The Norwegian government and NH Industries have reached a settlement agreement over the troubled NH90 helicopter program. NHI will pay the Norwegian government 305 million euros, approximately 3.55 billion Norwegian kroner. This payment comes in addition to previously paid bank guarantees worth about 70 million euros.
The government had originally sought 29 billion kroner from NH Industries for what it considered a failed helicopter purchase for the military. The settlement resolves all disputes between the parties related to Norway's NH90 program, according to government officials.
As a result of the agreement, the court case scheduled to begin November 10 has been dropped. All legal proceedings between the parties have now concluded.
What went wrong with Norway's helicopter program? The Defense Ministry entered into a contract with NHI in 2001 to purchase 14 NH90 helicopters. The delivery faced significant delays over the years. Norway ultimately terminated the contract in 2022 after years of operational challenges.
The settlement requires NHI to take back all helicopters along with spare parts, tools, and mission-related equipment from the Norwegian government. This marks the complete unwinding of a defense procurement that spanned more than two decades.
This outcome represents a substantial financial recovery for Norwegian taxpayers, though it falls short of the original claim. The resolution allows both parties to move forward without further legal battles.