US Army Signs Second Multi-Year Contract For Apache Production
The United States Army announced March 17 that it had awarded Boeing a multi-year contract for the purchase of up to 184 AH-64E Apache attack helicopters.
The $1.9 billion contract is the second multi-year deal signed for Army Apache procurement, following the first one signed in 2017. Under the contract, Boeing will remanufacture 115 of the Army’s Apaches to AH-64E specification, with an option for an additional 15 Apaches. According to the Army, the multi-year deal saves $213 million compared to annual contracts, due to the five-year contract providing stable and known requirements for contractors.
An additional 54 Apaches will be built under the contract for foreign nations that have purchased Apaches through the Foreign Military Sales program. According to Boeing, the Apaches being built for export include the first Apaches being built for the Australian Army. “We are enhancing the U.S. Army’s attack fleet, while supporting additional partner nations and welcoming our newest Apache customer, the Australian Army,” said Christina Upah, vice president of Attack Helicopter Programs and senior Boeing Mesa site executive in the Boeing press release announcing the contract. “This contract highlights the need for Apaches worldwide.”
“This multi-year contract is critical for the warfighter and the entire Apache team,” said Col. John (Jay) Maher, U.S. Army Apache project manager. “It demonstrates the Army’s commitment to continue putting unmatched capability into the hands of our nation’s finest, while providing stability and predictability for the outstanding citizens and companies that pour their talent into producing the best attack helicopter in the world.”
The announcement comes two weeks after the display of a US Army AH-64E at the Australian International Airshow in Avalon, Victoria, with Boeing and Australian Defence signing an agreement to use Australian-made components in the Australian Apaches and all Apaches going forwards. Prior to its arrival in Avalon, the Apache participated in landing and deck trials aboard the HMAS Canberra while the landing helicopter dock was alongside at Fleet Base East in Sydney.