News Jan 05, 2016 08:10 PM EST

Boeing bags $855-mn contract for T-38C logistics support

By Staff Writer

Boeing Co. has won a contract for providing avionic component integration and contractor logistics support for T-38C aircraft. The Pentagon said that the contract was worth $855 million. The works on the contract are scheduled for completion by January 2026. 

The US Air Force is using T-38C training jets for training pilots. Boeing's rival Northrop Grumman built the single-engine supersonic jets. Now, with the latest contract, Boeing will support the existing fleet of T-38C training jets for 10 years.

Reuters reports that the Department of Defense had received two offers bidding for the contract. However, the Department of Defense didn't name the companies, which made the bid offers. The $855-million worth contract is expected to be completed by January 2026, as the department mentioned in its daily digest of contract awards.

The US Air Force has been using this T-38C Talon jet trainer since 1961. The location of performance is St. Louis, Missouri. Air Force and Navy bases are located in Texas, Mississippi, Maryland, and Oklahoma, according to a statement from the US Air Force. 

The US Air Force has awarded the $855-million contract to Boeing for avionics and logistics support, as reported by Sputnik International. Boeing will extend the support on logistics for Northrop T-38C Talon jet trainer. The Northrop T-38 Talon is a two-seat, twin-engine supersonic jet trainer.  

The T-38C features upgrades from the production model of the aircraft originally operated by the US Air Force. Most of the contract work will be carried out at Boeing facilities in St. Louis. Some of the works will also be done at US Air Forces and Navy bases in Texas, Mississippi, Maryland and Oklahoma. 

As part of the contract, Boeing will take up the avionics component integration and contractor logistics support, according to Seeking Alpha. T-38C supersonic trainer aircraft features get upgrades under the new project. Boeing beat another bidder, who was not identified, in bagging the contract. Boeing is likely to stay current in the trainer category. The contract will help Boeing offer a competitive bid for the T-X trainer, which is expected to replace T-38C jets. 

Boeing as part of the contract will integrate components, upgrading and maintaining the avionics in the jets. Boeing will also extend contractor logistics support. Boeing has started working on a design in association with Sweden-based Saab. The trainer market is important for Boeing. The contract enables Boeing to stay active in the training segment. Recently Boeing lost the long-range-strike bomber contract to Northrop Grumman in October 2015.


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