Boeing Gets Potential $5.7B KC-46 Combat Capability IDIQ

Boeing (NYSE: BA) has received a potential 10-year, $5.70B contract to help the U.S. Air Force address combat capability requirements for the KC-46 Pegasus tanker.

The indefinite-delivery/indefinite-quantity contract covers a range of post-production air vehicle requirements directed by KC-46 operators and mandated by the Federal Aviation Administration, the Department of Defense said Monday.

Work will take place in Seattle through April 2029.

The Air Force will obligate $9.1M in fiscal 2018 research, development, test and evaluation funds for the first delivery order.

Boeing delivered the first two KC-46A tanker planes to the service branch in January.