Romania's Defense Ministry Executes Bank Guarantee for IAR-99 Aircraft Modernization with Avioane Craiova
DEFENSE
Romania's National Defense Ministry executed a bank guarantee for the advance to Avioane Craiova for modernizing 10 IAR-99 Standard aircraft. The contract, valued at RON 41 million, involves upgrades for pilot training.
Union leader Victor Peta indicated this impacts 30% of the contract's value, affecting cash flow and risking penalties. Peta urged government intervention due to delays from COVID-19, the Ukraine war, and issues with Israeli partner Elbit Systems. Avioane Craiova has challenged the guarantee in court and aims to continue aircraft deliveries.

Feb 27, 2026, 11:52 AM