Their decisions are outlined in a classified submission to Defense Minister John Faulkner and Minister for Defense Personnel, Materiel and Science Minister Greg Combet, a detailed report in The Australian newspaper said.

The Sikorsky is a cheaper, risk-free option for Australia instead of the EADS naval frigate helicopter in the country's planned $3.7 billion naval combat helicopter purchase.

The NH90 is a maritime version of the MRH90 now entering service with the Australian army. Its maker, European defense giant EADS, has established a strong industry presence locally with a workforce of 1,000.

Because of EADS's multimillion-dollar investment and local research capability, the government of Kevin Rudd is concerned by the military's open preference.

Rudd's Labor government has often stated it is looking to develop military manufacturing within the country and would look favorably on projects with strong Australian research and design.

Another concern is that selecting a new U.S. helicopter will fly in the face of Department of Defense's goal of reducing the types of helicopters flown by the Australian Defense Force, The Australian reported.

Combet, however, said the government will still consider both U.S. and European options despite the stated preference by the military.

The cockpit of the Seahawk is designed and supplied by the Owego Helo Systems division of Lockheed Martin Systems Integration in Owego, N.Y.

The fully integrated glass cockpit is equipped with four 8-inch-by-10-inch full-color multifunction mission and flight displays that are night-vision-goggle compatible and sunlight readable. The pilots and aircrew have common programmable key sets, a mass memory unit, mission and flight management computers and MH-60R dedicated operational software.

The navigation suite includes a Northrop Grumman (Litton) LN-100G dual embedded global positioning system and inertial navigation system. Telephonics Corp. supplies the communication management system.

The helicopter is also equipped with a fully digital communications suite, with Link 16, ARC-210 radios for voice, UHF/VHF and satellite communications and a Harris Hawklink Ku-band datalink.

At a media briefing in Australia both Sikorsky and Lockheed Martin officials reiterated that the MH-60R represents the lowest possible risk as well as lowest cost solution for the navy.

The two companies have also promised to invest upward of $1 billion in local industry if the deal goes through.

EADS's subsidiary Australian Aerospace supplies the army's Tiger helicopters and so argues that purchasing the NH90 would save money by removing the need for multiple training and logistics systems.

related report
Kuwait eyeing Rafale jets
Kuwait and France have signed a landmark defense agreement to enhance bilateral cooperation.

The agreement, signed in Paris during a visit by Kuwaiti Defense Minister Sheik Jaber al-Hamad, promotes bilateral cooperation in military renovation concerning information, exchange and military assistance.

It also comes amid strong Kuwaiti interest in the purchase of advanced Rafale combat jets from France.

"Obviously," said Jaber after meeting with his French counterpart Herve Morin, "we would be proud to have the Rafale in the heart of the armed forces in Kuwait."

Jaber, also deputy prime minister of the emirate, told reporters he was awaiting terms of the deal from Paris.

"The offers will be submitted to the constitutional and legal institutions to make a decision," he said, adding that Kuwait "will soon see this plane (Rafale) within Kuwait's armed forces."

The Rafale, Dassault Aviation's newest multi-role combat jet, has been spearheading France's arms industry, which has been desperately trying to find exporters despite robust lobbying by senior French officials.

The aircraft is only in service with the French military and marks the main competition of U.S. aviation rivals Lockheed Martin and Boeing. The European Eurofighter is a competing force.

The defense accord is the latest sign of France's growing influence in the Gulf.

Earlier this year President Nicolas Sarkozy pushed for the sale of 14 to 28 Rafale jets during the first visit of a French leader since 1991. He then said he expected the deal to be completed by the end of the year.

Months later, in April, the French military, which had come to the aid of Kuwait in its fight for liberation in 1991, held joint military maneuvers with their Kuwaiti counterparts in the emirate's desert.

The last military deal signed by France and Kuwait was in 1992.

"France has decided to regain its place and to play a full role to secure the stability and security of this strategic region," Morin was quoted as saying by local media after his talks with his Kuwaiti counterpart.

Morin insisted France could break the traditional reliance that Gulf nations have on the United States for arms.

"Countries in the Gulf know that they can find in France a second partner, one which is a friend of the Americans but which has its own vision of security and stability," he said.

Analysts, however, disputed whether the French were trying to set themselves up as an alternative strategic partner to the United States in the Gulf region or were using this angle to push their sales pitch for the new Rafale jets, introduced eight years ago.

"Sarkozy has taken charge of placing Rafale everywhere. He will sell it wherever he can. It's not about being interested in Kuwait; it's business first," Assaf Kfoury, the general manager of Tactical Report, a Lebanese provider of intelligence on Middle East energy and defense, was quoted as saying by The National Newspaper.

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