Textron’s Bell Subsidiary Gets $815M Navy Contract for Helicopter Logistics Services

Jeff Brody

Textron's (NYSE: TXT) Bell subsidiary has secured a potential five-year, $815M contract to repair, update or replace 35 items for AH-1Z Viper and UH-1Y Venom helicopters.

Bell will help the service branch manage inventories, establish metrics for supply response time and provide  warehousing support under the performance-based logistics contract, the Department of Defense said Tuesday.

Both the helicopter platforms share common components that make up 85 percent of each unit, allowing for shared logistics services.

The Navy approached only one contractor for the non-competitive procurement effort and will obligate $163M in annual working capital funds for the initial deliver order.

Eighty percent of contract work will take place in Fort Worth, Texas, and the rest in Cherry Point, N.C.

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