Air Force Awards Boeing $250M Bomber Cruise Missile Integration IDIQ

Boeing (NYSE: BA) received a potential $250M indefinite-delivery/indefinite-quantity contract to help the U.S. Air Force integrate an air-launched cruise missile system on a multirole bomber aircraft.

The company will develop aircraft and missile carriage equipment needed for the integration of the Long Range Stand-Off missile technology with the Air Force’s B-52H platform, the Department of Defense said Wednesday.

DoD added the sole-source contract includes engineering, modification, software development, test and training support services.

The Air Force will obligate $6.3M in fiscal 2019 research and development funds at the time of award.

Contract work is expected to conclude on Dec. 31, 2024.

Lockheed Martin (LMT) and Raytheon (RTN) were awarded a $900M contract each in August 2017 to conduct technology maturation and risk reduction efforts for the LRSO program. The weapon system is meant to replace the AGM-86B cruise missile, which has been in service since the early 1980s.

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