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Boeing wins Air Force tanker contract

February 25, 2011
By H. Mosher

The Boeing Co. has won a $35 billion contract to replace the U.S. Air Force's aging KC-135 aerial tanker fleet. Boeing will first receive $3.5 billion for engineering, manufacturing and development and 4 initial planes. The contract is for 179 of the new KC-46A tankers, with the first 18 to delivered by 2017; if the Air Force orders more, the amount of the contract award could range up toward $100 billion. The hotly contested contract has been in the works for nearly a decade; rival European Aeronautic Defence and Space Co. (EADS) may appeal the award.

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