Status report on transformational and major Crown projects

The information contained herein is accurate and reliable as of 1^st April 2018

AIRLIFT CAPABILITY PROJECT – STRATEGIC
AIRLIFT CAPABILITY PROJECT – TACTICAL
ARCTIC AND OFFSHORE PATROL SHIP
CANADIAN CRYPTOGRAPHIC MODERNIZATION PROGRAM
CANADIAN SEARCH AND RESCUE HELICOPTER PROJECT
CANADIAN SURFACE COMBATANT PROJECT
CP-140 - AURORA INCREMENTAL MODERNIZATION / STRUCTURAL LIFE EXTENSION PROJECTS
FIXED-WING SEARCH AND RESCUE AIRCRAFT REPLACEMENT PROJECT
FORCE MOBILITY ENHANCEMENT PROJECT
FUTURE FIGHTER CAPABILITY PROJECT
HALIFAX CLASS MODERNIZATION/FRIGATE LIFE EXTENSION
HALIFAX CLASS POINT DEFENCE MISSILE SYSTEM UPGRADE
INTERIM FIGHTER CAPABILITY PROJECT
LAND FORCES INTELLIGENCE, SURVEILLANCE, TARGET ACQUISITION AND RECONNAISSANCE SYSTEM
JOINT SUPPORT SHIP
LIGHT ARMOURED VEHICLE III UPGRADE PROJECT
LIGHTWEIGHT TOWED HOWITZER
MARITIME HELICOPTER PROJECT
MEDIUM SUPPORT VEHICLE SYSTEM PROJECT
MEDIUM-TO-HEAVY LIFT HELICOPTERS
MERCURY GLOBAL
PROTECTED MILITARY SATELLITE COMMUNICATIONS
REMOTELY PILOTED AIRCRAFT SYSTEM
SUBMARINE CAPABILITY LIFE EXTENSION
TACTICAL ARMOURED PATROL VEHICLE
TANK REPLACEMENT PROJECT
UNDERWATER WARFARE SUITE UPGRADE

Project name	AIRLIFT CAPABILITY PROJECT – STRATEGIC
Description	The objective of the Airlift Capability Project – Strategic (ACP-S) is to acquire a new transport aircraft capability. This acquisition will provide the capability to operate effectively over long distances, as well as to deliver personnel and cargo directly into a theatre of operation, including threat environments.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The ACP-S has the following project outcomes: Acquire five C-17 Globemaster III aircraft; and Deliver associated infrastructure at 8 Wing Trenton. This capability is being delivered to the Royal Canadian Air Force.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisitions and Boeing’s share of the integrated In-Service Support from the US Government.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	The Boeing Company – St-Louis, Missouri, USA
Major subcontractors	The Boeing Company via Foreign Military Sales (FMS) case – St-Louis, Missouri, USA
Project phase	Implementation June 2006 Closeout (expected) 2021
Major milestones	Effective Project Approval June 2006 Advanced Contract Award Notice Posted on MERX July 2006 Contract Award February 2007 Delivery First Aircraft August 2007 Initial Operational Capability – first four aircraft October 2008 Full Operational Capability – first four aircraft December 2012 Amended Project Approval (to add fifth aircraft) December 2014 Contract Award – fifth aircraft December 2014 Initial Operational Capability – fifth aircraft March 2015 Full Operational Capability – fifth aircraft September 2015 Effective Project Closeout May 2017 Full Project Closeout 2021
Progress report and explanation of variances	The ACP-S project has achieved project objectives, notably: Four aircraft were accepted on schedule and the fleet initially achieved Full Operational Capability in December 2012; A fifth aircraft was acquired and delivered in March 2015; Full Operational Capability conditions for the fifth aircraft were met in September 2015; and Effective Project Closeout was achieved in May 2017. Scope: To take advantage of an opportunity to increase availability and flexibility of the strategic airlift fleet, the ACP-S project’s scope was increased in December 2014 to include the procurement of a fifth aircraft. Cost: The ACP-S project is currently within the 2014 approved budget. Schedule: The project is on track to deliver the project milestones in accordance with its 2014 approved schedule. Effective Project Closeout occurred in May 2017, and Full Project Closeout is expected in 2021 after standardizing the fifth aircraft to the rest of the aircraft fleet. Standardization occurs during depot level maintenance which occurs every five years. Year-End Results: In the Fiscal Year 2017-18, the project achieved Effective Project Closeout. The project will now continue work to complete remaining elements to move the project towards Full Closeout in 2021.

Project name	AIRLIFT CAPABILITY PROJECT – TACTICAL
Description	The objective of the Airlift Capability Project – Tactical (ACP-T) is to acquire an assured and effective tactical airlift capability that will replace the CC-130E Hercules aircraft fleet. This acquisition will provide the capability to logistically support international and domestic operations.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The ACP-T has the following project outcomes: Acquire 17 CC-130J aircraft; Acquire the associated In-Service Support; Deliver the associated training; and Deliver the associated infrastructure at 8 Wing Trenton. This capability is being delivered to the Royal Canadian Air Force.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the eligible contract value from Lockheed Martin Corporation for both the acquisitions and the In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Lockheed Martin Corporation – Marietta, Georgia, USA
Major subcontractors	Cascade Aerospace – Abbotsford, British Columbia, Canada IMP Aerospace – Enfield, Nova Scotia, Canada CAE – Montreal, Quebec, Canada Standard Aero – Winnipeg, Manitoba, Canada HAAS Group – Oshawa, Ontario, Canada
Project phase	Implementation December 2007 Closeout (expected) September 2022
Major milestones	Revised Project Approval (Definition) June 2006 Solicitation of Interest and Qualification August 2006 Issue of Request for Proposal August 2007 Project Approval (Implementation) December 2007 Contract Award December 2007 First Delivery June 2010 Final Delivery May 2012 Initial Operational Capability September 2013 Full Operational Capability (FOC) August 2018 Effective Project Closeout December 2018 Project Closeout September 2022
Progress report and explanation of variances	The ACP-T project has achieved project objectives, notably: In-Service Support provisions were contracted in December 2009; Maintenance training systems were contracted in February 2010; All 17 aircraft were delivered on time and on budget, in Block 6 configuration. Aircraft deliveries began in June 2010 with all aircraft being delivered as of May 2012; Block 7 avionics modifications were contracted in November 2013; Automatic Dependent Surveillance - Broadcast (ADS-B) system integration was contracted in December 2016; and ACP-T project-funded modifications at CFB Trenton were completed in October 2016. Scope: The ACP-T project is on track to deliver its 2007 approved scope. Cost: The ACP-T project is currently within the 2007 approved budget. Schedule: The project has experienced a delay against the 2007 approved schedule. The ACP-T FOC and Project Closeout dates were amended twice. The first change was as a result of a delay in the implementation of the development of the Block 7 modifications. Then, due to changing Communications, Navigation, Surveillance - Air Traffic Management (CNS-ATM) requirements, the CC-130J fleet had to be modified to include an Automatic Dependent Surveillance - Broadcast (ADS-B) system in order to operate over the US and Europe. Closeout activities are being completed concurrently with ADS-B modifications. The Full Operational Capability milestone in August 2018 will coincide with the expected completion of the ADS-B modification. The Effective Project Closeout is expected in December 2018. Year-End Results: In the Fiscal Year 2017-18, the ACP-T project integrated the ADS-B system into the CC-130J fleet. The project will continue work to complete remaining elements to move the project to Full Operational Capability and Effective Project Closeout in December 2018.

Project name	ARCTIC AND OFFSHORE PATROL SHIP
Description	The objective of the Arctic and Offshore Patrol Ship (AOPS) project is to deliver five to six ice-capable offshore patrol ships that will be used by the Royal Canadian Navy to conduct sovereignty and surveillance operations in Canada’s waters, including the Arctic.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The AOPS project has the following project outcomes: Acquire five to six Arctic and Offshore Patrol Ships; Deliver associated jetty infrastructures in Halifax and Esquimalt; Deliver a berthing and fueling facility at Nanisivik, Nunavut; and Acquire associated integrated logistics support products. This capability will be delivered to the Royal Canadian Navy.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value for the AOPS implementation. In-Service Support of the vessels is managed separately under the AJISS (Arctic and Offshore Patrol Ship and Joint Support Ship) In-Service Support Contract which was awarded in 2017.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Acquisition: Irving Shipbuilding Inc. – Halifax, Nova Scotia, Canada In-Service Support: Thales Canada Inc. and Thales Australia Inc. – Ottawa, Ontario, Canada. A single long-term In-Service Support Contract (ISSC) to support the Arctic and Offshore Patrol Ship (AOPS) and Joint Support Ship (JSS) vessels is in place.
Major subcontractors	Gibbs & Cox – Arlington, Virginia, USA Lockheed Martin – Ottawa, Ontario, Canada General Electric – Peterborough, Ontario, Canada Fleetway Inc. – Ottawa, Ontario, Canada Lloyds Register – Toronto, Ontario, Canada BAE Systems – Ottawa, Ontario, Canada L-3 MAPPS – St Laurent, Quebec, Canada
Project phase	Implementation December 2014 Closeout (expected) 2024
Major milestones	Preliminary Project Approval May 2007 Design Engineering Logistics Maintenance and Support Contract Awarded May 2008 Revised Project Approval (Definition) I October 2011 Ancillary Contract Awarded June 2012 Revised Project Approval (Definition) II December 2012 Definition Contract Awarded March 2013 Project Approval (Implementation) December 2014 Award of Implementation Contract January 2015 Delivery of First Ship 2019 Initial Operational Capability 2020 Full Operational Capability 2023 Project Closeout 2024
Progress report and explanation of variances	The AOPS project is achieving project objectives, notably: In accordance with the 2012 approved budget, the Definition Contract was completed in November 2015 under budget; With the official cutting of steel, the lead ship in the class, the future Harry DeWolf, entered full production in September 2015; With the official cutting of steel, the second ship in the class, the future Margaret Brooke, entered full production in August 2016; With the official cutting of steel, the third ship in the class, the future Max Bernays, entered full production in December 2017; and Jetty infrastructure projects in Esquimalt, Halifax and Nanisivik are progressing and are on track to be in place when required. Scope: The project is on track to deliver its 2014 approved scope. Cost: The project is currently within the 2014 approved budget. Budget status is based on five ships delivered within approved expenditure authority. Ship 6 affordability considerations are currently being reviewed and will inform overall program cost. Schedule: Production activities are underway, with Ship 1 delivery expected in 2019 in accordance with the February 2018 re-baselined schedule. Year-End Results: In the Fiscal Year 2017-18, the construction of Ships 1 and 2 progressed well with the ships reaching 74% and 42% construction complete respectively. Additionally, Ship 3 entered into full production with initial steel cutting performed.

