Boeing, USAF extend C-17 sustainment partnership

Boeing will continue assuring the C-17 Globemaster III's worldwide mission readiness through a follow-on contract awarded by the U.S. Department of Defense, the company announced Wednesday.

The leading global aerospace company will resume supporting global fleet of 275 aircraft operated by the U.S. Air Force and eight global partners.

Boeing has been under contract for performance-based logistics (PBL) support of the C-17 fleet since 1998.

This new $3.5 billion Phase I award is expected to be ordered by the Air Force through 2024.

The contract is valued at up to $23.8 billion including potential options and incentives over ten years.  

“This PBL contract builds on more than two decades of successful C-17 sustainment, where Boeing has worked closely with the U.S. Air Force and global partners to maintain high mission-capability rates and continuously improve affordability,” the company said.

Under a PBL arrangement, a customer receives an agreed-to level of system readiness, as opposed to a traditional contract for specific spare parts and support services.

“This integrated logistics approach has allowed Boeing to apply innovative tools to maximize aircraft availability while lowering costs,” the company said, adding:

“Under the agreement, Boeing will continue performing critical sustainment activities, including engineering, field support, and material management, for the global fleet of 275 aircraft.”

The global C-17 fleet boasts best-in-class aircraft availability rates while operating as the strategic airlift workhorse for the U.S. Air Force and global partners.

In January 2020, the C-17 fleet became one of the fastest to achieve four million flight hours.

The United States, Australia, Canada, India, Kuwait, Qatar, the United Arab Emirates, the United Kingdom, and the 12-nation Strategic Airlift Capability all operate the C-17 Globemaster III.

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