Cancellation of supply of  2 Russian warships is going to cost them several billion Euros and cost jobs at a time when their economy is not in good shape. Perhaps Abbott can send them some Tassie Merkin craftsmen to create new opportunities for the disemployed French.

Unfortunately for the French they can't stop building the ships immediately because that would disemploy many workers at short notice so they are likely to be finished. Russia may be able to buy them later at knock-down prices. "... A Russian military expert quoted by the Russian Kommersant news website said the final bill for France could go as high as 3bn euros..."


Quote:

The decision to suspend delivery of a Mistral naval assault ship to Russia risks costing France at least 1bn euros (£800m), officials say. French President Francois Hollande said Russia's actions in eastern Ukraine meant conditions were not right for delivery of the helicopter-carrier. He later said "a ceasefire and a political settlement" should be in place before the deal could go ahead. Russia was expecting two Mistral ships - the first one in October. A French diplomat earlier said the contract was suspended until November, and the delay "could cost us 1bn euros". The deal is worth 1.2bn euros - and Russia is reported to have paid most of it, so breach of contract would mean France having to reimburse that money. In addition, France would be liable for an extra 251m-euro penalty payment, French news website LCI reports. The first ship is called the Vladivostok. About 400 Russian sailors are training at the shipyard in Saint-Nazaire, western France, to be ready for the eventual handover of the Vladivostok. International criticism France had until now resisted pressure to halt the delivery, saying it had to respect an existing contract. US President Barack Obama and UK Prime Minister David Cameron both criticised the deal, at a time when Russia has been widely condemned for arming pro-Russian separatists in eastern Ukraine and allowing volunteers across the border to help them. Russia denies Western allegations of direct interference in the conflict. A Russian military expert quoted by the Russian Kommersant news website said the final bill for France could go as high as 3bn euros. The second ship, the Sevastopol, was to have been sent next year. Mr Hollande made no mention of it in his statement on Wednesday but said in July that delivery would depend on "Russia's attitude". A union representative at STX, the French construction firm building the Mistral ships, said STX workers expressed "amazement and outrage" after the contract was suspended. Jean-Marc Perez, quoted by AFP news agency, said that if the contract were cancelled it could threaten hundreds of French jobs. Russia's Deputy Defence Minister Yury Borisov said the French decision would not hold back Moscow's plans to reform its armed forces. "Although of course it is unpleasant and adds to certain tensions in relations with our French partners, the cancelling of this contract will not be a tragedy for our modernisation," he said, quoted by Itar-Tass news agency. http://www.bbc.com/news/world-europe-29060398

'disemploy'????

maybe france would prefer if Russia kept invading Europe... again.  peace has a price.  in this case it is about EU3B

small price indeed.

Australia should make them an offer for the ship.

breach of contract is serious.

It's a misguided foolish action by france.
Russia can add costs almost at will.

longweekend58 wrote on Sep 5^th, 2014 at 8:37am:

'disemploy'???? maybe france would prefer if Russia kept invading Europe... again.  peace has a price.  in this case it is about EU3B small price indeed.

Sanctions never stopped the AWB from illegally wheeling and dealing with Saddam ;)

France is barking up the wrong industry in Europe to make money in the first place.

EU 3B is just the start. If they can't sell or use the ships they have to park them somewhere and employ people to keep them in good order.

There is also the issue of unemployment and loss of future work. On top of that France has also lost other goods markets from Russian reactions to sanctions.

Russia also appears to be very versed in working out how to add costs to the breach of contract.

They'll need them anyway when the Moslems come calling on their front door.

...what the Germans did to the Jews,
the Moslems will do to the French  ;)

Jasin wrote on Sep 5^th, 2014 at 11:16am:

They'll need them anyway when the Moslems come calling on their front door. ...what the Germans did to the Jews, the Moslems will do to the French  ;)

Perceptions are they have already done it to Jasin.

Sprintcyclist wrote on Sep 5^th, 2014 at 10:24am:

breach of contract is serious. It's a misguided foolish action by france. Russia can add costs almost at will.

I think you miss the point.  they are stopping Russia from even having the boat.  perhaps they should stop invading other countries and shooting down civilian airliners.

longweekend58 wrote on Sep 5^th, 2014 at 5:52pm:

Sprintcyclist wrote on Sep 5th, 2014 at 10:24am: breach of contract is serious. It's a misguided foolish action by france. Russia can add costs almost at will. I think you miss the point.  they are stopping Russia from even having the boat.  perhaps they should stop invading other countries and shooting down civilian airliners.

Perhaps they should, but I doubt this will make any difference. It hurts france more than it hurts Russia.

They will supply them as Russia expects.... in due course.

More posturing & looks in the global world.

How come the Ruskies can't build their own ships?

They've built all their own in the past.

longweekend58 wrote on Sep 5^th, 2014 at 5:52pm:

I think you miss the point.  they are stopping Russia from even having the boat

for how long? Russia will just buy them from China or some other such place

Gnads wrote on Sep 5^th, 2014 at 9:19pm:

They will supply them as Russia expects.... in due course. More posturing & looks in the global world. How come the Ruskies can't build their own ships? They've built all their own in the past.

its because they built their own in the past that they don't want to build their own now .... they saw what their end result was  ;D ;D ;D

...reckon they a smuggling a NUKE into a city  :o

... wrote on Sep 5^th, 2014 at 8:41am:

Australia should make them an offer for the ship.

Why?  The Mistral class lost to the "Buque de Proyección Estratégica" class from Spain, which is all round a better and larger ship design.   Why would we want to purchase a ship we don't have the personnel to man and which is less capable than the two LHDs we did buy?   ::)

longweekend58 wrote on Sep 5^th, 2014 at 5:52pm:

Sprintcyclist wrote on Sep 5th, 2014 at 10:24am: breach of contract is serious. It's a misguided foolish action by france. Russia can add costs almost at will. I think you miss the point.  they are stopping Russia from even having the boat.  perhaps they should stop invading other countries and shooting down civilian airliners.

There is a theoretical point from france.
the reality of the situation is different.

John Smith wrote on Sep 5^th, 2014 at 9:25pm:

Gnads wrote on Sep 5th, 2014 at 9:19pm: They will supply them as Russia expects.... in due course. More posturing & looks in the global world. How come the Ruskies can't build their own ships? They've built all their own in the past. its because they built their own in the past that they don't want to build their own now .... they saw what their end result was  ;D ;D ;D

exactly...  Russian technology is... bad.  their ICBMs cant fly and if they do, cant hit anything.

longweekend58 wrote on Sep 6^th, 2014 at 8:54am:

John Smith wrote on Sep 5th, 2014 at 9:25pm: Gnads wrote on Sep 5th, 2014 at 9:19pm: They will supply them as Russia expects.... in due course. More posturing & looks in the global world. How come the Ruskies can't build their own ships? They've built all their own in the past. its because they built their own in the past that they don't want to build their own now .... they saw what their end result was  ;D ;D ;D exactly...  Russian technology is... bad.  their ICBMs cant fly and if they do, cant hit anything.

They will hit something ... maybe not the intended target .... but I wouldn't accidentally want to be where they hit.

As I said posturing .... the Frogs will eventually hand them over.