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Air Force to Raise CADDIE C-130J Procurement Contract’s Ceiling to $25B

The U.S. Air Force has announced its intent to add another $10 billion to the ceiling value of a potential five-year, $15 billion contract for the development and integration of the Lockheed Martin-built C-130J military transport aircraft.

In a Jan. 31 notice published on SAM.gov, the Air Force Life Cycle Management Center’s Mobility Directorate said it will also add another five years to the ordering period of the C-130J Combined Aircraft Delivery, Development, Integration and Engineering, or CADDIE, contract.

The service branch expects the contract modification to be awarded by July.

According to the notice, individual delivery orders will not exceed five years of performance.

CADDIE Contract Scope

Through the CADDIE contract, the Air Force procures C-130J and C-130J derivative aircraft, related support equipment, technical and engineering data and spare parts from the vendor. 

The acquisition vehicle also includes training, worldwide logistics and deployment support, analysis, study, planning, design, development, prototype, qualification, test, draft modification instructions, supporting operational and maintenance publication updates, trial kit installation and programmatic documentation support for C130-J system development upgrades.

The contract, which was awarded in July 2020 on a sole-source basis, provides the military branch the capability to buy additional aircraft using yearly options to cover the requirements of various users.

The Air Force can also use the CADDIE program to advance continual aircraft improvement in several areas, including software development, test and investigations; identification of impacts; request for proposal support; systems engineering; kit prototyping and flight testing of changes.

Contract Modification

The proposed contract action will include the installation of future capability hardware and software block upgrades to all deployed aircraft. 

The modification will also enable the service branch to back international interest through foreign military sales of the aircraft and related sustainment support.

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