Project name	CANADIAN CRYPTOGRAPHIC MODERNIZATION PROGRAM
Description	The objective of the Canadian Cryptographic Modernization Program (CCMP) is to modernize the Government of Canada’s aging cryptographic equipment and infrastructure in order to safeguard classified information and maintain Canada’s ability to establish secure communications both nationally and internationally. CCMP is an Omnibus Project that includes multiple sub-projects for modernizing cryptographic equipment and a cyclical project for modernizing the key management infrastructure.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Operations and Services Improve Stability and Security, and Promote Canadian Interests and Values. The CCMP Omnibus Project will deliver affordable information protection to departments and agencies in the Government of Canada by means of the following sub-projects: Classified Security Management Infrastructure (CSMI); Secure Voice / Telephone Family; Link Encryption Family; Network Encryption Family; Combat Identification Family (Identification Friend or Foe (IFF)); and Secure Radio Family: Secure Radio Sub-Project; and Combat Net Radio Enhancement (CNRE) – this project received funding toward cryptography from CCMP but it is not a Defence CMP sub-project. Note: The Secure Mobile Environment sub-project was cancelled.
Industrial benefits	N/A
Sponsoring department	Communications Security Establishment (CSE)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Departments and agencies of the Government of Canada using cryptographic equipment to protect classified information
Prime contractor	N/A
Major subcontractors	Various allied manufacturers of cryptographic equipment
Project phase	Implementation of the first CCMP sub-project September 2009 Closeout of the CCMP Omnibus project (expected) 2022
Major milestones	PROJECT APPROVAL: CCMP Omnibus Project ApprovalMarch 2005 Amended CCMP Omnibus Project Approval February 2017 Amended CCMP Omnibus Project ApprovalNovember 2017 CSMI Project Approval November 2006 Amended CSMI Project ApprovalNovember 2017 CCMP SUB-PROJECT DATES: Secure Voice / Telephone Family – Implementation November 2004 Secure Voice / Telephone Family- Completion July 2012 Re-Key Infrastructure – Implementation November 2004 Re-key Infrastructure- Completion September 2009 CSMI – Phase 1A – Implementation November 2006 Amended CSMI – Phase 1A – Implementation November 2017 CSMI – Phase 1A- Completion 2018 CSMI – Phase 1B – Definition November 2006 CSMI – Phase 1B – Implementation February 2008 CSMI – Phase 1B- Completion March 2013 CSMI – Phase 2 – Definition February 2008 Amended CSMI – Phase 2 – Definition June 2011 CSMI – Phase 2A – Implementation November 2012 CSMI – Phase 2A- Completion 2019 CSMI – Phase 2B – Implementation November 2017 CSMI – Phase 2B- Completion 2022 CSMI – Phase 3 (Cancelled) capability will be delivered under CSMI Phase 2B Link Encryption Project (DND) – Implementation November 2006 Note: DND’s Link Encryption Project was completed in March 2013 Network Encryption Project (DND) - Implementation June 2011 Network Encryption Project (DND)- Completion 2019 Amended Network Encryption Project (DND) February 2017 Network Encryption Family- Completion 2019 Link Encryption Family- Completion 2020 Combat Identification (IFF Mode 5) – Definition November 2011 Combat Identification (IFF Mode 5) – Implementation March 2014 Combat Identification (IFF Mode 5) - Completion 2020 CNRE – Definition August 2011 CNRE – Implementation January 2013 CNRE- Completion 2020 Secure Radio Project – Implementation February 2017 Secure Radio Project (DND) - Completion 2021 Secure Mobile Environment (Cancelled) N/A
Progress report and explanation of variances	The CCMP Omnibus Project has achieved project objectives, notably: The Secure Voice / Telephone Re-key Infrastructure sub-project was completed in September 2009; The Secure Voice / Telephone Family sub-project was completed in July 2012; The DND Link Encryption Project was completed in March 2013; and The CSMI Phase 1B sub-project was completed in March 2013. Scope: The CCMP Omnibus Project is on track to deliver its 2005 approved scope. Cost: The CCMP Omnibus Project is currently within the 2017 approved budget. Schedule: The schedule is dependent on the U.S. Cryptographic Modernization Initiative and the Key Management Infrastructure Program. Canada’s collaboration with the United States of America allows Canada to leverage U.S. research and development and maintain interoperability with its Allies. Completion dates for the sub-projects are regularly reviewed for alignment with the U.S. initiative/program. The CCMP Omnibus Project originated as a 12-year program ending in 2016 but it has been extended to 2022 due to increased complexity and delays in the CSMI Project that relies on input from the United States Key Management Infrastructure (KMI) Program. Year-End Results: In the Fiscal Year 2017-18. CSMI Phase 1A – Data Management Device Power Station installations and Workstation upgrades are nearing completion. CSMI Phase 2A – Client Pilot Stage 1 was completed on schedule in December 2017. CSMI Phase 2B – The CSMI Phase 2B submission was approved by Treasury Board in November 2017. DND Secure Radio – Secure radios are being ordered and deployed. CNRE – Full Rate Production is proceeding on schedule.

Project name	CANADIAN SEARCH AND RESCUE HELICOPTER PROJECT
Description	The objective of the Canadian Search and Rescue Helicopter (CSH) project is to acquire a fleet of 15 new helicopters that will replace the CH-113 Labrador. This acquisition will provide the capability to support search and rescue services for the population of Canada.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Operations and Services Improve Stability and Security, and Promote Canadian Interests and Values. The CSH project has the following project outcomes: Deliver 15 CSH aircraft at full operational capability. This capability is being delivered to the Royal Canadian Air Force.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy was applied to this project. Canada has received its IRBs and the contractor has successfully completed its IRB obligations.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Leonardo MW Ltd. (formerly Augusta Westland International Limited, and before that, European Helicopters Industries Ltd. (EHI)) – Farnborough, UK
Major subcontractors	Westland Helicopters – Yeovil, UK Augusta Spa – Cascina Costa, Italy General Electric Canada Inc. – Mississauga, Ontario, Canada
Project phase	Implementation September 2001 Closeout (expected) 2018
Major milestones	Effective Project Approval April 1998 Contract Award April 1998 First Aircraft Delivery September 2001 Final Aircraft Delivery July 2003 Full Operational Capability September 2004 Effective Project Completion September 2004 Project Closeout 2018
Progress report and explanation of variances	The CSH project has achieved the following project objectives, notably; All 15 Cormorant helicopters were delivered as of July 2003; Spare parts, maintenance and support equipment, a Cockpit Procedures Trainer and facilities for applicable RCAF search and rescue bases were delivered and are in place to support operations; Initial training was completed; and Effective Project Completion (EPC) was achieved in September 2004 at which point the Project Management Office was closed; however, some contract deliverables remained outstanding which are being pursued post EPC. Scope: The project will deliver its 1998 approved scope. Cost: The project will deliver under the 1998 approved budget. Schedule: To conform to the design specification, the project is funding a minor retrofit on the fleet which was to be carried out when major maintenance was conducted. Due to this work, the Project Closeout date identified in the 1998 submission was delayed from 2006 to 2018. Retrofit activities are now completed, final payment was made and Project Closeout is expected in 2018. Year-End Results: In the Fiscal Year (FY) 2017-18 the last milestone payment was made. The project Completion report is in progress for FY 2018-19.

Project name	CANADIAN SURFACE COMBATANT PROJECT
Description	The objective of the Canadian Surface Combatant (CSC) project is to acquire a new surface combatant capability that will replace the Iroquois Class destroyers and the Halifax Class frigates. This acquisition will provide the capability to monitor and defend Canadian waters and to make contributions to international naval operations.
Project outcomes	This project contributes to achieving the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The CSC project has the following project outcomes: Recapitalize the capability currently found in Canada’s destroyers and frigates; Acquire associated integrated logistics support; Deliver associated infrastructure; and Define and award In-Service Support contract(s). This capability is being delivered to the Royal Canadian Navy.
Industrial benefits	The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) applies to the selection of an existing warship design and design team to design the Canadian Surface Combatant. As such, a DPS value proposition will be a weighted and rated aspect of the evaluation to select the bidder and design that provides the best overall value for Canadians. Canada will receive equivalent to 100% of the contracted value for both the acquisition and the In-Service Support contracts.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISEDC), and its regional development agencies
Prime contractor	Irving Shipbuilding Inc., Halifax, Nova Scotia, Canada
Major subcontractors	N/A
Project phase	Definition June 2012 Implementation (expected) Early 2020s
Major milestones	Project Approval (Definition Phase 1) June 2012 Revised Project Approval (Definition Phase 1) December 2014 Request for Proposal Release October 2016 Project Approval (Definition Phase 2) June 2017 Contract Award (Definition Phase 2) Fall 2018 Project Approval (Implementation) Early 2020s Implementation Contract - Awarded Early 2020s First Delivery Mid 2020s
Progress report and explanation of variances	The CSC project is achieving project objectives, notably: Government officials announced in January 2015 that Irving Shipbuilding Inc. will be the Prime contractor for the Canadian Surface Combatant project; Government officials announced the initial procurement strategy on 1 May 2015; Prequalification of bidders was completed in October 2015; An initial reconciliation of requirements was completed in October 2015; The refined procurement strategy was announced in June 2016; Over the summer of 2016, Canadian Industry and the pre-qualified short listed respondents were engaged on the draft Request for Proposals. Irving Shipbuilding Inc. released the Request for Proposals on 27 October 2016. Canada’s Defence Policy, Strong, Secure, Engaged, was released on 7 June 2017, citing the procurement of 15 Canadian Surface Combatants with an updated overall project budget: November 30, 2017: Canadian Surface Combatant Request for Proposal closed and initial bids received and; On December 4, 2017: Bid evaluation process commenced. Scope: Industry was engaged in early 2016 on a potential refinement to the procurement strategy to competitively select an existing warship to modify rather than to develop a new design. Informed by this engagement, Government announced the approval of this refinement on 13 June 2016. The project remains on track to achieve the scope as approved in May 2016. Cost: The upcoming Definition Phase 2 will initially focus on further requirements reconciliation and the ship design phases. Completion of the design phases will inform the costing of the project. This activity will be jointly undertaken by project staff, Irving Shipbuilding Inc. and its sub-contractors. Schedule: Definition Phase 1 activities are underway and Definition Phase 2 is expected to start in fall 2018. It is estimated the project will be in the Definition Phase 2 for approximately three years until the award of the implementation contract – this is an improvement over the previous four years minimum that would be required if the CSC were to be a new design. The evaluation of the Request for Proposals (RFP) was previously targeted for completion Spring 2017 as approved in May 2016 but has now shifted to fall 2018 due to the delay in the release of the RFP and extension of bid period. Year-End Results: In June 2017, Canada’s new Defence Policy, Strong, Secure, Engaged, was released, citing the procurement of 15 Canadian Surface Combatants with an updated overall project budget. In November 2017, Request for Proposal closed and initial bids were received. Bid evaluation process started in December 2017.

