Double win for Boeing: new contracts for P-8A Poseidon and KC-46A Pegasus

Gastón Dubois

P-8A Poseidon

The U.S. Navy awarded Boeing a $1.6 billion contract for the procurement of seven P-8A Poseidon multi-mission maritime patrol aircraft.

The new P-8A aircraft order arises from the modification of the original fixed-price, non-fixed-fixed-fee contract with the U.S. Navy. This modification, valued at USD 1,677,228,007, provides for the acquisition of seven P-8A Poseidon aircraft from Lot 13, which will be added to the US Navy’s maritime patrol fleet, and also includes the acquisition of non-recurring engineering (NRE) specific to foreign military sales.

In addition, the modification updates the maximum prices of the P-8A aircraft of Lot 13 previously awarded to the governments of Canada and Germany to reflect the revised costs. It also adjusts the prices of the common engineering NRE linked to these agreements.

The contract, which was not subject to a competitive process, will be funded with U.S. Navy FY 2024 aircraft acquisition program funds in the initial amount of USD 695,872,899, which will be obligated at the time of award, with these funds not expiring at the end of the current fiscal year.

More KC-46A Pegasus

In parallel, Boeing announced Nov. 21 the award of a USD 2.38 billion contract for the construction of 15 additional KC-46A Pegasus tanker aircrafts, awarded by the U.S. Air Force under Lot 11. With this new agreement, Boeing brings the total number of KC-46A aircraft under contract globally to 168, bolstering multi-mission aerial refueling capability for the Joint Force and its allies.

Boeing KC-46 Pegasus

Lynn Fox, vice president and KC-46 program manager, highlighted the importance of this contract by stating, “We appreciate our continued partnership with the U.S. Air Force. This is a major milestone for our team, and we look forward to continuing to deliver the world’s most advanced multi-mission tankers for years to come.”

Since 2019, Boeing has delivered 89 units of the KC-46A to the U.S. Air Force and four to the Japan Air Self-Defense Force.

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