Fate of Skyhawk sale is up in the air as costs mount

Protracted efforts to sell the Airforce's fleet of Skyhawk fighter bombers and air trainer planes may have stalled.

The aircraft were decommissioned in 2001 and it was not until last year that the Government found a buyer for the 14 Skyhawks and 16 Aermacchi jets.

Last night One News reported that the $155 million deal with American company Tactical Air Services could be off. It was reported that the approval of the United States State Department - needed for the sale to go ahead because US military equipment is fitted into the planes - was understood not to have been granted.

Tactical Air Services is an American flight training company founded by two retired US Navy captains.

US Embassy spokeswoman Janine Burns was unable to clarify the status of the sale of the aircraft.

National Defence spokesman Murray McCully said the sale was starting to look like a major bungle.

"Eight months after the announcement and five years after the Government scrapped the airstrike wing, no deposits have been paid, no planes have been prepared for delivery, no consents have been given by the US State Department, and no one in the Airforce believes the transaction will proceed.

"It's about time the Government explained this strange state of affairs."

The planes are stored in a Marlborough hangar. They are not in flying condition but the engines are regularly started to keep them operational. Maintenance work is is understood to cost about $300,000 a month.

"When the transaction was announced we were told that the cost of making the sale would be an estimated $35 million - a figure that has to be deducted from the total price of $155 million," Mr McCully said.

"I want to know how much of that cost has been incurred so far."

Acting Defence Minister Jim Sutton could not be contacted for comment last night.