Project name	CP-140 - AURORA INCREMENTAL MODERNIZATION / STRUCTURAL LIFE EXTENSION PROJECTS
Description	The combined objective of the CP-140 Aurora Incremental Modernization Project (AIMP) and the Aurora Structural Life Extension Project (ASLEP) is to modernize and extend the life of 14 of Canada’s 18 CP-140 Aurora aircraft in order to maintain the fleet’s operational capabilities until the fleet’s planned retirement date of 2030. This work will provide the capability to conduct Intelligence, Surveillance and Reconnaissance (ISR) in order to detect threats to Canadian security as early as possible. AIMP was originally an omnibus project consisting of 23 sub-projects. As of October 2013, the remaining on-going AIMP projects were consolidated under one project.
Project outcomes	This project contributes to achieving the Program Alignment Architecture (PAA) Strategic Outcome: Defence Operations and Services Improve Stability and Security, and Promote Canadian Interests and Values. The AIMP has the following project outcomes: Deliver Block I upgrades, which includes replacement/upgrade of high frequency radio gear, cockpit voice recorder and flight data recorder; Deliver Block II upgrades, which includes navigation and communications upgrades; Deliver Block III upgrades, which includes mission computer and sensor upgrades; and Deliver Block IV upgrades, which will add three new capabilities (Beyond Line of Sight Satcom, Link 16 and self-defence) The ASLEP has the following project outcome: Deliver structural upgrade on 14 of the 18 CP-140 Aurora aircraft. This capability is being delivered to the Royal Canadian Air Force.
Industrial benefits	The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) applies to this project. Canada will receive ITBs equivalent to 100% of the contracted value of the General Dynamics Mission Systems - Canada acquisitions contract.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	General Dynamics Mission Systems - Canada – Ottawa, Ontario, Canada Lockheed Martin Aeronautics – Marietta, Georgia, USA
Major subcontractors	IMP Aerospace – Halifax, Nova Scotia, Canada
Project phase	Implementation June 2015 Closeout (expected) 2022
Major milestones	AIMP: Block I Full Operational Capability July 2007 Block II Full Operational Capability March 2012 Block III Full Operational Capability December 2018 Block IV Project Approval (Definition) October 2013 Block IV Project Approval (Implementation) June 2015 Contract Award to General Dynamic Mission Systems-Canada October 2015 Block IV Initial Operational Capability June 2020 Block IV Full Operational Capability (FOC) December 2021 Project Closeout March 2022 ASLEP: Project Approval (Implementation) May 2008 Initial Operational Capability April 2012 Amended Project Approval (Implementation) October 2013 Full Operational Capability September 2019 Project Closeout December 2019
Progress report and explanation of variances	The AIMP and ASLEP projects have achieved project objectives, notably: AIMP: Blocks I and II are complete and have delivered a modernized CP-140 navigation and communication capability to the RCAF; As of 30 April 2018, 12 of 14 aircraft have received updated mission computer and sensors under Block III; and Block IV achieved critical design review in August 2017, and prototype aircraft was inducted for modification in November 2017. ASLEP: As of 30 April 2018, 11 of 14 aircraft have received structural life extension. Scope: Both projects are on track to deliver their implementation approved scope (AIMP: 2015, ASLEP: 2013), though AIMP Block IV is at risk due to the contractor’s capacity to meet modification schedule for all aircraft for planned FOC. The modernized Aurora aircraft has restored Canada’s airborne maritime surveillance capabilities while providing significant enhancements to its overland surveillance capabilities with its world-class integrated mission systems capabilities as demonstrated during domestic and international surveillance missions. Cost: Both projects are on track to deliver within the 2015 approved budgets. An increase in contractor’s rates (both retroactive and forecast), for which negotiations are ongoing with PSPC, has increased cost and reduced flexibility. Schedule: As a result of delays in engineering and production, Full Operational Capability dates for AIMP and ASLEP have been delayed from the 2015 approved schedule. Year-End Results: In the Fiscal Year 2017-18, ASLEP inducted the 14^th and last aircraft for modification. Software development, hardware qualification activities and Prototype aircraft modifications continued for AIMP Block IV, leading towards start of ground integration testing on the Prototype aircraft in Fall 2018.

Project name	FIXED-WING SEARCH AND RESCUE AIRCRAFT REPLACEMENT PROJECT
Description	The objective of the Fixed-Wing Search and Rescue Aircraft Replacement (FWSAR) project is to replace the capability provided by the current fixed-wing SAR fleets of CC-115 Buffalo and CC-130H Hercules aircraft by acquiring new, sensor-equipped aircraft with long-term In-Service Support (ISS), to ensure the Canadian Armed Forces continue to provide an acceptable response to SAR incidents anywhere in the Canadian Area of Responsibility (AoR).
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The FWSAR project has the following project outcomes, notably; Acquire 16 new, sensor-equipped aircraft to replace the SAR fleets of CC-115 Buffalo and CC-130H Hercules; Acquire long-term In-Service Support; Deliver associated infrastructure; and Reduce search times across Canada’s AoR. This capability is being delivered to the Royal Canadian Air Force. The primary beneficiary is the Canadian population who require Search and Rescue Services.
Industrial benefits	The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) applies to this project. Canada will receive ITBs equivalent to 100% of the contracted value for both the acquisitions and the In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Airbus Defence and Space S.A. – Madrid, Spain
Major subcontractors	PAL Aerospace – St. John’s, Newfoundland, Canada CAE – Montreal, Quebec, Canada Pratt & Whitney Canada – Longueuil, Quebec, Canada L-3 WESCAM – Burlington, Ontario, Canada
Project phase	Implementation December 2016 Project Closeout (expected) 2023
Major milestones	Expenditure Authority – Definition phase March 2012 Project Approval (Definition) March 2015 Project Approval (Implementation) December 2016 Contract Award December 2016 First Aircraft Delivery December 2019 Initial Operational Capability 2020 Final Aircraft Delivery 2022 Full Operational Capability 2022 Effective Project Closeout 2023
Progress report and explanation of variances	The FWSAR project is achieving project objectives, notably: The FWSAR project received Project Approval for the Definition Phase in spring 2015; The Request for Proposal was released on 31 March 2015; The bid evaluation was completed in summer 2016; and A contract was awarded to Airbus Defence and Space on 1 December 2016. Scope: The project is on track to deliver the 2016 approved scope. Cost: The project is currently within the 2016 approved budget. Schedule: The project is currently on track to deliver the project milestones in accordance with the 2016 approved schedule. The first aircraft is scheduled to be delivered and accepted in Spain in late 2019 and is scheduled to arrive at 19 Wing Comox, B.C. in June 2020. Year-End Results: In the Fiscal Year 2017-18, the FWSAR project held preliminary design reviews for training devices, In-Service Support and the aircraft. Critical design reviews were held for the aircraft and the training centre with construction starting on the training center at 19 Wing, Comox, BC in December 2017. A cabin mock-up assessment was also performed.

Project name	FORCE MOBILITY ENHANCEMENT PROJECT
Description	The objective of the Force Mobility Enhancement (FME) project is to acquire a Leopard 2-based Armoured Engineer Vehicle (AEV) and Armoured Recovery Vehicles (ARV) capability to replace the current Leopard 1-based AEV and ARV fleets. This acquisition will provide the capability to move earth and clear mines, to ensure that troops have a clear, safe path. The FME project (phase 1) will replace the LEO 1 AEV Badger with a new robust LEO 2 Armoured Engineer Vehicle (AEV). In phase 2, the project will acquire Tactical Mobility Implement (TMI) to replace the old version of Dozer Blade, Track with Mine Plough (TWMP) and Mine Clearing Roller Systems (MCRS). Finally, the modifications of 82 Leopard 2 MBT to accept the new version of the implement.
Project outcomes	This project contributes towards achieving the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The FME project has the following project outcomes, notably; Phase 1: Acquire 18 Leopard 2 AEVs; and Acquire four Leopard 2 ARVs. Phase 2: Acquire Tactical Mobility Implements (TMI), specifically 18 Dozer Blades, 16 Track Width Mine Ploughs and 16 Mine Clearing Roller Systems; and Deliver modifications to the entire Leopard 2 tank fleet to accept TMI. This capability is being delivered to the Canadian Army (CA).
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value in Phase 1 only, with the exception of the government-to-government purchase of the Leopard 2 Main Battle Tanks (MBT) chassis.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Flensburger Fahrzeugbau Gesellschaft mbH (FFG) – Flensburg, Germany Rheinmetall Defence – Kiel, Germany Krauss-Maffei Wegmann GmbH & Co. KG (KMW) – Munich, Germany Urdan Metal and Casting Industries Ltd – Tel Aviv, Israel Kongsberg Defence and Aerospace – Norway
Major subcontractors	Flensburger Fahrzeugbau (FFG) Canada – Bathurst, New Brunswick, Canada Kongsberg Protech Systems Canada – London, Ontario, Canada
Project phase	Phase 1 (AEV) Implementation March 2012 Phase 2 (TMI) Implementation November 2013 Closeout (expected) March 2019
Major milestones	Project Approval (Definition) - Phase 1 June 2009 Request for Proposal released - Phase 1 October 2010 Advanced Contract Award Notice (ACAN) posted on MERX - Phase 2 July 2011 Request for Proposal released - Phase 2 June 2011 Revised Project Approval (Definition) - Phase 1 March 2012 Contract Award - Phase 1 April 2012 Project Approval (Implementation) - Phase 2 November 2013 Contract Award - Phase 2 December 2013 Initial Operational Capability (IOC) - Phase 1 December 2017 IOC - Phase 2 December 2017 Full Operational Capability (FOC) December 2018 Effective Project Closeout March 2019
Progress report and explanation of variances	The FME project has achieved project objectives. As of 31 March 2017: 13 of 18 AEV have been accepted by Canada; All four of the ARVs have been delivered; All 16 mine roller systems have been delivered; All 18 dozer blades have been delivered; Four of 16 mine ploughs have been delivered; and Modifications to the Leopard 2 MBT fleets are currently underway, with 60 of 82 vehicles completed. Scope: The project is on track to deliver its approved 2012 scope. Cost: The project is currently within budget as approved in 2012. Schedule. The project will incur a delay to the approved 2012 schedule of Closeout in September 2017, with Closeout now anticipated in March 2019. Due to the limited availability of the Canadian Army to conduct training, the IOC dates for Phases 1 and 2 were delayed. The Senior Review Board (SRB) meeting on 5 February 2016 endorsed revisions to the IOC dates. IOC for Phase 1 was achieved in December 2017. FOC for FME is delayed until December 2018 due to contractor delivery delays for outstanding spares. Year-End Results: In the Fiscal Year 2017-18, the FME project continued delivering modified Leopard 2 MBTs, AEVs and tactical mobility implements. All dozer blades and mine roller systems were delivered. The IOC and FOC new dates were endorsed at SRB with Effective Project Closeout for March 2019 and a project closeout no later than March 2020.

Project name	FUTURE FIGHTER CAPABILITY PROJECT
Description	The objective of the Future Fighter Capability Project (FFCP) is to successfully acquire and transition into service 88 advanced fighter aircraft along with the associated equipment, weapons and sustainment capability that leverages Canadian capabilities and contributes to economic growth and jobs. FFCP project will seek to provide a capability to the Canadian Armed Forces (CAF) to conduct control of Canadian Airspace and contribute to Alliance/Coalition operations where/when directed after the retirement of the CF-18, currently planned for 2031/FOC of FFCP. This will encompass the acquisition and entry into service of 88 advanced fighter aircraft along with the associated equipment, weapons and sustainment capability.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The FFCP has the following project outcomes: Deliver a fighter capability to execute the roles and missions asked by the Government of Canada. This capability will be delivered to the Royal Canadian Air Force (RCAF).
Industrial benefits	Canada’s Industrial and Technological Benefits (ITB) Policy applies to the acquisition and sustainment of the permanent replacement fighter fleet. This will require that industry make investments in Canada equal to the value of the acquisition and In-Service Support contracts/agreements. Canada will seek, through negotiations, contractual commitments from industry that align with the Value Proposition (VP) strategic objectives. Canada will continue to engage with stakeholders on advancing industrial and technological benefits for companies in Canada, and promoting innovation, ensuring best value and supporting Canada’s defence priorities.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	To be determined (TBD)
Major subcontractors	TBD
Project phase	Definition November 2017
Major milestones	Project Approval (Definition) November 2017 Project Approval (Implementation) 2022 Contract Award 2022 Delivery First Aircraft Mid 2020s Initial Operational Capability Mid 2020s Delivery Final Aircraft Mid 2020s Full Operational Capability Early 2030s Project Closeout Early 2030s
Progress report and explanation of variances	The FFCP project is achieving project objectives, namely: 7 June 2017: Canada’s Defence Policy, Strong, Secure, Engaged announced Canada would purchase 88 advanced fighter jets. 30 November 2017: Project Approval and Expenditure Authority granted to the FFCP for entry into Definition Phase. 12 December 2017: The Government of Canada launched an open and transparent competition to permanently replace Canada’s fighter fleet with 88 advanced fighter aircraft, and announced it is creating a suppliers list, inviting foreign governments and their fighter aircraft manufacturers together to demonstrate their suitability to participate in this process. 22 January 2018: FFCP held its first Industry Day followed by one on one meetings with interested industry and government attendees. 22 February 2018: suppliers list released. Only the listed Suppliers will be allowed to submit proposals in the competition for the future fighter capability. 26 March to 11 April 2018: Initial meetings were held with the five Supplier Teams covering topics such as aircraft capability, procurement, sustainment and economic benefits. Scope: DND is collaborating with PSPC and ISEDC to replace the fighter fleet, focusing on options that match Canada’s defence needs. Cost: An acquisition budget of $15B-$19B Canadian was announced as part of Canada’s Defence Policy, Strong, Secure, Engaged. The project’s implementation budget will be informed by ongoing project definition work including engagement with governments and industry, and is contingent on approval as part of the Project Approval process for Implementation. Schedule: While the schedule remains aggressive, the project is currently on track to issue solicitation documents in 2019. Year-End Results: In the Fiscal Year 2017-18 Canada’s Defence Policy, Strong, Secure, Engaged announced Canada would purchase 88 advanced fighter jets. The project approval and expenditures authority was granted for Definition phase in November 2017. In December 2017, the open and transparent competition to replace the fighter fleet was launched. In February 2018, a suppliers list was established.

