NH Industries Pays Norway €305 Million to End Litigation Over Canceled NH90 Maritime Helicopter Program

Norway and NHIndustries signed an out-of-court settlement on November 3 that ends litigation over Oslo’s canceled NH90 maritime helicopter program. Officials confirm the agreement includes €305 million in cash plus roughly €70 million previously drawn under bank guarantees. The Oslo District Court trial set for November 10 has been withdrawn.

A joint statement released through the court-led mediation reads, “This solution reflects the parties’ mutual agreement to bring all related disputes to a conclusive end.” According to industry sources, both legal teams judged a comprehensive deal less risky than arguing availability metrics and delivery milestones in open court. Norway had prepared to seek about €2.86 billion in damages that included refunds, sustainment costs, and a portion tied to replacement aircraft. NHIndustries and its shareholders had filed counterclaims.

The €305 million is a lump-sum payment to the state budget. The bank-guarantee funds were already executed during the contract period to offset shortfalls. With the accord in place, all claims and counterclaims tied to the 2022 termination close without further hearings.

Return And Redistribution Of Norwegian NH90 Helicopters

Norway will return all NH90 airframes along with spares, tools, and mission equipment. Title transfers to NHIndustries, which will fold the helicopters and parts back into the NH90 program supply system. The company intends to recover scarce components and route serviceable hardware to operators that need it. The joint statement notes NHIndustries “will assume full control over the recovered assets and reintegrate them within the NH90 program, making in-demand parts and equipment available to other users.”

Norway halted NH90 flying in 2022 and placed aircraft in storage at Bardufoss and other locations. Planning for the handback followed. Acceptance checks, inventories, and custody transfers now follow one framework. Norwegian crews and maintainers will support inspections and packing. National-specific software and crypto items remain a Norwegian responsibility and will not leave state custody.

Program officials say redistribution will move through standard airworthiness gates. Parts will require inspection and paperwork before use on another nation’s aircraft. Dynamic components, avionics line-replaceable units, and naval mission equipment are expected to draw early attention because lead times are long. Training organizations may take complete airframes for ground instruction, fatigue testing, or systems trials, which can ease pressure on front-line squadrons.

Background On The 2022 Termination And Legal Claims

Norway ordered 14 NH90s in 2001 for frigate anti-submarine warfare and Coast Guard duties. Deliveries ran years behind the early schedule, with the first acceptance in 2011. Fleet availability stayed below requirements for naval deployments and for Coast Guard coverage despite extra spending on spares and maintenance. A military review concluded the fleet could not deliver the flight hours the services needed.

On June 10, 2022, the government canceled the program and grounded the type. Then-Defence Minister Bjørn Arild Gram said in the ministry’s notice, “Regrettably we have reached the conclusion that no matter how many hours our technicians work, and how many parts we order, it will never make the NH90 capable of meeting the requirements of the Norwegian Armed Forces.” The cancellation triggered a refund demand of about NOK 5 billion already paid, plus interest and other costs.

Norway’s later damages filing rose to roughly €2.86 billion and bundled several elements including refunds, the cost of sustaining the fleet during poor availability, and a portion allocated to replacement aircraft. NHIndustries and its parent companies contested the termination and advanced their own claims. Both sides built technical cases around delivery obligations, configuration changes, and maritime operating conditions. The settlement ends that process before witnesses and expert reports reach the courtroom.

Follow-On Seahawk Purchase And The Outlook For NH90 Users

Norway has already moved to fill the gap by approving six MH-60R Seahawks in 2023 through the US Navy program. Contract notices indicate deliveries will be completed by 2027. Defense officials confirm the phasing keeps frigate coverage intact and crews will transition in step. The package includes spares, support, and training, and it ties Norway into a larger global sustainment base. Norway still fields AW101 for search-and-rescue and Bell 412 in other roles, so rotary-wing support remains split across several types.

The NH90 program continues across multiple countries. An upgrade package commonly described as Block 1 or Software Release 3 is under way to modernize communications, sensors, and computing. A support extension agreed with the NATO Helicopter Management Agency is intended to carry fleets deeper into service life. Those commitments do not change with Oslo’s settlement. The handback opens a channel to recycle airworthy hardware into active fleets once inspections clear.

Program officials note that compatibility will track by standard and software. The NFH variant’s naval interfaces such as deck-lock systems, blade fold kits, and maritime radars mean some items will need checks or limited rework. Many high-value parts remain usable across blocks after recertification. National airworthiness authorities will clear reuse item by item.

According to industry sources, the most strained lines involve certain transmissions, avionics units, and specialized naval mission equipment with low vendor throughput. Extra stock could shorten wait times and improve depot turnaround, especially where swap-in parts allow aircraft to return to service faster than deeper repairs finish.

The settlement also removes the risk of an extended public trial on engineering data and flight reliability. That avoids copy-cat litigation and keeps technical disputes within program channels. Messaging around future sales remains restrained. Company leaders have pointed to interest in regions that need shipborne helicopters, but new orders will depend on field performance and sustainment delivery rather than press statements.

Operational Effects

Reintegrated Norwegian stock will enter the pool only after inspection, documentation checks, and any required recertification. Items with national coding or sensitive software will be removed or neutralized before transfer. Some airframes may serve best for ground instruction or test work rather than returning to front-line flying. Operators should expect the program to publish redistribution guidance after initial assessments. National authorities will clear items case by case.

Ship detachments measure success in deck time and sortie generation. A gearbox or mission computer available now can return a helicopter to tasking faster than new production can. That is where the handback carries near-term value for current users, even without new airframes entering service.

Our analysis shows the cash-plus-return structure gives Norway budgeting certainty and releases personnel from preservation work. NHIndustries regains assets that can support supply chains and ongoing upgrades across the existing user base. The trade balances trial risk and time value. Cash now for Oslo. Hardware and program stability for the manufacturer.

REFERENCE SOURCES

https://www.nhindustries.com/settlement-concerning-the-norwegian-nh90-program/

https://www.reuters.com/business/aerospace-defense/norway-reaches-settlement-with-airbus-led-nhindustries-nh90-helicopter-case-2025-11-03/

https://www.reuters.com/business/aerospace-defense/norway-settle-3-billion-nh90-helicopter-claim-sources-say-2025-11-03/

https://www.regjeringen.no/en/whatsnew/news-and-press-releases/id2006120/

https://www.forsvaretsforum.no/helikopter-luftforsvaret-nh90/nh90-helikopterne-regjeringen-har-inngatt-forlik/465502

https://www.aftenposten.no/norge/i/8q3bBW/helikopter-skandalen-norge-faar-35-milliarder-kroner-i-forlik

https://breakingdefense.com/2025/11/nh-industries-to-pay-norway-432m-settlement-to-end-nh-90-helicopter-contract-dispute/

https://aviationweek.com/defense/aircraft-propulsion/nhindustries-settles-norwegian-nh90-dispute-out-court

https://www.regjeringen.no/en/aktuelt/norge-leverer-tilbake-nh90-helikopteret/id2918079/

https://www.defensedaily.com/lockheed-martin-wins-365-million-order-for-six-mh-60r-seahawk-helos/navy-usmc/
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