vehicle (IFV) will be operational with the Army later this month, Doosan DST, the developer of the new armored vehicle said Friday.

The vehicle, jointly developed by the state-funded Agency for Defense Development, will serve as a core part of the Army's future mechanized divisions.

The K21 features better performances than the M2A3 of the U.S. Army and the Russian BMP-3 in firepower, mobility and survivability, the company said.

The 25-ton IFV has a 750-horsepower turbo-diesel engine and 40mm auto cannon capable of shooting down slow-moving helicopters and aircraft. It can engage in C4I warfare using digital communication, GPS receivers and inter-vehicle digital links, it said.

The vehicle can travel as fast as 70 kilometers per hour on paved roads and cross a river at a speed of 7.8 kilometers per hour with the help of the Water Jet propulsion system, according to the release.

"We're proud that the K21 built with on our own technology will begin service with the Korean military," Eom Hang-seok, a representative of Doosan DST, said in a cermeony to mark the mass production of the K21 in Changwon, South Gyeongsang Province.

He also expected the vehicle to become one of the high-flying IFVs on the global market, given the K21's high performances and price competitiveness.

A fully-equipped K21 cost about 4 billion won ($3.4 million) — cheaper than the U.S.-built Bradely and Germany's Puma IFV, whose per-unit prices are estimated between $4 million and $4.5 million.

Doosan will produce a total of 166 units under the first phase contract. Under the Defense Reform 2020 initative, the Army plans to acquire a total of 466 K21 vehicles.

gallantjung@koreatimes.co.kr