S.Korea picks KAI, with Lockheed, for $7.9 bln fighter jet development
SEOUL, March 30 (Reuters) - South Korea's arms procurement agency on Monday said the country has chosen Korea Aerospace Industries Ltd, which expects to partner Lockheed Martin Corp, to develop a mid-level fighter jet which two people with knowledge of the matter said will cost 8.7 trillion won ($7.88 billion).
The Defense Acquisition Program Administration (DAPA) also confirmed its decision to upgrade its Patriot missile system, with Raytheon Co chosen to upgrade the missile launch systems while PAC-3 missiles will be bought from the U.S.
The PAC-3 missiles will be manufactured by Lockheed Martin, and the total Patriot upgrade is expected to cost about 1.3 trillion won ($1.18 billion), one of the two people said.
Both people declined to be identified as details of the projects were confidential.
DAPA declined to comment on the cost of the projects, or on Lockheed's involvement.
KAI said it will pursue the KF-X program drawing on experience from previous projects such as the T-50 light trainer jet.
Lockheed Martin said it is committed to supporting the KF-X program, but did not have an immediate comment on the Patriot upgrade. Raytheon could not be reached for immediate comment.
(Reporting by Joyce Lee)
