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Thursday March 30, 2000

U.S. Army, Boeing Sign $15 Million Long-Lead Apache Contract

MESA, Arizona, USA ( Boeing Company Press Release ) - The U.S. Army and The Boeing Company have signed a $15 million contract for long-lead materials to be used on a proposed multi-year procurement of AH-64D Apache Longbow helicopters.

Boeing is in the third year of its first five-year, multi-year contract with the Army to remanufacture 232 AH-64A Apaches into the next-generation Apache Longbow, the most advanced multi-role combat helicopter ever fielded.

The U.S. Army is negotiating with Boeing for the remanufacture of 298 Apache Longbows for fiscal years 2001 through 2006, which would be the second five-year, multi-year procurement.

To ensure uninterrupted aircraft production, the U.S. Army typically orders long-lead items, which take longer to fabricate or assemble, before the final contract is signed.

The second multi-year contract, which includes the aircraft, spare parts, support services, training devices and a variety of items designed to enhance aircraft performance, is valued at an estimated $2.3 billion. The contract is expected to be signed in April 2000.

More than 120 remanufactured Apache Longbows have been produced and two combat-ready Apache Longbow units are in service with the U.S. Army.

AH-64Ds also are the choice of a growing number of international customers, including the Netherlands, the United Kingdom, Singapore and Israel.

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