Elbit Systems President and CEO Joseph Ackerman gave an interview to “Globes” at AUSA in Washington DC last week, in which he minimises the impact that the deterioration in Israel’s relationships with Turkey is having on his business . Here is an extract:
“Globes”: How has the deterioration in relations with Turkey affected Elbit Systems?
Ackerman: “It’s had no effect. As a citizen, I think that Israel should develop friendly relations with a large number of countries, just as I strive to maximize the number of Elbit’s partnerships with foreign companies. My heart is pained by every country that declares that it’s not our friend. I don’t know the calculations that led to the deterioration, and I cannot say who is to blame. But the deterioration in relations has not affected Elbit so far.
“We have an air reconnaissance project with Turkey, which I don’t think will be affected. As far as we’re concerned, the Turks know how to separate business and politics. Our people go to Turkey for work, and they come to us. My concern is focused on the future: I don’t expect new projects anytime soon.”
Does military cooperation with a country, which has said that it will send warships to the Mediterranean and is perceived as hostile to Israel, harm Israel’s security?
“Such concerns always exist. That’s why Israel set up a meticulous screening system for transactions with other countries. This system is supposed to decide what is permitted and with whom. To date, we haven’t found that this deal has caused any leak of information or endangered Israel.
“What will happen in the future? I hope nothing. But we mustn’t forget: it’s impossible to have a defense industry without exports. For our part, I can say that we are very careful. It’s a fact that we didn’t get into trouble with the Americans over arms sales to China. We knew in advance which way the wind was blowing.”
How have UAVs contributed to your bottom line?
“The US accounts for 75% of the global UAV market. We, and all other Israeli defense companies, have no foothold in the US UAV market. I don’t know why. They simply don’t import UAVs. What’s left is the remaining 25% of the global market, where Elbit is the leader. Israel is the world’s second biggest UAV market, and Elbit makes 80% of the IDF’s UAVs.
“In Europe, we’re part of the British Army’s Watchkeeper Programme with Thales, the biggest UAV project on the continent. In Afghanistan, our Hermes 450 UAV serves with the British Army. Altogether, Elbit’s UAVs have accumulated 300,000 hours in the air in all arenas, including Israel. There are few companies that can claim such an achievement.”
Source: Globes