Project name	HALIFAX CLASS MODERNIZATION/FRIGATE LIFE EXTENSION
Description	The objective of the Halifax-class Modernization/Frigate Life Extension (HCM/FELEX) project is to modernize the combat systems and carry out a mid-life upgrade on the Royal Canadian Navy's fleet of 12 Canadian‐built Halifax-class patrol frigates. This work will ensure that the Halifax-class patrol frigates continue to operate effectively for at least 15 years after completion of their respective mid-life refits, as the backbone of the Royal Canadian Navy fleet.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The HCM/FELEX project has the following project outcomes: Deliver 12 modernized HALIFAX-Class ships. This capability is being delivered to the Royal Canadian Navy.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRB’s equivalent to 100% of the contracted value for both the acquisitions and the In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractors	In-Service Support Contractor (Class Design Agent): Fleetway Incorporated – Halifax, Nova Scotia, Canada Internal Communications System: DRS Flight Safety and Communications. – Kanata, Ontario, Canada Multi-Ship Contract (East): Irving Shipbuilding Incorporated Halifax Shipyard – Halifax, Nova Scotia, Canada Multi-Ship Contract (West): SeaSpan Victoria Shipyards – Victoria, British Columbia, Canada Combat System Integration Contract: Lockheed Martin Canada – Montreal, Quebec, Canada Harpoon/Advanced Harpoon Weapons Control System (AHWCS): The Boeing Company – St-Louis, Missouri, USA
Major subcontractors	N/A
Project phase	Implementation September 2008 Closeout (expected) January 2019
Major milestones	Project Approval (Definition) FELEX February 2005 HCM/FELEX February 2007 Refit Procurement Strategy Approval March 2007 Revised Project Approval (Definition) (Part 1) June 2007 Multi-Ship Contracts (MSC) Awarded (Docking Work Periods and Refits) West Coast March 2008 East Coast March 2008 Project Approval (Implementation) (Part 2) September 2008 Combat System Integration Contract Award November 2008 Refits Begin October 2010 Initial Operational Capability (IOC) February 2015 Full Operational Capability (FOC) January 2018 Effective Project Closeout January 2019
Progress report and explanation of variances	The HCM/FELEX project has achieved project objectives: December 2017: 12 modernized HALIFAX-Class ships were delivered; January 2018: FOC achieved. Scope: The project is on track to deliver its September 2008 approved scope. Cost: The project is currently within budget, based on September 2008 approval. Schedule: The project is on track to deliver the project milestones in accordance with its September 2008 approved schedule. All refits are complete and all ships have been returned to the Royal Canadian Navy for operational employment. Year-End Results: In the Fiscal Year 2017-18, the HCM/FELEX project completed acceptance trials for Her Majesty’s Canadian Ships (HMCS) Ville de Québec and HMCS Toronto. Full Operational Capability was declared on 31 January 2018.

Project name	HALIFAX CLASS POINT DEFENCE MISSILE SYSTEM UPGRADE
Description	The objective of the Halifax-class Point Defence Missile System Upgrade (PDMSU) project is to develop and acquire an evolution to the current Evolved SeaSparrow Missile (ESSM) Point Defence Missile System, fitted in the Halifax-class ships. This work will sustain the Royal Canadian Navy’s Halifax-class ships’ ability to defend against current and future threats originating from surface, sub-surface, air and land-based platforms.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. This project is linked to the Force Capability Guidance that allows the CAF to support the Government's foreign policy and national security objectives through this joint-nation project. The PDMSU project has the following project outcomes, notably; Develop an improved point defence missile as part of a 12-country initiative; Acquire and integrate an upgraded Point Defence Missile System for the Halifax-class ships; and Acquire stock of the Evolved SeaSparrow Missile Block 2. This capability is being delivered to the Royal Canadian Navy.
Industrial benefits	The development work, performed under the ESSM Block 2 Engineering and Manufacturing Development Memorandum of Understanding (MOU), consists of Government work and industrial work. While the Government work will be performed primarily by the U.S. Government, the industrial work is shared among the contributing participants in accordance with their cost share percentages. Work share for Implementation Phase is governed by the MOU for the Production of the ESSM Block 2, with work share based on the country’s percentage of total missiles acquired. As a result, the work share is 100% of the value associated with the production of the contracted missiles. Canada’s Integrated Regional Benefits (IRB) Policy does not apply to this project.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	NATO SeaSparrow Surface Missile System Project
Major subcontractors	Raytheon Missile Systems Company – Tucson, Arizona, USA
Project phase	Implementation March 2017 Closeout (expected) March 2028
Major milestones	Project Approval (Definition) November 2014 Initial ESSM Block 2 Engineering and Manufacturing Development MOU Payment November 2014 Project Approval (Implementation) March 2017 First Missile Delivery Late 2020 Initial Operational Capability (IOC) December 2021 Full Operational Capability (FOC) December 2025 Project Closeout March 2028
Progress report and explanation of variances	The PDMSU project has achieved project objectives, notably: Canada signed the ESSM Block 2 Engineering and Manufacturing Development Memorandum of Understanding on 12 November 2014; and Canada signed the ESSM Block 2 Production Memorandum of Understanding on 29 March 2017. Scope: The project is on track to deliver its 2017 approved scope. Cost: The project is currently within its 2017 approved budget. Schedule: The PDMSU project is on track to deliver the project milestones in accordance with its 2017 approved schedule. Year-End Results: In the Fiscal Year 2017-18, the PDMSU project started supporting the production of the missile, initiated work for missile transportation and safety qualifications, and began analysis for system software modifications.

Project name	INTERIM FIGHTER CAPABILITY PROJECT
Description	The objective of the Interim Fighter Capability Project (IFCP) is to pursue the acquisition of 18 surplus Australian F/A-18A/B aircraft, spares and equipment to supplement Canada’s existing CF-18 fleet to address the fighter capability gap.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The IFCP has the following project outcomes, notably; Successful acquisition of F/A18-A/B aircraft and integration into the CF-18 fighter fleet; and Address the capability gap by having sufficient operational aircraft to support execution of the roles and missions asked by the Government of Canada. This capability will be delivered to the Royal Canadian Air Force (RCAF).
Industrial benefits	The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) does not apply to the purchase of military equipment from a foreign government where a prime contractor is not involved. ITBs for the Canadian aerospace sector will be realized through opportunities for Canadian industry to provide additional In-Service Support to the surplus F/A-18A/B aircraft.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Acquired from the Australian Government through a Government to Government Purchasing Arrangement
Major subcontractors	CF-18 Prime Air Vehicle (PAV) Optimized Weapons System Management Contractor (L-3 MAS)
Project phase	Definition February 2017 Definition (amended) December 2017 Implementation (expected) October 2018
Major milestones	Project Approval (Definition) February 2017 Project Approval (Definition amendment) December 2017 Project Approval (Implementation) October 2018 Purchasing Agreement Signed November 2018 First Aircraft made available to Canada Spring 2019 Introduction to Service Summer 2019 Project Closeout 2022
Progress report and explanation of variances	The IFCP project is achieving project objectives, namely: On December 12, 2017, the Government announced that it will pursue the acquisition of Australian F/A-18A/B aircraft, associated spares and equipment to supplement the current CF-18 fleet to address the fighter capability gap. Letters of Cost Proposal (LoCPs) for aircraft and spares have been received from the Australian Government. The Government of Canada has submitted non-binding Letters of Proposal Acceptance (LoPAs) in response. Follow-on LoCPs are expected to be released in May and July 2018 for additional spares and equipment. Statement of Requirement submitted to L-3 MAS for the integration of Australian F/A-18A/B aircraft into the CF-18 fleet, including the modification of the aircraft to ensure that they are functionally identical to the CF-18 aircraft. Cost: The project’s implementation budget is contingent on approval as part of the Project Approval (PA) process for Implementation. Schedule: The project is currently on its December 2017 approved schedule. Year-End Results: In the Fiscal Year 2017-18, the IFCP: Submitted Letters of Request (LOR) to US Government and received Letters of Offer and Acceptance (LOA) for 18 Super Hornets, AIM-9X and AIM-120 missiles; Transitioned from the procurement of Super Hornets to the acquisition of Australian F/A-18A/B aircraft, spares and equipment, receiving an amended Project Approval in December 2017; Submitted LoPAs to the Australian Government for the acquisition of the aircraft and spares; and Submitted Statement of Requirement to L-3 MAS for work required to modify and integrate the F/A-18A/B aircraft into the CF-18 fleet.

