Boeing [BA] this week was awarded a $185 million firm-fixed-price performance based logistics (PBL) contract for services in support of CH-47 Chinook helicopters and rotor blades.
A PBL contract is expected to save the government money.
“Based on the negotiated contract value, Boeing projects that the Chinook Rotorblade PBL program will save the U.S. Army between 16 percent and 19 percent over the current transactional support model,” Raymond Haddad, director, Chinook Rotorcraft Support, told Defense Daily. The work includes rotorblades for the entire U.S. Army Chinook fleet.
This is the company’s first PBL Chinook contract with the Army, and the contract reflects the company’s focus on “affordable readiness,” as customers continue to demand available flying hours and readiness, Haddad has said in the past (Defense Daily, Sept. 10).
“Rotorblades were chosen because they have been a historical readiness challenge since the start of Overseas Contingency Operations,” Haddad said.”In addition, they are a cost driver in the sustainment of the Chinook fleet.”
Additionally, the contract will cover other services.
“The initial BPBL is for all elements of supply chain management, spare deliveries, and repair and overhaul for Chinook rotorblades, he said. “Boeing is working with the Army to evaluate the addition of other Chinook components to the program.”