Back to Squawk list
  • 7

Boeing’s cost overruns on KC-46 now exceed initial contract with US Air Force

Submitted
With the Jan. 27 announcement of a new $275 million charge on the KC-46, Boeing has now paid as much in cost overruns for the troubled program as the U.S. Air Force invested in the tanker’s development. (www.defensenews.com) More...

Sort type: [Top] [Newest]


yr2012
matt jensen 3
watta surprise. here's the jist of it:

"WASHINGTON — With the Jan. 27 announcement of a new $275 million charge on the KC-46, Boeing has now paid as much in cost overruns for the troubled program as the U.S. Air Force invested in the tanker’s development.

The new charge, which the company reported as part of fourth-quarter 2020 earnings, means Boeing has now paid more than $5.0 billion out of pocket to pay for the myriad technical problems and production issues that have cropped up since the company won the program in 2011. Under the firm, fixed-price contract signed then, Boeing is responsible for paying for any costs in excess of the contract’s $4.9 billion ceiling.

The latest KC-46 overrun occurred “primarily due to production inefficiencies including impacts of COVID-19 disruption,” the company said.

Steve Trimble of Aviation Week put together a list of KC-46 charges by year, finding that the program documented its largest overrun in 2020 despite seeing charges decrease to only $148 million in 2019."
patpylot
patrick baker 0
why do you offer a squawk that demands of us we cancell ad blocker? don't do that folks.......Adblocker helps thin out the internet trash, the pain in the butt noise......
KicksOnRoute66
That Internet trash helps pay many writers' salaries.
TiredTom
Tom Bruce 0
how could they f__k up a tanker? the airplane is well tested... they have made and delivered tanker versions before... I'm sure the AF piled a lot of "gold plated" stuff on it..but..but..but...

JMARTINSON
JMARTINSON 2
how could they f__k up a tanker? They just have to hold a couple hundred thousand extra pounds of fuel and they just have to be able to transfer all that fuel to other airplanes without landing or exploding.

they have made and delivered tanker versions before... Yeah, the last delivery was just in time for Vietnam. Very helpful.

Login

Don't have an account? Register now (free) for customized features, flight alerts, and more!
Did you know that FlightAware flight tracking is supported by advertising?
You can help us keep FlightAware free by allowing ads from FlightAware.com. We work hard to keep our advertising relevant and unobtrusive to create a great experience. It's quick and easy to whitelist ads on FlightAware or please consider our premium accounts.
Dismiss