Boeing Receives 2nd Option of B-52 Engineering Sustainment Contract from US Air Force

WICHITA, Kan., Feb. 22, 2011 -- Boeing [NYSE: BA] today announced that the U.S. Air Force has exercised a $21.7 million option for the company to continue supporting the B-52 Stratofortress bomber under an Engineering Sustainment Program (ESP) contract that Boeing received in June 2009.

Under the terms of the $750 million, 10-year ESP contract, Boeing will continue to perform engineering assignments that maintain the B-52 as a ready, reliable and viable asset to the Air Force.

"This is the second exercised option of the ESP agreement, which includes an initial contract and nine options," said Mike Houk, manager of B-52 Fleet Support for Boeing. "This option allows us to continue supporting our customer by sustaining, modernizing and upgrading the B-52 to ensure that the aircraft continues to meet its mission."

Boeing will provide engineering design, engineering support and technical support services for the modernization and sustainment of the B-52H and its components, support and test equipment, and system integration laboratory. The work will be done in Wichita and Oklahoma City, and at Edwards Air Force Base, Calif., and Barksdale Air Force Base, La.