Project name	LAND FORCES INTELLIGENCE, SURVEILLANCE, TARGET ACQUISITION AND RECONNAISSANCE SYSTEM
Description	The objective of the Land Forces Intelligence, Surveillance, Target Acquisition and Reconnaissance (LF ISTAR) System is to deliver and evolve an integrated, interoperable ISTAR capability through the acquisition of or enhancement to capabilities in the areas of communications, command and control and sensors. This work will improve the ability of commanders to visualize the operational area, manage sensors and information collection resources, and to plan and implement actions to successfully complete operational missions. LF ISTAR is an omnibus project with 10 sub-projects.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The LF ISTAR Omnibus project will deliver an integrated intelligence capability by means of the 10 sub-projects: Tactical Unmanned Aerial Vehicle; Beyond Line of Sight (BLOS) Communication Network; Datalink Communication; Command and Control (C2); Electronic Warfare (EW); In-Service Sensors (ISS); Medium Range Radar; Acoustic Weapon Locating System; Family of Mini-UAV; and Lightweight Counter Mortar Radar. This capability is being delivered to the Canadian Army.
Industrial benefits	The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) applies to this project. Canada will receive ITBs equivalent to 100% of the contracted value for both the acquisitions and the In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractors	Type 1 Radios Data Link Communication (DLC) project – Foreign Military Sales (FMS): US Army – USA Light Weight Counter Mortar Radars (LCMR) – Foreign Military Sales: US Army – USA Remote Viewing Terminal (ISS Project): L3 Communications, CSW – Salt Lake City, Utah, USA Mini Unmanned Aerial System: MDA – Richmond, British Columbia, Canada Medium Range Radar: Rheinmetall Canada Inc. – St-Jean-sur-Richelieu, Quebec, Canada Small Unmanned Aerial System – Foreign Military Sale (in progress): US Navy – USA Man Portable Surveillance and Target Acquisition Radar (MSTAR) Upgrade (ISS Project): DRS Sustainment System Inc. (SSI)
Major subcontractors	ELTA System, Israel – Partnered with Rheinmetal Canada for Medium Range Radar
Project phase	Implementation November 2005 Closeout (expected) March 2020
Major milestones	Omnibus Project - Project Approval (Definition) April 2003 Tactical Unmanned Air Vehicle – May 2003 Project Approval (Implementation) July 2010 Project Closed June 2009 Beyond Line of Sight Communication – Project Approval (Implementation) November 2005 Project Closed May 2010 Data Link Communication – Project Approval (Implementation) December 2006 Initial Operational Capability April 2010 Full Operational Capability January 2016 Project Closeout March 2016 Command and Control (C2) – February 2008 Project Approval (Implementation) July 2010 Initial Operational Capability June 2019 Full Operational Capability March 2020 Project Closeout Electronic Warfare (EW) Urgent Operational Requirement – Project Approval (Implementation) November 2005 Electronic Warfare (EW) – Revised Project Approval (Implementation) Amendment 1 February 2008 Initial Operational Capability March 2008 Full Operational Capability June 2015 Effective Project Closeout January 2016 Project Closeout September 2017 In-Service Sensors – Project Approval (Implementation) January 2012 Initial Operational Capability March 2015 Full Operational Capability May 2019 Project Closeout June 2019 Medium Range Radar – Project Approval (Implementation) January 2012 Contract Award June 2015 Initial Operational Capability June 2018 Full Operational Capability May 2019 Project Closeout December 2019 Acoustic Weapon Locating Sensors– Project Approval (Implementation) November 2005 Project Closeout May 2010 Family of UAV Urgent Operational Requirement – Project Approval (Implementation) November 2005 Family of UAV Project Approval Implementation Amendment 1 January 2012 Initial Operation Capability September 2014 Full Operational Capability February 2020 Project Closeout March 2020 Light Weight Counter Mortar Radar Project Approval (Implementation) March 2007 Initial Operation Capability October 2007 Full Operational Capability October 2017 Project Closeout May 2018 All ISTAR sub-projects - Deliveries Complete June 2019 Project Closeout March 2020
Progress report and explanation of variances	The LF ISTAR project is achieving project objectives, namely: Five sub-projects have been successfully completed and closed; One sub-project has achieved full operational capability and is in the closing process (ISTAR LCMR); Four sub-projects are still active and will reach end of implementation phase within the next 2 years; and Acquisition of a second Small UAS and few smaller procurement activities are still to be awarded before LF ISTAR project closeout. Scope: The project is on track to deliver its approved 2003 scope. Cost: The project is currently within budget. Some funds will need to be reallocated amongst sub-projects, but the overall cost will remain within the LF ISTAR Omnibus approved budget from 2003. Schedule: The project has experienced some delays from its approved 2003 schedule and has only the following remaining capabilities to deliver before project closeout, currently estimated for March 2020: Medium Range Radar. Contract awarded in summer 2015 for initial delivery in July 2017 (1^stradar) and complete delivery is expected by December 2019; Small UAV system. FMS case was signed in summer 2016 for delivery of the first Small UAV system in 2017; Intent is to complete acquisition of a full FUAV capability. Remote Viewing Terminal. Contract was awarded in fall 2015 and delivery of equipment started in July 2016. Last items will be delivered in 2018; Man Portable Surveillance and Target Acquisition Radar (MSTAR). Contract was awarded in June 2017 and complete delivery is expected by December 2019; and ISTAR C2 will continue to deliver the cabling for shelters until the end of 2019. Year-End Results: In the Fiscal Year 2017-18, the LF ISTAR project: Received Airworthiness Clearance Waiver signed by the Commander RCAF for CU172 Blackjack. Awarded all major contracts for the Command and Control (C2) project and for the In-Service Sensors MSTAR Upgrade; Completed production of the first two Medium Range Radar (MRR) systems and partial acceptance of the first system; Completed MRR Factory Acceptance Testing and Site Acceptance Testing; Issued the CA Implementation Order of the C2, MRR and ISS projects; Completed Initial Cadre Training for the MRR project; Completed fielding of the LCMR Multi-Mission Software; Started the Closeout of the LCMR project.

Project name	JOINT SUPPORT SHIP
Description	The objective of the Joint Support Ship (JSS) project is to deliver two new support ships to replace the Royal Canadian Navy’s Auxiliary Oiler Replenishment vessels that have reached the end of their service. The capabilities required of the Joint Support Ships are crucial to the Royal Canadian Navy. These new Protecteur-class ships will enable a Naval Task Group to remain at sea for extended periods of time. These vessels will provide core replenishment capabilities, plus added capacity for limited sealift and limited support to operations ashore.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The JSS project will deliver two Joint Support Ships. This capability is being delivered to the Royal Canadian Navy.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value for the acquisition. In-Service Support of the vessels is managed separately under the AJISS (Arctic and Offshore Patrol Ship and Joint Support Ship) In-Service Support contract which was awarded in 2017.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Acquisition: Vancouver Shipyards Co. – North Vancouver, British Columbia, Canada In-Service Support: Thales Canada Inc. and Thales Australia Inc. – Ottawa, Ontario, Canada. A single long-term In-Service Support Contract (ISSC) to support the Arctic and Offshore Patrol Ship (AOPS) and Joint Support Ship (JSS) vessels is in place.
Major subcontractors	Alion Science and Technology (Canada) Corporation – Ottawa, Ontario, Canada Thales Canada Inc. – Ottawa, Ontario, Canada Computer Sciences Canada Inc. – Ottawa, Ontario, Canada Det Norske Veritas - Germanischer Lloyd Canada (DNV-GL) – Montreal, Quebec, Canada ThyssenKrupp Marine Systems Canada Inc. – Ottawa, Ontario, Canada VARD Electro – Tennfjord, Norway VARD Electro Canada Inc. – Vancouver, British Columbia, Canada Trident Maritime Systems – Crozet, Virginia, USA L-3 Communications MAPPS Inc. – St. Laurent, Quebec, Canada Hepburn Engineering Inc. – Toronto, Ontario, Canada (expected under contract Summer 2018) MAN Diesel and Turbo, Augsburg, Germany (expected under contract Summer 2018)
Project phase	Definition June 2010 Implementation (expected) Fall 2019
Major milestones	Revised Project Approval (Definition) 1 June 2010 Revised Project Approval (Definition) 2 April 2014 Revised Project Approval (Definition) 3 December 2014 Revised Project Approval (Definition) 4 June 2015 Revised Project Approval (Definition) 5 August 2016 Revised Project Approval (Definition) 6 April 2018 Project Approval (Implementation) Fall 2019 Award of Implementation Contract Fall 2019 Delivery of first ship 2022-23 Initial Operational Capability 2023 Full Operational Capability 2024 Project Closeout 2025
Progress report and explanation of variances	The JSS project is achieving project objectives, notably: Under the National Shipbuilding Strategy (NSS) announcement on 19 October 2011, SeaSpan’s Vancouver Shipyards Co. Ltd (VSY) is to build the JSS; The selection of the Military-off-the-Shelf (Berlin Class) design was announced on 2 June 2013; The permanent design license for the Military-off-the-Shelf design was procured in September 2014; Initial Design Review (IDR) work started on 23 September 2014; SeaSpan’s Vancouver Shipyards Co Ltd was awarded the Joint Support Ship long lead items contract in December 2015.The work of the contract is to select the key equipment suppliers and obtain the necessary vendor furnished information to complete the ship design; The Design and Production Engineering (D&PE) Contract was awarded to the shipyard in December 2016 and design work is progressing; A Request for Information (RFI) was published to industry to acquire a raft/pontoon solution to transport materiel from the Joint Support Ship at sea to the shore; the RFI was in support of a Request for Proposal to be released to industry in summer 2018; and The Project Management Office received a shipyard proposal to commence early construction of 52 select JSS “blocks” in 2018, with a goal of filling a gap in construction between lead Canadian Coast Guard vessel projects, and a benefit of helping advance delivery of JSS1 and JSS2 vessels (the proposal was used to achieve Treasury Board approval for Early Block Construction in April 2018). Scope: The project is on track to deliver its August 2016 approved scope. Cost: Updated Project Definition authorities were granted in April 2018 and the project is operating within these authorities. “Pre-Implementation” authorities were also granted in April 2018, authorizing the start of construction of JSS blocks commencing in June 2018. The Definition work will define the project’s implementation budget. Schedule: A new project schedule was established in support of the approvals achieved in April 2018. With the recent approval to start construction of JSS blocks as early as June 2018, the project is working to achieve first ship delivery in 2022-23, and second ship delivery in 2023-24. The JSS schedule remains dependent on the progress of the other NSS projects preceding JSS at the same shipyard. Year-End Results: In Fiscal Year (FY) 2017/18 the JSS project further progressed the JSS design and made advancements towards the procurement of long lead items in support of future JSS construction. Further, preparations were finalized towards achieving approvals to commence JSS construction starting in June 2018 under an Early Block Build contract; the work conducted in FY 2017-18 culminated with the approvals granted in April 2018.

Project name	LIGHT ARMOURED VEHICLE III UPGRADE PROJECT
Description	The objective of the Light Armoured Vehicle (LAV) III upgrade project is to upgrade a significant portion of the LAV III fleet. The LAV III upgrade project will capitalize on existing and evolving technology to provide a highly protected, yet highly mobile Light Armoured Vehicle capability which will protect the soldiers and equipment of the CAF in current and future operations.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The LAV III upgrade project has the following project outcomes: Deliver 550 LAV III vehicles upgraded in the areas of mobility, protection and lethality. This capability is being delivered to the Canadian Army.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value from General Dynamics Land Systems-Canada for both the acquisitions and In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	General Dynamics Land Systems - Canada – London, Ontario, Canada
Major subcontractors	N/A
Project phase	Implementation October 2011 Closeout (expected) 2021
Major milestones	Project Approval (Definition) June 2009 Project Approval (Implementation) October 2011 Contract Award October 2011 First Vehicle Delivery December 2012 Initial Operational Capability June 2014 Revised Project Approval (Implementation) November 2016 Final Vehicle Delivery December 2019 Full Operational Capability Spring 2020 Project Closeout 2021
Progress report and explanation of variances	The LAV III upgrade project has achieved project objectives, notably: Initial Operational Capability (IOC) occurred in June 2014; As of 1 July 2016, the Commander of the Canadian Army accepted the upgraded LAV III as the Canadian Army deployable LAV fleet. Exercise "Maple Resolve 16", held in Wainwright in May 2016 successfully tested more than 110 upgraded LAV III; and A total of 409 of 550 vehicles have been delivered as of 31 March 2018. Scope: In November 2016 the project received the additional authority to deliver the full upgrade to the 141 LAV III Operational Requirements Integration Task (LORIT) vehicles which were originally only to receive a partial upgrade under the scope of the project approved in October 2011. Cost: The project is within the budget established in November 2016 as part of the amended scope approval. Schedule: The project remains on schedule as established in November 2016 as part of the amended scope approval. Year-End Results: In the Fiscal Year 2017-18, the LAV III upgrade project, following the amended implementation approval, resumed deliveries of the remaining 141 vehicles being upgraded under the contract.

