Wednesday, April 4, 2018

United States Awards Boeing $1.2B For Fighter Jets For Kuwait

Law360 (March 30, 2018, 8:37 PM EDT) -- The Boeing Co. has been awarded a pair of contracts by the U.S. Navy related to the company's F/A-18 fighter jets, including one involving the sale of 28 Super Hornet variants to Kuwait, the Department of Defense announced Friday.

For the larger of the awards, which have a maximum value of $1.165 billion, St. Louis-based Boeing will provide engineering needed to develop a baseline configuration for the production and delivery of 22 single-seat F/A-18E and six tandem-seat F/A-18F Super Hornets that will be sold to the government of Kuwait, according to the announcement

The contract, which is expected to be completed in September 2022, also calls for radar warning receivers and aircraft armament equipment.

Nearly half of the work is planned for Hazelwood, Missouri, with significant portions to be performed in Goleta and El Segundo, California, and smaller segments at various facilities in Texas, Minnesota, Arizona, Florida, New York, New Jersey and Oklahoma.

The contract requires $275.9 million in foreign military sales funds to be paid at the time of the award; none of which will expire at the end of the fiscal year. The contract, which was authorized by the Naval Air Systems Command in Patuxent River, Maryland, was not competitively procured, according to the announcement.

The second contract, which has a maximum value of nearly $430 million, is for planned maintenance interval-1 high flight hour depot support work on F/A-18 fighter jets for the U.S. Navy.

The program, which involves disassembly of the aircraft to identify fatigue issues in the airframe, was started in 2006 with the goal of safely extending the life of legacy Hornets beyond their intended 6,000 flight hours, according to the U.S. Navy's Fleet Readiness Center Southwest's Almanac publication.

The contract, which has a five-year term, is a firm-fixed-price deliver order, which means it is not subject to cost adjustments and Boeing assumes full responsibility for all costs and any profit or loss.

Work will be performed for the Navy in Missouri, California, Florida and North Carolina, with an end date of March 29, 2023.

The contract was authorized by Defense Logistics Agency Aviation in Philadelphia making use of appropriations of defense working capital funds from fiscal 2018 through 2023.

The F/A-18 Hornet is a twin-engine, multirole combat jet used by the Navy and Marines. It was originally designed by McDonnell Douglas, which merged with Boeing in 1997, and first saw combat action in the U.S. bombing of Libya in 1986. The F/A-18 E/F Super Hornet is a larger redesign of the original Hornet.

Original article can be found here ➤ https://www.law360.com

No comments: