SOUTH Africa has finally committed to a deal with British Aerospace and Saab AB which could lead to the sale of 28 Gripen and 24 Hawk trainer jets, worth £1 billion.

South Africa will initially take nine dual seat Gripen and 12 Hawk trainers with options for a further 19 single seat Gripen and 12 Hawks.

BAe chief executive John Weston said: "We are delighted with the South African Government's decision and look forward to a sustainable long-term partnership."

The deal will help maintain thousands of jobs around BAe's Warton site near Preston and is the first defence agreement between Britain and the new South African government.

Designed for low operating cost, the Gripen is the first fourth-generation fighter in operation and the South African models will feature new developments such as in-flight refuelling, avionics and communications equipment.

The Warton site will build the jets, the Brough site in East Yorkshire will help assemble them and South African suppliers will receive significant work customising the aircraft to meet local requirements.

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