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DLA Exercises $81M Option on Boeing’s Aircraft Repair Parts Supply Contract

The Defense Logistics Agency has awarded Boeing’s (NYSE: BA) logistics services unit a potential $81M contract modification exercising a three-year option under an aircraft maintenance support contract issued in 2016.

Boeing Distribution Services Defense will help manage supply chain operations for hardware intended for the maintenance, overhaul and repair of aviation systems as part of the award, the Department of Defense said Wednesday.

DLA Troop Support will obligate fiscal 2020 through 2023 defense working capital funds for the indefinite-quantity modification.

Contract work will take place in Missouri and Texas through July 31, 2023.

Herndon Products, a Herndon Aerospace & Defense business, secured the original $108M contract before rebranding as KLX Aerospace Solutions Defense in 2017.

Boeing completed its $3.2B acquisition of KLX a year later.

Headquartered in Miami, Boeing Distribution is comprised of over 2.3K personnel in 65 locations that handle end-to-end logistics support for airline, original equipment manufacturer and maintenance, repair and operating supply items.

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