Military

Boeing NewGen Tanker Win Would Bring 4,500 Jobs, $233 Million to California

ST. LOUIS, May 27, 2010 -- The Boeing Company [NYSE: BA] today announced that California will benefit from approximately 4,500 jobs with nearly 100 companies and an estimated $233 million in annual economic impact if the Boeing NewGen Tanker is selected as the U.S. Air Force's next aerial refueling aircraft.

"Californians have played a key role in many of America’s most important defense programs, and we’ll need their help to build a fleet of NewGen Tankers if we win this critical U.S. Air Force contract," said Mark DeVoss, Supplier Management director, Boeing Tanker Programs.

California manufacturers ready to produce critical components on the NewGen Tanker include:

- Alarin Aircraft Hinge Inc., Commerce -- aircraft hinges
- ITT Industries, Valencia -- adapter shaft assemblies, actuators and valves
- Lamsco West Inc., Santa Clarita -- engineered details, standards and laminated sheet
- Raytheon, El Segundo -- military GPS, Radar Warning Receivers
- Sonic Industries, Torrance -- specialty high-strength fasteners
- Tuffer Manufacturing, Anaheim -- machined parts.

"We are proud to work with our partner of more than 40 years as part of the Boeing NewGen Tanker team that will support our troops with high-quality aerospace products," said Steve Griffith, vice president, Lamsco West Inc. "In addition to strengthening national defense, we know that the work we do here at Lamsco West also supports hundreds of highly skilled, high-paying jobs in Santa Clarita and surrounding communities."

Boeing currently has nearly 25,000 employees in California supporting a variety of programs and works with 5,700 suppliers/vendors across the state, resulting in an estimated $6.2 billion in annual economic impact.

The NewGen Tanker is a widebody, multi-mission aircraft based on the proven Boeing 767 commercial airplane and updated with the latest and most advanced technology. Capable of fulfilling the Air Force's needs for transport of fuel, cargo, passengers and patients, the combat-ready NewGen Tanker is being offered as a replacement for 179 KC-135 aircraft. Boeing is writing a proposal to meet or exceed the 372 mandatory requirements described in the service's final KC-X Request for Proposal released on Feb. 24. The Air Force is expected to award a contract later this year.

The NewGen Tanker will be made with a low-risk approach to manufacturing that relies on existing Boeing facilities in Washington state and Kansas as well as U.S. suppliers throughout the nation, with decades of experience delivering dependable military tanker and derivative aircraft. Nationwide, the NewGen Tanker program will support approximately 50,000 total U.S. jobs with Boeing and more than 800 suppliers in more than 40 states.

The Boeing NewGen Tanker also will be more cost-effective to own and operate than a larger, heavier tanker. It will save American taxpayers more than $10 billion in fuel costs over its 40-year service life because it burns 24 percent less fuel than the competitor's airplane.

Boeing has been designing, building, modifying and supporting tankers for decades. These include the KC-135 that will be replaced in the KC-X competition, and the KC-10 fleet. The company also has delivered four KC-767Js to the Japan Air Self-Defense Force and is on contract to deliver four KC-767s to the Italian Air Force. Three of the four Italian tankers are in flight test, with the fourth airplane in production.

More information on Boeing's NewGen Tanker, including video clips and an interactive tour of the aircraft, is available at www.UnitedStatesTanker.com. For more information on joining the company's efforts, visit www.RealAmericanTankers.com.

A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world's largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $34 billion business with 68,000 employees worldwide.

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Contact:

William Barksdale
Boeing Communications
Office: 314-232-0860
Mobile: 314-707-3294
william.a.barksdale@boeing.com



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