Project name	LIGHTWEIGHT TOWED HOWITZER
Description	The objective of the Lightweight Towed Howitzer (LWTH) project is to acquire 25 M777 155mm lightweight towed howitzers, to augment the 12 M777 howitzers already in service. The project will also institutionalize capability enhancements in terms of the lethality, range, precision, mobility and digitization, which will support the missions and tasks likely to be assigned to the CAF, to institutionalize a lightweight 155mm towed howitzer capability within the CAF.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The LWTH project has the following project outcomes, notably; Acquire 25 new M777 155mm Lightweight Towed Howitzers; Acquire up to 30 Digital Gun Management Systems (DGMS); Acquire 37 Medium Support Vehicle System (MSVS) Standard Military Pattern (SMP) trucks; Acquire training and operation stock ammunition (modular propellant and precision ammunition); Acquire Ancillary equipment (e.g. radio, generator, fuse setter); Acquire associated Integrated Logistics Support; and Deliver associated Infrastructure. This capability is being delivered to the Canadian Army.
Industrial benefits	Canada’s Industrial Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the value for the BAE Systems M777 Lightweight Towed Howitzer Foreign Military Sales Acquisition case. Canada will receive IRBs equivalent to 100% of the value for SELEX GMS acquisition contract.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	BAE Systems – Barrow-in-Furness, Cumbria, UK
Major subcontractors	Leonardo – Edinburgh, UK
Project phase	Implementation October 2012 Effective Project Closeout March 2018
Major milestones	Project Approval (Definition) June 2008 M777 Foreign Military Sale (FMS) Agreement November 2008 Digital Gun Management System Contract Award November 2009 Project Approval (Implementation) January 2010 M777 Initial Support Contract Award June 2010 M777 Gun – Final Deliveries April 2011 Initial Operational Capability (IOC) October 2011 Full Operational Capability (FOC) January 2018 Final Equipment Delivery (MSVS SMP) March 2020 Effective Project Closure (EPC) March 2018 Project Closeout March 2020
Progress report and explanation of variances	The LWTH project has achieved project objectives, notably: Deliveries of the M777 howitzers were completed in the summer of 2011; Delivery of the MSVS Gun Tractors were excluded from the LWTH project Full Operational Capability (FOC) milestone in August 2011 as they were deemed the responsibility of the MSVS project; IOC was achieved in October 2011; Delivery of ammunition components such as propellant, projectiles and fuses; Integrated logistic support within the users’ community as well as with the Original Equipment Manufacturer and our allies; Infrastructure component of the project completed in the summer of 2016; Precision Guidance Kit (PGK) ammunition integration trial completed in October 2016; FOC reached 15 January 2018; and EPC reached 31 March 2018. Scope: The project is on track to deliver its 2008 approved scope. Cost: The project is currently within the 2008 approved budget. Schedule: The project has experienced a delay of five years against the 2010 approved schedule, primarily as a result of technical challenges associated with the Course Correcting Fuse (CCF), PGK ammunition. Year-End Results: In the Fiscal Year 2017-18, the LWTH project received the final lot of CCF/PGK and reached EPC on 31 March 2018. The EPC Plan describing all outstanding project activities has been endorsed and transition to DASPM 3 Equipment Management Team completed. The Interim Project Completion Report has been staffed.

Project name	MARITIME HELICOPTER PROJECT
Description	The objective of the Maritime Helicopter Project (MHP) is to acquire a new maritime helicopter capability to replace the CH-124 Sea King. This acquisition will address the operational deficiencies of the current CH-124, eliminate the supportability difficulties of the older helicopter, and provide a sufficient fleet size of multi-purpose shipborne Maritime Helicopters for operations well into the 21^stcentury.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The MHP has the following project outcomes, notably; Acquire 28 fully equipped Maritime Helicopters; Deliver long-term In-Service Support; and Modify the HALIFAX class ships to accommodate the new Maritime Helicopters. This capability is being delivered to the Royal Canadian Air Force and will support the Royal Canadian Navy.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 106% of the contracted value for the acquisitions and 80% of the contracted value for the In-Service Support portion from Sikorsky Aircraft.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Sikorsky International Operations Incorporated – Stratford, Connecticut, USA
Major subcontractors	General Dynamics Mission Systems - Canada – Ottawa, Ontario, Canada L-3 MAS – Mirabel, Quebec, Canada
Project phase	Implementation November 2004 Closeout (expected) 2022
Major milestones	Project Approval (Definition) June 2003 Project Approval (Implementation) November 2004 Contract Award November 2004 Revised Project Approval (Implementation) June 2014 First Delivery (Block 1 Maritime Helicopters) June 2015 First Delivery (Block 2 Maritime Helicopters) April 2018 Initial Operational Capability May 2018 Final Delivery 2021 Effective Project Closeout 2022 Full Operational Capability 2025 Full Project Closeout 2025
Progress report and explanation of variances	The MHP is achieving project objectives, notably: As of March 2018, a total of 15 CH-148 Cyclone helicopters have been delivered; Of the 15 helicopters, 11 helicopters are at 12 Wing which are being used for training and operational testing to enable achievement of Initial Operating Capability (IOC) in May 2018; Four are with the contractor for retrofit and delivery in the Block 2 configuration. Scope: On 18 June 2014, following a revised Project Approval (Implementation), the Government of Canada and Sikorsky International Operations Incorporated signed a contract amendment. This amendment extended the In-Service Support Agreement out to 2038 and re-baselined the project schedule. Cost: The MHP is currently within the 2004 approved budget. Schedule: The MHP is on track to deliver the project milestones in accordance with its approved schedule, as re-baselined in the revised Project Approval (Implementation) in June 2014. Year-End Results: A total of 15 helicopters were delivered to Canada by March 2018. In the Fiscal Year 2017-18, the CH-148 Cyclone Release To Service was issued by the Commander of the Royal Canadian Air Force.

Project name	MEDIUM SUPPORT VEHICLE SYSTEM PROJECT
Description	The objective of the Medium Support Vehicle System (MSVS) project is to acquire a new medium-weight truck capability that will replace the Medium Logistic Vehicle Wheeled (MLVW) fleet. The acquisition will provide the capability to transport troops, cargo, and equipment and to perform Unit level and combat services support functions. The MSVS project will replace the 36 year old MLVW. The capability provided by the MLVW is no longer supportable nor effective.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The MSVS project has the following project outcomes, divided in phases: Phase 1: Acquire 1,300 Militarized Commercial-Off-The-Shelf (MilCOTS) trucks. Phase 2: Acquire 994 Specially Equipped Vehicle (SEV) baseline shelters (26 are funded by the Medium-to-Heavy Lift Helicopters (MHLH) project and seven by the Land Forces Intelligence, Surveillance, Target Acquisition and Reconnaissance project, Family of UAVs sub-project (LF ISTAR FUAV)). Phase 3: Modify 846 baseline shelters (also referred to as “Shelter Kitting”). Phase 4: Acquire 1,500 Standard Military Pattern (SMP) Trucks in five variants: Cargo; Cargo with Material Handling Crane; Load Handling System; Mobile Repair Team; and Gun Tractor. (Plus 37 funded by the Lightweight Towed Howitzer (LWTH) project); Acquire 150 integrated Armour Protection Systems. (Plus seven funded by LWTH); Acquire 300 Load Handling System trailers; and Acquire In-Service Support. Phase 5: Deliver associated Infrastructure. This capability is being delivered to the Canadian Army.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) applies to Phase 1, Phase 2 and Phase 4 of this project. Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisitions and In-Service Support. The IRB Policy does not apply to Phase 3, the “Shelter Kitting” contract.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	MilCOTS: Navistar Defence LLC, Warrenville, Illinois, USA Baseline Shelters: DEW Engineering and Development ULC, Ottawa, Ontario, Canada Kitting: DEW Engineering and Development ULC, Ottawa, Ontario, Canada SMP: Mack Defence LLC, Allentown, Pennsylvania, USA
Major subcontractors	N/A
Project phase	Implementation May 2015 Closeout (expected) 2020
Major milestones	Project Approval (Definition) June 2006 MilCOTS – Revised Project Approval (Definition) December 2008 MilCOTS – Contract Award January 2009 MilCOTS – First Delivery June 2009 MilCOTS – Delivery Complete March 2011 Baseline Shelter – Revised Project Approval (Definition) June 2009 Baseline Shelter – Contract Award July 2009 Baseline Shelter – First Delivery May 2012 Baseline Shelter – Delivery Complete February 2015 Kitting – Revised Project Approval (Definition) November 2012 Kitting – Contract Award December 2012 Kitting – First Delivery January 2014 Kitting – Delivery Complete November 2016 Project Approval (Implementation) May 2015 SMP – Contract Award (Acquisition and In-Service Support) June 2015 SMP – First Delivery April 2018 Delivery Complete Late 2019 – Early 2020 Infrastructure – Project Approval Implementation May 2015 Project Closeout 2020
Progress report and explanation of variances	The MSVS project is achieving project objectives, notably: Phase 1 – The MilCOTS trucks are in-service; Phase 2 – The last delivery of the Baseline Shelters was completed in February 2015; Phase 3 – Shelter Kitting delivery was completed in November 2016; and Phase 4 – SMP Trucks, trailers and Armoured Protected Systems: SMP truck and trailer delivery has begun and Armoured Protection System delivery is expected to begin over the summer of 2018. Phase 5 – Infrastructure work is in progress. Scope: The project is on track to deliver its 2015 approved scope for Phase 4 and Phase 5. Cost: The project is currently within the 2015 approved budget. Schedule: The SMP truck delivery was postponed as a result of contractor’s request to better align requirements verification with production and to rectify technical issues that emerged during the test program. Therefore, the planned first delivery of the SMP Trucks (Phase 4) had to be delayed by approximately nine months from the 2015 schedule. Year-End Results: In the Fiscal Year 2017-18, the MSVS project successfully resolved key SMP truck technical issues, paving the way for the first delivery. The project also exercised contract options to add 50 trucks, four APS and 18 trailers.

Project name	MEDIUM-TO-HEAVY LIFT HELICOPTERS
Description	The objective of the Medium-to-Heavy Lift Helicopters (MHLH) project is to establish a new transport helicopter capability based in Petawawa, Ontario to support land-based domestic and international operations, and to acquire 15 CH-147F Chinook medium to heavy lift helicopters.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The MHLH project has the following project outcomes, notably; Acquire 15 Chinook CH-147F helicopters; Deliver the associated infrastructure and support elements to create a new helicopter unit in Petawawa; and Deliver aircrew training through the Operational Training Systems Provider initiative. This capability is being delivered to the Royal Canadian Air Force and will support the Canadian Army.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to this project. Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisitions and the integrated In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Aircraft and In-Service Support: The Boeing Company – Philadelphia, Pennsylvania, USA Aircrew Training: CAE – St-Laurent, Quebec, Canada Petawawa Infrastructure: Ellis-Don Corporation – Ottawa, Ontario, Canada
Major subcontractors	N/A
Project phase	Implementation June 2009 Closeout (expected) 2020
Major milestones	Preliminary Project Approval June 2006 Advanced Contract Award Notice Posted on MERX July 2006 Effective Project Approval June 2009 Boeing Acquisition Contract Award June 2009 CAE Contract Amendment to include MHLH Operational Training March 2010 Ellis-Don Contract Award October 2010 First Aircraft Delivery June 2013 Boeing Contract Amendment – In-Service Support (first five years) June 2013 Last Aircraft Delivery June 2014 Initial Operational Capability February 2015 Full Operational Capability Summer 2018 Project Closeout 2020
Progress report and explanation of variances	The MHLH project has achieved project objectives, notably: All 15 aircraft have been delivered on time with the final aircraft being delivered in June 2014; 450 Tactical Helicopter Squadron is operating from a brand new purpose-built facility located in Garrison Petawawa; and Initial Operational Capability was declared in February 2015. Scope: The MHLH project is on track to deliver its 2009 approved scope. Cost: The MHLH project is currently within the 2009 approved budget. Schedule: The Full Operational Capability and Project Closeout were delayed relative to the 2009 approved schedule due to pilot production and Directional Infrared Countermeasures (DIRCM) system integration and delivery. The new dates for Full Operational Capability and Closeout summer 2018 and 2020 respectively. Year-End Results: In the Fiscal Year 2017-18, CH-147F was deployed in the Quebec flood relief Operations LENTUS. Directional Infrared Countermeasure prototype system were installed, aircraft test performance and functional testing were completed.

