Boeing Awarded $17.9M for F-15 Longerons, Extending Production Through 2028

Contract Overview

Contract Amount: $17,916,878 ($17.9M)

Contractor: THE Boeing Company

Awarding Agency: Department of Defense

Start Date: 2019-09-26

End Date: 2028-02-29

Contract Duration: 3,078 days

Daily Burn Rate: $5.8K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: F-15 SLEP LONGERON PRODUCTION KITS

Place of Performance

Location: SAINT LOUIS, SAINT LOUIS County, MISSOURI, 63134

State: Missouri Government Spending

Plain-Language Summary

Department of Defense obligated $17.9 million to THE BOEING COMPANY for work described as: F-15 SLEP LONGERON PRODUCTION KITS Key points: 1. Significant contract value for aircraft component production. 2. Sole-source award to Boeing raises competition concerns. 3. Long-term contract duration may impact price flexibility. 4. Aircraft manufacturing sector sees continued defense investment.

Value Assessment

Rating: fair

The contract value of $17.9M for F-15 SLEP longeron production kits appears reasonable given the specialized nature of aircraft components and the long-term delivery schedule. However, without specific per-unit cost data or comparison to similar sole-source procurements, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award to The Boeing Company. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive bidding process.

Taxpayer Impact: The lack of competition in this sole-source award may result in higher costs for taxpayers, as there was no market pressure to drive down prices.

Public Impact

Ensures continued readiness and modernization of the F-15 fleet. Supports critical defense manufacturing capabilities within the US. Potential for job creation and economic activity in Missouri.

Waste & Efficiency Indicators

Waste Risk Score: 58 / 10

Warning Flags

  • Lack of competition
  • Long contract duration
  • Sole-source award

Positive Signals

  • Supports critical defense asset
  • Long-term production commitment

Sector Analysis

This contract falls within the Aircraft Manufacturing sector, a key area of defense spending. Benchmarks for similar sole-source component procurements are difficult to establish due to the unique nature of each contract, but the value is substantial for specialized parts.

Small Business Impact

The contract was awarded to The Boeing Company, a large prime contractor. There is no indication of subcontracting opportunities for small businesses within this specific award notice, which could limit their participation in this defense production effort.

Oversight & Accountability

The Department of the Air Force is the awarding agency. Oversight will focus on contract performance, delivery schedules, and adherence to the firm fixed price terms. The long duration necessitates ongoing monitoring to ensure continued value.

Related Government Programs

  • Aircraft Manufacturing
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Sole-source award limits competition and price discovery.
  • Long contract duration may reduce flexibility and increase risk.
  • Lack of transparency on per-unit costs hinders value assessment.
  • Potential for cost overruns due to non-competitive nature.

Tags

aircraft-manufacturing, department-of-defense, mo, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.9 million to THE BOEING COMPANY. F-15 SLEP LONGERON PRODUCTION KITS

Who is the contractor on this award?

The obligated recipient is THE BOEING COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $17.9 million.

What is the period of performance?

Start: 2019-09-26. End: 2028-02-29.

What is the rationale for the sole-source award, and were any attempts made to solicit competitive bids?

The rationale for the sole-source award is not explicitly detailed in the provided data. Typically, sole-source awards are justified by factors such as unique technical capabilities, urgent needs, or the unavailability of other qualified sources. Further investigation into the contracting officer's justification would be required to understand the specific reasons and confirm if competitive solicitations were deemed impractical or unsuccessful.

How does the per-unit cost of these longeron production kits compare to historical data or industry benchmarks for similar aircraft components?

The provided data does not include per-unit cost information, making a direct comparison impossible. To assess value, one would need to obtain detailed cost breakdowns or benchmark against previous F-15 component procurements, or similar structural components for other military aircraft. The absence of this data hinders a thorough cost-effectiveness analysis.

What is the potential impact of this long-term contract on the overall sustainment costs and modernization roadmap for the F-15 fleet?

This contract ensures the availability of critical components for the F-15 fleet's Service Life Extension Program (SLEP) through 2028, contributing to the aircraft's continued operational readiness. While securing production is positive, the long duration and sole-source nature warrant scrutiny to ensure it aligns with evolving modernization strategies and doesn't lock the Air Force into suboptimal long-term sustainment costs.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingAircraft Manufacturing

Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6200 JS MCDONNELL BLVD, SAINT LOUIS, MO, 63134

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $57,980,764

Exercised Options: $57,980,764

Current Obligation: $17,916,878

Subaward Activity

Number of Subawards: 33

Total Subaward Amount: $9,042,154

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA863417D2696

IDV Type: IDC

Timeline

Start Date: 2019-09-26

Current End Date: 2028-02-29

Potential End Date: 2028-02-29 00:00:00

Last Modified: 2025-11-07

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