Boeing Awarded First Phase of $3bn C-17 Support Contract

6 October 2008 (Last Updated October 6th, 2008 18:30)

Boeing has been awarded the initial phase of a new three-year US Air Force contract to continue the C-17 Globemaster III sustainment partnership (GSP). Boeing has been awarded with $514m of the estimated $3bn performance-based logistics (PBL) contract. The PBL-style contract

Boeing has been awarded the initial phase of a new three-year US Air Force contract to continue the C-17 Globemaster III sustainment partnership (GSP).

Boeing has been awarded with $514m of the estimated $3bn performance-based logistics (PBL) contract.

The PBL-style contract allows customers to pay for a specified level of readiness versus individual parts or services.

Boeing won the contract after their proposal included significant cash per flight savings that will save the air force more than $200m over three years compared with the previous GSP contract.

Boeing will work closely with the US Air Force on the GSP programme to manage the C-17 sustainment activities, including field support, depot-level maintenance, supply-chain management, as well as aircraft modifications and upgrades.

International C-17 customers in the United Kingdom, Australia, Canada, Qatar and a consortium of Nato countries will also participate in the GSP programme.

Vice president of Boeing's Air Force Integrated Logistics division, Gus Urza said that the contract marked a new chapter in the GSP programme life.

"We remain committed to providing affordable world-class support. The C-17 has a critical mission, and we will do whatever it takes to ensure it succeeds," said Urza.

The C-17 Globemaster III is built by Boeing and is used for the rapid strategic delivery of troops and all cargo to main operating bases or directly to forward bases in the deployment area.

By Daniel Garrun.