Boeing wins US$9.2 billion deal for new Air Force training jet

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The initial deal is for 351 T-X training jets, along with 46 flight simulators and other ground equipment.

The service engaged early with industry on the requirements for the advanced pilot trainer, which helped incite competition and buy down risk, said Will Roper, Air Force assistant secretary of defense for acquisition, technology and logistics. Those first jets are due to arrive at Joint Base San Antonio-Randolph, Texas, in 2023.

"Today's announcement is the culmination of years of unwavering focus by the Boeing and Saab team", said Caret in a released statement.

The aerospace giant also scored a potential $13billion franchise to build MQ-25 carrier-based refueling drones for the U.S. Navy, and with Italian firm Leonardo won a $2.38billion contest to replace a fleet of Huey helicopters guarding the Air Force's intercontinental ballistic missile sites. The contract calls for the plane to be ready for full operational deployment by 2034. As the clock ticks down on the fiscal year, Boeing grabbed its third DOD contract in a month.

A T-38 Talon takes off at at Beale Air Force Base, California, August 21, 2018.

The contract includes a potential $813M initial delivery order for Boeing to engineer, manufacture and develop the first five T-X aircraft and seven simulators. "Through competition we will save at least $10 billion on the T-X program".

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Boeing and its risk-sharing partner, Sweden's Saab, beat out a team-up involving Lockheed Martin and Korean Aerospace Industries as well as a bid from Leonardo DRS, a US subsidiary of Italy's Leonardo aerospace firm.

An Air Force spokeswoman declined to comment. Lockheed Martin [LMT] and Leonardo DRS, the US -subsidiary of Italy's Leonardo, also competed for the contract. CAFB will receive a new line of trainer jets to replace the almost 60-year-old T38.

Boeing and Saab designed a new jet for the program.

Saab said that more than 90 percent of Boeing's offering will be accomplished in the United States, backing up more than 17,000 jobs in around 34 states.

Lockheed Martin and KAI went for the bidding with the KAI's self-developed T-50A, which is an upgrade version of T-50.