Thank you for the question. I think the best example, as you have pointed out, is to be found in the helicopters chapter, where we noted that both the MHP and the Chinook helicopter acquisitions involved certain levels of development. Neither of these aircraft could be called “off the shelf”. With the MHP in particular, if you look at the sort of range between off the shelf and completely developmental, it's really very close to developmental because it will result in essentially a new helicopter.
While there are off-the-shelf variants of the Chinook helicopter available, the one that Canada is acquiring has been Canadianized and as a result involves significant development. It will result in about $350 million being paid for non-recurring engineering costs. The risk related to this is that with any developmental project that involves complex equipment like helicopters and the technology that goes into it—all the black boxes, so to speak, and the self-defence suite of equipment that goes with it—it becomes very difficult. It's a complex undertaking.
It requires a concerted effort on the part of both the department and the manufacturer to come together to try to deliver this on time. The risks really are time, technology, and cost. So there are three main risks, and when you have developmental projects, each of those three risks is likely to be high.