France to pay Russia under $1.2 billion over warships
France have agreed to reimburse Russia for cancelling two warship contracts. The final bill is expected to be in the region of 1.2 billion euros.
Speaking on RTL radio, French Defence Minister Jean-Yves Le Drian said "Talks between President Putin and President Francois Hollande have concluded yesterday. There is no further dispute on the matter," he said.
He added that the discussions had been held in an amiable way and that there were no further penalties to pay over the contract, which was cancelled because of Russia's role in the Ukraine conflict.
"Russia will be reimbursed euro for euro for the financial commitments taken for these ships," he said, adding that the ships are now fully owned by the French state.
In exchange for the reimbursements, France will have full freedom to do whatever it wants with the two undelivered vessels, which contain some Russian technology, according to statements from Hollande's office and Russian President Vladimir Putin on Wednesday.
France have agreed to reimburse Russia for cancelling two warship contracts. The final bill is expected to be in the region of 1.2 billion euros.
Speaking on RTL radio, French Defence Minister Jean-Yves Le Drian said "Talks between President Putin and President Francois Hollande have concluded yesterday. There is no further dispute on the matter," he said.
He added that the discussions had been held in an amiable way and that there were no further penalties to pay over the contract, which was cancelled because of Russia's role in the Ukraine conflict.
"Russia will be reimbursed euro for euro for the financial commitments taken for these ships," he said, adding that the ships are now fully owned by the French state.
In exchange for the reimbursements, France will have full freedom to do whatever it wants with the two undelivered vessels, which contain some Russian technology, according to statements from Hollande's office and Russian President Vladimir Putin on Wednesday.