The Boeing Air Force contract received a $13.4 billion ceiling increase to add foreign military sales work. Boeing (NYSE: BA) can now receive orders totaling up to $19.1 billion under the agreement, compared with the previous $5.7 billion ceiling.
The modification covers foreign military sales to Japan and Israel and can include additional partner countries in the future. Work will be performed in Seattle, Washington, and is expected to continue through April 28, 2035.
Boeing Air Force Contract Adds Foreign Military Sales Capacity
No funds were obligated when the modification was announced. A higher contract ceiling authorizes potential work but does not guarantee that the entire amount will be ordered, funded or recognized as revenue.
The award appears in the U.S. government’s official contract announcement service. The Air Force Life Cycle Management Center at Wright-Patterson Air Force Base in Ohio is the contracting activity.
The expanded Boeing Air Force contract creates a large, long-duration opportunity tied to allied defense procurement. Its eventual financial contribution will depend on individual orders, congressional appropriations, customer requirements, production schedules and Boeing’s ability to execute within cost and delivery targets.
