Boeing Wins $668M Army Deal for Apache Helicopters

The Boeing Co. has won an undefined fixed-price-incentive contract for foreign military sales (“FMS”) to Qatar, worth $667.5 million, from the U.S. Army. Contracting activity is the Army Contracting Command, Redstone Arsenal, AL.

Per the contract, Boeing will provide 24 AH-64E Apache helicopters, one Longbow crew trainer, equipment for ground support, and Thales radios.

Work is scheduled to be complete by May 31, 2020 and will be executed in Mesa, AZ.
Boeing’s Apache, with a cruising speed of 279 kilometers (over 150 knots) per hour, is a twin-engine, four-bladed, two-pilot, multi-role combat helicopter that secured high ratings for engine competency and weapons load. Apache has also been noted for its target acquisition potential.

The Longbow Crew Trainer is the main focus of training for the AH-64 Apache helicopters. Pilots and other personnel use this high-fidelity flight simulator to practice aircraft procedures and prepare for missions.

We note that Boeing witnesses a steady flow of contracts from the U.S. DoD. The company is one of the major players in the defense business. Its defense business stands out among its peers by virtue of its broadly diversified programs, strong order bookings and order backlog.

Internationally, the company is witnessing strong demand for its defense products. In a volatile budget environment, rising FMS contracts are more than welcome. In 2015, non-U.S. customers accounted for approximately 59% of Boeing’s revenues.

International demand remains strong, accounting for 37% of the first quarter 2016 backlog and 37% of its quarterly Boeing Defense, Space & Security (BDS) revenue.


Written by Sergi Roca

Sergi Roca is Industrial Engineer and a Supply Chain Management Expert

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