Boeing was given clearance earlier this year to begin procuring long-lead items for the contract, which includes the supply of spares, ordnance, training and ground support. Deliveries are scheduled to begin in 2003.

The Apache deal is likely to be followed up by a contract for Halter Marineof the US to equip four Egyptian patrol boats with Boeing's Harpoon Block II anti-ship missiles. The sale of the missiles, which are intended to protect shipping in the Suez Canal, is subject to the approval of the upper house. The contract is valued at $400 million in total (MEED 7:12:01, Seven Days).

Lockheed Martin Missiles & Fire Controlof the US has also received FMS approval for a $72 million contract to supply the Egyptian army with some 400 extended-range multiple launch rocket system (MLRS) pods. Each MLRS pod contains six rockets, capable of hitting targets up to 45 kilometres away. Deliveries are expected to start in the second half of next year.