Boeing, USAF Finalize Deal for Two E-7A AEW&C Prototypes

] - Boeing [NYSE: BA] has been awarded a $2.56 billion contract from the U.S. Air Force for two rapid prototype E-7A AEW&C Wedgetail aircraft. The contract includes lifecycle development, training and support for the Air Force's E-7A fleet.

The combat-proven E-7A Wedgetail provides targeted tracking and battle management command-and-control capabilities to joint forces for "first to detect, first to engage" advantage. The E-7 AEW&C platform is currently in service with the Royal Australian Air Force, Republic of Korea Air Force (designated E-737 Peace Eye) and Turkish Air Force (designated E-7T Peace Eagle).

"Global operators are proving that the E-7 AEW&C is a critical node for air superiority in the modern battlespace," said Boeing Vice President and E-7 Program Manager Stu Voboril. "In our partnership with the U.S. Air Force, we're focused on stable, predictable execution to deliver crucial mission-ready capabilities today. This will put us on the path for the long-term growth of the aircraft and mission."

Built on the Boeing 737-700 NG airframe, the E-7 AEW&C aircraft offers lower operating and sustainment costs, higher mission readiness rates and unmatched interoperability among a growing global user community.

"Our customers have an urgent need for integrated battlespace awareness and battle management," said Dan Gillian, vice president and general manager of Boeing Defense, Space & Security's Mobility, Surveillance & Bombers division. "The E-7A is the airspace lynchpin to continuously scan the skies, command and control the battlespace, and integrate all-domain data providing a decisive advantage against threats. With our open systems architecture approach, capabilities can be rapidly inserted over time as threats evolve."

In addition to the rapid prototype E-7A AEW&C aircraft being built for the U.S. Air Force, Boeing is currently producing three E-7As for the Royal Air Force, with military modifications underway in the United Kingdom. Additionally, NATO has selected the E-7A as its preferred AEW&C solution.

Together, the Royal Air Force, Royal Australian Air Force and U.S. Air Force have a Wedgetail tri-lateral cooperation agreement relating to E-7 aircraft capability development, evaluation and testing, interoperability, sustainment, operations, training and safety.

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