By Alexis Romero
MANILA, Philippines - The Philippines and South Korean firm Korean Aerospace Industries (KAI) are still hurdling issues related to the military’s plan to buy 12 lead in fighter trainer jets worth P18.9-billion.
Defense Undersecretary Fernando Manalo admitted on Monday that they have yet to reach consensus on some issues including the down payment to be given to the supplier and the period of delivery of spare parts.
“The lead in fighter (project) is within the process of negotiation with the government of South Korea and there are major issues, there are several issues that we still have to hurdle,” Manalo said in a press conference.
Among the issues to be threshed out is the advance payment to be given to KAI.
Manalo said the law allows state agencies to pay a 15 percent down payment while the rest of the amount would be paid upon the delivery of goods.
KAI wants the Philippines to pay a 52 percent down payment but Manalo said this would require the approval of President Aquino.
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