India signed the agreement in February 2010 to purchase a dozen three-engine AW-101 helicopters from the Italian company for an elite squadron of the IndianAirForce which ferries around the president, the prime minister and other VIPs.
On Sunday The Jerusalem Post reported that the Pentagon has forced Israel Aerospace Industries to back out of a joint partnership with a Swedish aerospace company to compete in a multi-billion dollar tender to sell new multi-role fighters to the Indianairforce.
The Army and the AirForce both have pre-positioned equipment in the Indian Ocean at Diego Garcia, ready to respond to a crisis in the Persian Gulf region.