Project name	MERCURY GLOBAL
Description	The objective of the Mercury Global (MG) project is to acquire assured access capabilities to around-the-world wideband satellite communications (SATCOM), which will provide the Canadian Armed Forces (CAF) with secure, reliable and high availability wideband communications. The MG project will deliver military satellite communications (SATCOM) wideband capabilities that address beyond line of sight communications deficiencies globally (between 70 degree N and 70 degree S) by enabling SATCOM connectivity for domestic or international operations to meet the command and control needs of the CAF.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The MG project has the following project outcomes: Phase 1 – Acquire access to Wideband Global SATCOM (WGS) satellite constellation via a Memorandum of Understanding (MOU) with the United States Department of Defence (DoD) and other international partners (Denmark, the Netherlands, Luxembourg, and New Zealand). The MOU is the vehicle used to fund the construction and launch of the ninth WGS satellite and, thereby, provide access to the US DoD WGS constellation to the Department of National Defence and other international partners to at least the year 2031; and Acquire early access terminals. Phase 2 – Design, build and support seven permanent antennas at three sites across Canada; and Phase 3 – Acquire deployable terminals for strategic use to operate specifically with the WGS constellation. This capability is being delivered to the CAF.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to the first two phases of this project. In Phase 1, Canada will receive IRBs equivalent to 100% of the contracted value on a separate agreement between Boeing and Public Services and Procurement Canada (PSPC) for the ninth WGS space vehicle (satellite). In Phase 2, Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisition and the In-Service Support. In Phase 3, Canada will receive ITBs equivalent to 100% of the contracted value for both the capital acquisition and the In-Service Support as part of the Defense Procurement Strategy (DPS).
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Space segment: United States Department of Defense (DoD) via a Memorandum of Understanding Anchor Segment: General Dynamics Mission Systems – Canada; Ottawa, Ontario, Canada Strategic Deployment Terminals: General Dynamics Mission Systems – Canada; Ottawa, Ontario, Canada Early Access Terminals: Telesat Canada – Ottawa, Ontario, Canada
Major subcontractors	Satellite Manufacturer – Boeing, St. Louis, Missouri, USA
Project phase	Implementation October 2014 Closeout (expected) September 2019
Major milestones	Project Approval (Definition) October 2011 Initial Operational Capability May 2013 Project Approval (Implementation) October 2014 Anchor Segment Acceptance June 2019 Terminal Implementation Complete June 2019 Full Operational Capability June 2019 Project Closeout September 2019
Progress report and explanation of variances	The MG project has achieved project objectives, notably: Phase 1 – Definition Preliminary Project Approval was attained in October 2011; and The Wideband Global SATCOM (WGS) MOU was signed in January 2012. Phase 2 – Implementation Expenditure and Contract Authority for Phase 2 was achieved in October 2014; General Dynamics Mission Systems - Canada was awarded contracts for both the installation of the anchor stations and In-Service Support of the system for a period of seven (7) years, with options for support up to an additional ten (10) years; and Construction, installation and integration at all 3 MG Anchor Segment sites are substantially complete. WGS certification is in progress, with the third and final phase starting in May 2018. Acceptance testing is set to begin in June 2018. Phase 3 – Implementation An RFP for 67 Strategic Deployable Terminals (SDTs) closed on 31 January 2017; TB approval for Expenditure Authority was achieved 10 January 2018; and Contract Award for the Terminal segment, i.e. 67 SDTs, took place 22 February 2018. MG project has directly supported Operation IMPACT, Operation UNIFIER, Operation CARIBBE, Operation NANOOK, Operation REASSURANCE, and Operation RENNAISSANCE 15-1. Scope: The project is on track to deliver the 2014 and 2018 Treasury Board (TB) approved scope. In addition, WGS satellites eight (8) and nine (9) have completed the Wideband Digital Channelizer upgrade, which will almost double their current bandwidth. This satellite modification was undertaken by the U.S. Department of Defense; International Partners will not share the cost, in part or in total, for this upgrade. These satellites have been launched and are currently operational. Cost: The project is currently within the 2014 and 2018 TB approved budgets. Schedule: The project has experienced a delay against the 2014 approved schedule. The schedule has been re-baselined in the approved 2018 TB submission. Year-End Results: In the Fiscal Year 2017-18, the MG project received Expenditure Authority from Treasury Board (TB) for the Phase 3 of the project and issued a contract to General Dynamics Mission Systems for 67 Strategic Deployable Terminals. The first two phases of the anchor segment certification were completed and the final phase is to be completed in Fiscal Year 2018-19. Construction at the three anchor sites was substantially completed in Fiscal Year 2017-18 and final work will be completed in Fiscal Year 2018-19.

Project name	PROTECTED MILITARY SATELLITE COMMUNICATIONS
Description	The objective of the Protected Military Satellite Communications (PMSC) project is to acquire guaranteed access to an Advanced Extremely High Frequency (AEHF) Military Satellite Communications System which will provide the capability for near-worldwide assured, secure, and jam-resistant communications for the command and control of deployed Canadian commanders and forces, as well as interoperability with some of our principal allies, the United States, the United Kingdom, and the Netherlands. The PMSC project is providing the Canadian Armed Forces with a protected, global MILSATCOM capability. The project includes MILSATCOM terminals for ships and submarines, strategic communications units, and deployed land, sea and air forces.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The PMSC project has the following project outcomes: Phase 1 – Definition (Complete) Procure access to the United States (US) Department of Defense (DoD) AEHF Military Satellite Communications System via an MOU signed in November 1999. Phase 2 – Implementation Acquire AEHF satellite terminals in multiple variants: naval, land transportable, and deployable; Install AEHF satellite terminals, where necessary; and Deliver associated Infrastructure. This capability is being delivered to the Canadian Army, Navy, and Air Force.
Industrial benefits	The US Department of Defence (DoD) committed to a work share with Canadian Industry under the completed Phase 1 portion. Canada’s Industrial and Benefits (IRB) Policy was applied to Phase 2 of this project and an IRB agreement was negotiated with Raytheon. Industry Canada will seek IRBs equivalent to 100% of the contracted value for both the acquisitions and the In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	United States Department of Defense (DoD) via Foreign Military Sales (FMS)
Major subcontractors	Raytheon – Waltham, Massachusetts, USA
Project phase	Implementation November 2003 Closeout (Expected) September 2026
Major milestones	Project Approval (Definition) August 1999 Project Approval (Implementation) November 2003 First Terminal Delivery November 2011 Initial Operational Capability November 2013 Final Terminal Delivery January 2022 PMSC System Full Operational Capability June 2026 Project Closeout September 2026
Progress report and explanation of variances	The PMSC project has achieved project objectives, notably: Phase 1 – Definition (Complete) Preliminary Project Approval (PPA) was provided in August 1999; and System access was procured via a Military Satellite Communications Memorandum of Understanding (MOU) with the US DoD for development and fielding, signed in November 1999. Phase 2 – Implementation Project Approval (Implementation) was received in November 2003; A Military Satellite Communications MOU with the US DoD for operations and support was signed in November 2009; Foreign Military Sales (FMS) cases were established starting in March 2006 for procurements of terminal equipment; and The PMSC Initial Operational Capability was achieved 12 November 2013. Scope: The project is on track to deliver the 2003 approved scope. Cost: The project is currently within the 2003 approved budget. Risk mitigation strategies have been identified to minimize future costs due to installations that exceeded budgeted estimates. These strategies have included, awarding installation activities to the supplier with the lowest overall cost structure, and the feasibility of proceeding with firm-fixed price contracts has been explored and implemented. Schedule: Installation of the PMSC system on Halifax Class Frigates is complete with the 12^th ship completed in March 2018. Due to slippages in the US DoD overall satellite launch schedule and Victoria Class Submarine (VCS) installations, the PMSC System Full Operational Capability, has moved to June 2026 from the original (2003 approved) expected date of November 2017. Year-End Results: In the Fiscal Year 2017-18, the PMSC project completed installation on Halifax Class Frigates and progressed installation on Victoria Class Submarines (VCS). A Land Based Test Facility was installed in the US to support integration and regression testing of the International Partner Variant (IPV) NMTs.

Project name	REMOTELY PILOTED AIRCRAFT SYSTEM
Description	The project will deliver a Remotely Piloted Aircraft System (RPAS) to provide Intelligence, Surveillance, Target Acquisition and Reconnaissance (ISTAR) information and deliver precision strike effects to Canadian Armed Forces (CAF) commanders. The RPAS Project’s long-range, long-endurance ISTAR and precision strike capabilities will be integrated as part of a networked, joint system-of-systems, in support of the Canada’s Defence Policy, Strong, Secure, Engaged (SSE) strategic vision and primary missions.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The RPAS project has the following project outcome: Deliver a mature long range, long endurance Remotely Piloted Aircraft System capability that meets the requirements of the CAF. This capability will be delivered to the Royal Canadian Air Force, and will support the Canadian Army, the Royal Canadian Navy and Special Operations Forces.
Industrial benefits	The Defence Procurement Strategy (DPS) applies to this project and DND is collaborating with Innovation, Science and Economic Development Canada (ISED) to define its implementation.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	TBD
Major subcontractors	TBD
Project phase	Options Analysis September 2017 (When Project Name was changed to RPAS)
Major milestones	Project Approval (Definition) 2018-19 Project Approval (Implementation) 2022-23 Contract Award 2022-23 First aircraft delivery 2024-25 Initial Operational Capability 2025-26 Full Operational Capability 2029-30 Project Closeout 2030-31
Progress report and explanation of variances	RPAS is preparing to enter Definition Phase. Year-End Results: In the Fiscal Year 2017-18, the RPAS project team prepared a Business Case Analysis (BCA) that was endorsed by the Defence Capability Board (DCB) on 27 October 2017. Options Analysis work continued apace, with approval of the Definition Phase anticipated in Fiscal Year 2018-19.

