FIA 2016: UK confirms purchase of 50 AH-64Es
The agreement is also a precursor to potential, significant long-term support opportunities for Boeing.
David Pitchforth, vice president and managing director of Boeing Defence UK Limited, said: “This is not only a major boost to the British Army but it will also mean long-term, sustained jobs in the UK as the vast majority of the training, maintenance, repair and overhaul will be done here over the service life of the aircraft. We are working closely with our extensive UK supply chain, including Leonardo Finmeccanica Helicopters (Leonardo), to support initial operating capability of the aircraft in 2022.”
Boeing has a long-standing relationship with Leonardo on the existing Apache programme. Boeing will support UK prosperity through increasing spend with UK suppliers and is in advanced discussions with Leonardo on the AH-64E contract and other opportunities.
To date, Boeing has delivered 149 AH-64Es to the US Army, logging more than 60,000 flight hours and 17,000 combat flying hours. The Apache performs across the full spectrum of operations and as a force multiplier for combat commanders and supports the safe return of troops.
Boeing has 2,000 employees across the UK at numerous sites, from Glasgow to Gosport and the company is experiencing solid organic growth.
Boeing’s expenditure with the UK aerospace industry in 2015 was £1.8 billion and the company’s activities worldwide support more than 60,000 UK jobs.
The British Government and Boeing also announced a long-term partnering initiative to advance growth and prosperity in the United Kingdom.
Boeing has reinforced its ongoing commitment to deliver on the prosperity agenda as set out in Chapter 6 of the 2015 Strategic Defence and Security Review (SDSR), through a further step-change in its onshore presence and industrial engagement with the UK.
The shared vision in the initiative is to deliver the best capabilities to the UK’s Armed Forces, alongside delivering additional, enhanced prosperity for the UK in partnership with the supply chain and public sector agencies.
Boeing has said it is committed to a long-term strategy for increasing investment in the UK in recognition of the capabilities and opportunities presented by the UK aerospace and defence industry, as part of Boeing’s global strategy. This will include expanding opportunities for the supply chain.
“Boeing is committed to the UK Government’s prosperity agenda and we share the goals of enhanced economic growth that the Prime Minister has set out to us,” said Dennis Muilenburg, Boeing chairman, president and chief executive officer.
Boeing has doubled its UK workforce and more than doubled its annual spending with the UK supply chain over the last five years, to more than 2,000 people and £1.8bn respectively in 2015. This growth plan is expected to result in a further 2,000 new Boeing jobs in the UK, alongside increased capital investment and additional bidding opportunities and competitiveness initiatives for UK suppliers. The shared ambition of this initiative is to enhance competitiveness to create the opportunity for UK companies to double their supply work with Boeing as production rates are achieved on new and current aircraft programmes.
“I want the UK to continue to be at the forefront of the global aerospace industry, both civil and defence, said Prime Minister David Cameron. “That’s why I’m delighted that we can announce today a long term strategic initiative with Boeing that will create thousands of jobs, secure investment in R&D and create opportunities for the supply chain, as well as delivering on our defence commitments. Boeing is one of the world’s most respected aerospace companies. This long term commitment shows the UK is open for business and attractive for investment.”
Above: The Boeing P-8A Poseidon multimission maritime aircraft.
Boeing and the UK Government plans include working together to build a new £100 million P-8A operational support and training base at RAF Lossiemouth in Scotland, creating more than 100 new jobs, with the UK Government confirming it is buying nine Boeing P-8 Poseidon aircraft as part of the 10 year deal worth £3 billon.
