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CAE gets Canadian, U.S. military training contracts worth up to $1 billion

MONTREAL — CAE says the Royal Canadian Air Force and the U.S. Army have awarded the Montreal-based company two long-term contracts that could be worth a total of $1 billion or more.

The RCAF contract is for a program known as NATO Flying Training in Canada, where CAE provides classroom and simulator training.

CAE will update and upgrade the system used in support of military training flights in Moose Jaw, Sask., and Cold Lake, Alta.

The company (TSX:CAE) didn't disclose the values of the two contracts but said the RCAF agreement runs to 2023 with an optional one-year extension to 2024 and the U.S. Army contracts is for one year with eight one-year options until 2026.

For the U.S. Army contract, Montreal-based CAE will provide classroom, simulator and instructor support for helicopter pilot training at Fort Rucker, Alabama.

 

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