Contract offers growth for Boeing (DOK)
USAF Picks Boeing Over Pemco For KC-135 PDM
Aviation Now | 9/11/2007
By Ja’Rena Lunsford
Business Writer
After two years of waiting, the Boeing Co. was awarded a $1.1 billion contract from the U.S. Air Force that will involve work in Oklahoma City.
The 10-year contract will continue Boeing's maintenance work on the KC-135 aircraft, strengthening the company's presence in Oklahoma.
"This means we will be able to continue to grow our company in Oklahoma City,” said Ben T. Robinson, KC-135 program director.
Boeing began working on securing the contract two years ago and expected to learn the results a year and a half ago. Robinson said although word on the contract did not come as soon as Boeing expected, executives are pleased the company was chosen. "We deeply appreciate the confidence the U.S. Air Force has shown in the Boeing Co.,” he said.
Boeing is no stranger to the KC-135. Along with building the aerial refueling aircraft more than 50 years ago, Boeing has been under contract to provide depot maintenance on the Air Force's fleet of more than 200 KC-135s since 1998.
"Always on time, the Boeing KC-135 (programmed depot maintenance) program has a solid track record with proven results,” Pat Finneran said in a statement. Finneran is president of Boeing Support Systems.
Boeing's program depot maintenance program management office is in Oklahoma City, near Tinker Air Force Base. The company has 80 employees in Oklahoma, 75 in Missouri and 300 in San Antonio, Texas.
Robinson said although the contract does not necessarily mean Boeing will add employees in Oklahoma City, the deal does result in job security for current employees.
"It certainly means we won't be losing any people,” Robinson said.
The contract also is a sign that the Air Force won't be losing the aging KC-135 anytime soon, Robinson said. Boeing plans on modifying the plane. Although the KC-X is expected to eventually phase out the KC-135, Robinson said the latter still has many years of flight left.
"There's no reason it can't be around another 30 to 35 years,” he said. Robinson said he expects Boeing to be along side the KC-135 during those years as well.
"Boeing built this airplane and we have a tremendous amount of pride in it,” he said. "We will never step away from it. We will be there until the day they retire this aircraft.”
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