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Old 12-30-2011, 01:12 AM  
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US inks $30b arms deal with Saudi Arabia

THE US has announced the signing of a $30 billion arms deal to provide Saudi Arabia with 84 new fighter jets, a move it said sent a "strong message" to the Gulf region.

The announcement came with tensions between Iran and the US on the rise after Tehran threatened to close the Strait of Hormuz to oil tankers if Washington implements a new raft of sanctions over its nuclear program.

The $29.4 billion deal, which was signed on Saturday in Riyadh, will supply 84 new Boeing F-15SA aircraft, modernize 70 existing planes, and also includes munitions, spare parts, training and maintenance contracts, US officials said.

"This sale will send a strong message to countries in the region that the United States is committed to stability in the Gulf and broader Middle East," senior State Department official Andrew Shapiro told reporters in Washington.

http://www.theaustralian.com.au/news...-1226233304330
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