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Tory minister says 'all options are on the table' for F-35 fighter jets

The Conservative cabinet minister in charge of buying military equipment says he is looking at all options when it comes to the F-35 stealth fighter jets.

"All options are on the table," Associate Defence Minister Julian Fantino said Friday. "We will manage the replacement of the CF-18 in a responsible fashion, and in a way that safeguards taxpayers' dollars."

The Tories have set aside $9 billion to replace the air force's aging CF-18 fighter-bombers.

Fantino said no contracts have been signed and no orders have been placed, giving Canada the flexibility to move ahead or behind in the line to buy the new aircraft, or buy more or fewer than the planned 65 planes.

The purchase price in any given year depends on how many other countries are placing orders.

The price tag has been the subject of furious debate in Parliament, with the Conservative government insisting it will pay roughly US $75 million per aircraft when it starts buying in 2016. Critics say the figure is low.

The U.S. and Britain signed contracts for the delivery of early-production aircraft at between US $140 million-$145 million each. Canadian officials have long insisted that the price will drop as the assembly line ramps up.

"I'm often asked why our budget for replacing our CF-18s has not increased, even as the estimated current costs of the F-35, before it reaches full production, has failed to decline as rapidly as predicted," Fantino said.

"The answer is simple: we have been prudent and responsible in our budgeting, and will continue to be so."

The price tag for the jets could determine how many Canada orders. But the junior defence minister wouldn't hazard a guess about how many jets will be bought.

"I'm not going to speculate. I'm going to tell you again that we have a $9-billion envelope," Fantino told reporters after a speech at a defence industry gathering.

"I've tried to explain what that means in terms of contingency that we have built in there. We're going to do the best we can with that amount to ensure that our men and women have the best equipment.

"So, numbers are off the table right now, other than the only one I can tell you for certain is the $9 billion."

The Conservatives say they still believe the high-tech jet is the best choice to replace the CF-18.

The new F-35 would not be delivered until sometime between 2017 and 2023.

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