BAE Systems Plc has entered into a contract to provide Saudi Arabia with fighter jets as part of the company's efforts to grow this year amid sequestration in the United States, This is Money reported.
Roger Baird writes BAE Systems has kept Saudi Arabia as its key customer and started building 72 European Typhoon jets for the country after other defense spenders, including the United States and UK, implemented budget cuts on defense.
Across-the-board cuts in the United States slashed defense spending by 6 percent to $670 billion in 2012 and the Great Britain by 0.8 percent to $59.6 billion in the same period, according to the report.
During BAE Systems' annual meeting with shareholders in Farnborough, Hampshire, BAE chairman Dick Olver said the company is performing well amid a challenging environment.
In UK, the government plans to lay off 25,000 military employees and 29,000 civilian staff by 2015.