State Department OKs Potential $4B Sale of AH-64E Apache Helicopters to Kuwait

The State Department has approved Kuwait’s request to buy Boeing-built (NYSE: BA) AH-64E Apache helicopters, related equipment and services under a potential $4B foreign military sales agreement.

The FMS transaction includes the procurement of eight new Apaches and 16 remanufactured helicopter units, engines, AN/AAR-57 counter missile warning systems, embedded GPS systems with inertial navigation, M299 AGM-114 Hellfire missile launchers, Hydra 70 M260 rocket launchers and related weapons systems, the Defense Security Cooperation Agency said Tuesday.

Boeing, Lockheed Martin (NYSE: LMT), General Electric (NYSE: GE), Raytheon Technologies (NYSE: RTX) and Longbow, a joint venture of Lockheed and Northrop Grumman (NYSE: NOC), will serve as principal contractors in the proposed sale, which will provide Kuwait with closed air support, antitank warfare mission and armed reconnaissance capabilities to counter existing and future threats.

The agreement also covers training devices, simulators, tools and test equipment, technical services, spare and repair parts, contractor and government engineering, transportation and logistics support. The potential sale includes the deployment of five contractor representatives and three government personnel to Kuwait to support helicopter delivery and equipment familiarization efforts.

The Middle Eastern country also requested the creation of a technical assistance fielding team of 12 personnel to conduct in-country pilot and maintenance training over a three-year period.

DSCA said it notified Congress of the proposed sale Tuesday.

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