Project name	SUBMARINE CAPABILITY LIFE EXTENSION
Description	The objective of the Submarine Capability Life Extension (SCLE) project is to acquire a submarine capability to replace the Oberon class submarine fleet. The acquisition supports Canada's ability to conduct surveillance and control of its territory, airspace and maritime areas of jurisdiction, as well as Canada's ability to participate in bilateral and multilateral operations.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The SCLE project has the following project outcomes, notably; Acquire four functional Victoria class submarines, acquired from the United Kingdom Ministry of Defence, with up-to-date "safe to dive" certificates; Acquire four crew trainers; including a combat systems trainer, a ship control trainer, a machinery control trainer, and a torpedo handling and discharge trainer; Acquire a technical data package consisting of manuals, design data and build records, drawings, trials reports and maintenance and configuration records; Acquire initial spares including on-board and depot spares, special tools and other support equipment; Deliver initial conversion training of four Canadian submarine crews and the fleet support personnel necessary to maintain and operate the Victoria Class submarines; and Provide adequate support capability on both east and west coasts to allow for the home-porting of submarines in Halifax, Nova Scotia and Esquimalt, British Columbia. This capability is being delivered to the Royal Canadian Navy.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy was applied to this project. Canada received IRBs equivalent to 100% of the contracted value for both the acquisitions and the In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	The Government of the United Kingdom, (UK) of Great Britain and Northern Ireland, Ministry of Defence, UK
Major subcontractors	British Aerospace Engineering (BAE) Marine Systems (formerly Vickers Shipbuilding and Engineering Limited (VSEL)/Marconi Marine) – Cumbria, UK
Project phase	Implementation June 1998 Closeout (expected) 2020
Major milestones	Project Approval (Implementation) June 1998 Main Contract Award July 1998 Initial Support Contract Award July 1998 Revised Project Approval (Implementation) June 2003 Initial Operational Capability April 2006 Full Operational Capability November 2012 Effective Project Closeout 2016 Project Closeout 2020
Progress report and explanation of variances	The SCLE project has achieved project objectives, notably: The project has delivered four functional Victoria class submarines with up-to-date, safe-to-dive certificates; The project has delivered four crew trainers (including a combat systems trainer, a ship control trainer, a machinery control trainer, and a torpedo handling and discharge trainer), and four trained crews; and Canadianization, which comprises 17 associated projects, has been completed on three submarines. The final two remaining projects are being implemented in HMCS Corner Brook’s ongoing Extended Docking Work Period (EDWP) which is scheduled to complete in 2020. Scope: The project is on track to deliver the 2003 approved scope. Cost: All performance objectives of this project will be met within the allocated budget approved in 2003. Schedule: Project Closeout will occur in 2019 with outstanding work continuing until the end of HMCS Corner Brook’s EDWP which may extend into early 2020. Year-End Results: In the Fiscal Year 2017-18, the SCLE project continued work on the implementation of the remaining two projects in HMCS Corner Brook currently in EDWP, while also progressing with project Closeout activities.

Project name	TACTICAL ARMOURED PATROL VEHICLE
Description	The objective of the Tactical Armoured Patrol Vehicle (TAPV) project is to procure a modern fleet of tactical vehicles for use in domestic and expeditionary operations that are highly mobile and provide a very high degree of protection. Replaces the RG-31, part of the Coyote fleet and complements the G-Wagon fleet.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The TAPV project has the following project outcomes, notably; An initial purchase of 500 TAPV; An optional purchase of up to 100 additional vehicles; Procurement and delivery of essential Integrated Logistics Support (ILS) to sustain the fleet for the first two years; Acquisition of an operational stock and two years of training stocks of ammunition; Construction of required infrastructure at bases; and Implementation of a long-term (25-year) through life In-Service Support Contract to be funded through Army National Procurement funds This capability is being delivered to the Canadian Army.
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to the acquisition and support contracts, with requirements for IRB equal to 100% of the contract value.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	Textron Systems Canada Incorporated – Ottawa, Ontario, Canada
Major subcontractors	Textron Marine and Land Systems – Louisiana, USA Kongsberg Protech Systems Canada – London, Ontario, Canada Rheinmetall Canada – Ottawa, Ontario, Canada Engineering Office Deisenroth Canada – Ottawa, Ontario, Canada
Project phase	Implementation June 2012 Closeout (expected) 2020
Major milestones	Project Approval (Definition) June 2009 Project Approval (Implementation) June 2012 Contracts awarded June 2012 First Vehicle Delivery August 2016 Initial Operational Capability August 2017 Final Vehicle Delivery Summer 2018 Full Operational Capability Fall 2018 Effective Project Completion Fall 2018 Project Closeout 2020
Progress report and explanation of variances	The TAPV project has achieved project objectives, notably: As of March 2018, 434 of 500 vehicles were delivered: Initial Operational Capability achieved in August 2017; and In May 2017, TAPVs were effectively used to respond to flooding in Quebec as part of Operation LENTUS. Scope: The project is on track to deliver the 2012 approved scope. Cost: The project is within its 2012 approved budget. Schedule: In August 2014, a first round of testing identified design challenges associated with reliability. The project returned to the contract design phase in order to allow the complex, inter-related designs for the vehicle’s structure, suspension and steering to be improved. A second round of reliability testing was successful, and qualification activities were completed by June 2016. The project has experienced a delay of over two years against the 2012 approved schedule, primarily as a result of the need to return to the design phase following identification of the design challenges. The schedule is now progressing as planned. Year-End Results: In the Fiscal Year 2017-18, initial operational capability was achieved in August 2017 and the training serials for operators and technicians were completed. The TAPV project took delivery of 434 of 500 vehicles.

Project name	TANK REPLACEMENT PROJECT
Description	The objective of the Tank Replacement Project (TRP) is to acquire a Leopard 2 Main Battle Tank (MBT) capability to replace the Leopard 1 MBT fleet. The acquisition will provide the CAF with a modern, heavily protected, mobile, direct fire support capability. The TRP is divided into two phases. Replaced Canada's aging Leopard 1C2 MBT and ARV with a modern, highly protected and mobile, direct fire support capability.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The TRP has the following project outcomes, in two phases: Phase 1 Borrow 20 Leopard 2 A6M Main Battle Tanks (MBTs), two Armoured Recovery Vehicles (ARVs), and logistics support from the German Government for immediate deployment to Afghanistan; and Acquire 100 surplus Leopard 2 MBTs from the Netherlands Government. Phase 2 Acquire 20 Leopard 2 A6M - Operational MBTs equipped with the L55 Gun, additional mine protection, and slat armor systems; Acquire 20 Leopard 2 A4M - Operational MBTs equipped with the L44 Gun, mine protection, slat armor, and all around add-on armor systems; Acquire 42 Leopard 2 A4 - MBTs primarily used for training, equipped with the L44 Gun and basic protection; Acquire 8 Leopard 2 Armoured Recovery Vehicles (ARV); Provide 4 Leopard 2 MBTs to the FME project for conversion to Leopard 2 ARVs; Provide 6 Leopard 2 MBTs to the FME project for conversion to Leopard 2 Armoured Engineer Vehicles (AEV); and Acquire appropriate ammunition, parts and special maintenance tools and training. This capability is being delivered to the Canadian Army (CA).
Industrial benefits	Canada’s Industrial and Regional Benefits (IRB) Policy applies to solely Phase Two of this project. Canada will receive IRBs equivalent to 100% of the contracted value for both the acquisitions and In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractors	Phase 1 MBT and ARV loan: German Ministry of Defence (MoD) MBT upgrades: Krauss Maffei Wegmann (KMW), Germany ARV upgrades: Rheinmetall Land System (RLS), Germany MBT purchase: Netherlands Government Phase 2 Convert 20 to Leopard 2 A4M: KMW, Germany Convert 20 to Leopard 2 A6M: KMW, Germany Repair 42 Leopard 2 A4: Rheinmetall Canada Inc. – Saint-Jean-sur-Richelieu, Quebec, Canada Acquire eight Leopard 2 ARVs: RLS, Germany and Rheinmetall Canada Inc. – Saint-Jean-sur-Richelieu, Quebec, Canada Integrated Logistics Support (ILS) – Ammunition: General Dynamics Ordnance and Tactical Systems – Le Gardeur, Quebec, Canada ILS – Simulators: Rheinmetall Defence Electronics, Germany ILS – Special Tools and Test Equipment: Several manufacturers (11 Contracts) ILS – Initial Provisioning of Spare Parts: Phase One, several manufacturers (11 Contracts) - Phase Two, several manufacturers (Five contracts) Sub-Calibre Training Devices: KMW, Germany A4M Upgrade: KMW, Germany
Major subcontractors	N/A
Project phase	Implementation June 2009 Closeout (expected) December 2017
Major milestones	Project Approval (Definition) March 2007 First Equipment Delivery May 2007 Initial Operational Capability (IOC) August 2007 Revised Project Approval (Definition) June 2008 Project Approval (Implementation) June 2009 Final Delivery ARV June 2015 Final Delivery 2A4M December 2016 Full Operational Capability (FOC) September 2017 Effective Project Closeout December 2017 Project Closeout December 2018
Progress report and explanation of variances	The TRP has achieved project objectives, notably: All 82 Leopard 2 A4, A4M and A6M MBT and the first eight Leopard 2 ARVs funded by the TRP project have been delivered; Four ARVs funded by the Force Mobility Enhancement project have also been delivered; and A4M Upgrade is complete for all 20 vehicles; Scope: The project is on track to deliver the 2009 approved scope. Cost: Costs continue to be tightly managed within the cost ceiling in accordance with the core deliverables and prioritized activities. The project is within the 2009 approved budget. Schedule: The project is behind the schedule established in the 2009 Project Approval (Implementation). The Senior Review Board (SRB) at its meeting in February 2017 approved the use of Effective Project Closeout in December 2017 with formal Project Closeout in December 2018 in order to receive final delivery for Integrated Logistics Support requirements. Year-End Results: In the Fiscal Year 2017-18, the project achieved Effective Project Closeout status.

Project name	UNDERWATER WARFARE SUITE UPGRADE
Description	The objective of the Underwater Warfare Suite Upgrade (UWSU) project is to upgrade the underwater warfare sensor suite currently installed in the Halifax-class frigates. The work will address deficiencies, improve ship underwater sensor performance in the challenging littoral environment and provide a system design to enable continual improvement in a cost-effective manner, to modernize the underwater warfare sensor suite that is currently installed on the Halifax Class frigates. The UWSU project will improve the performance of the underwater sensors through the upgrade and/or replacement of the components of the underwater warfare sensor suite. The UWSU In-Service Support Contract (ISSC) will provide long-term, full-spectrum support to the UWSU systems.
Project outcomes	This project contributes to the Program Alignment Architecture (PAA) Strategic Outcome: Defence Remains Continually Prepared to Deliver National Defence and Defence Services in Alignment with Canadian Interests and Values. The UWSU project has the following project outcomes: Acquire six full-up ship-sets that will include a new passive array and low frequency active towed sonar, a new sonobuoy processing system, an upgrade to the hull mounted sonar and a new active intercept capability; and Fit all twelve Halifax-class ships with the required infrastructure to allow for the transfer of equipment and sensors between ships as required for operational requirements if all equipment upgrades are not permanently fitted on all ships. This capability will be delivered to the Royal Canadian Navy.
Industrial benefits	The Industrial and Technological Benefits (ITB) Policy of Canada’s Defence Procurement Strategy (DPS) applies to this project. Canada will receive ITBs equivalent of 100% of the contracted value for both the acquisition and In-Service Support.
Sponsoring department	Department of National Defence (DND)
Contracting authority	Public Services and Procurement Canada (PSPC)
Participating departments	Innovation, Science and Economic Development Canada (ISED) and its regional agencies
Prime contractor	To be determined (TBD)
Major subcontractors	N/A
Prime contractor (In-Service Support)	TBD
Project phase	Definition May 2015 Implementation (expected) June 2018
Major milestones	Project Approval (Definition) May 2015 Issue of Request for Proposal (RFP) April 2017 Project Approval (Implementation) June 2018 Contract Award July 2018 Initial Operational Capability 2022 Full Operational Capability 2027 Project Closeout 2027
Progress report and explanation of variances	The UWSU project is achieving project objectives, notably: Request for Proposal was posted in April 2017; Bid Evaluation completed in November 2017; and Treasury Board implementation approval expected June 2018. Scope: The project is on track to deliver the May 2015 approved scope. Cost: The definition phase expenditures remain within the definition phase authorized budget. Schedule: Milestone dates reflect substantive schedule estimates incorporating the impact of delays for definition and implementation approvals, plus also for installations within the Halifax-class docking work period program. Year-End Results: In the Fiscal Year 2017-18, the project completed the bulk of remaining required definition phase activities and progressed through significant program steps towards implementation approval.

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Date modified:: 2020-03-04