Boeing to compete for new presidential helicopter contract with license purchase

The Hill ^ | June 7, 2010 | Roxana Tiron

[jazusamo]

Boeing will compete for a new fleet of presidential helicopters by getting the rights from AgustaWestland to build its AW 101 medium-lift helicopter in the United States.

The AW 101 is the same helicopter that served as the basis for a previous presidential helicopter contract. The Pentagon and White House canceled that contract with much fanfare after its price tag doubled due to a series of required design changes.

AgustaWestland was partnered with Lockheed Martin, one of Boeing's top competitors, for that contract.

Boeing announced Monday that it will secure a license from AgustaWestland — an Italian-British venture and part of the Italian consortium Finmeccanica — that will give Boeing the full intellectual property, data and production rights for the aircraft. That arrangement would allow Boeing to present the AW 101 as a Boeing aircraft and build it at one of its U.S. facilities, the company said in a statement.

If selected for the contract, Boeing will be the prime contractor and will design, build and deliver the aircraft, the company said. A team of subcontractors, including AgustaWestland, will work with Boeing to deliver the helicopters to the Navy, which manages the program.

Phil Dunford, vice president and general manager of Boeing Rotorcraft, expressed confidence that the AW 101 could be successful in a new contract bid. Dunford cited Boeing’s experience in rotorcraft programs and its expertise with complex Pentagon aircraft programs in keeping the contract affordable.

The Navy has, in effect, started a new competitive process to replace the decades-old presidential helicopter fleet. It is also considering other options.

The Navy, which manages the program, has issued a request to the industry for information to restart the bidding process and help inform the analysis of alternatives.

Boeing is also submitting to the Navy information on two of its other helicopters, the Chinook and the V-22, Dunford said in a teleconference with reporters Monday.

Meanwhile, AgustaWestland’s former partner, Lockheed Martin, has partnered with Sikorsky to bid for a new presidential helicopter program. Connecticut-based Sikorsky will take on the role of the prime contractor with its H-92 medium lift helicopter, while Lockheed Martin will provide and integrate the necessary systems for the presidential helicopter.

Lockheed and Sikorsky went head to head five years ago for a much-coveted contract to build a new fleet of Marine One helicopters. At the time, Lockheed Martin, partnered with helicopter maker AgustaWestland, won the contract for the VH-71 presidential helicopter replacement program.

The Pentagon formally canceled the VH-71 program last May, after it suffered from delays and ballooning costs. That decision followed remarks President Barack Obama made last February in which he called the VH-71 helicopter an “example of the procurement process gone amok.”

The price tag for the canceled VH-71 rose from an estimated $6.5 billion to $13 billion, in part because of growing technological requirements from the Marine One Squadron, which flies the presidential helicopters.

[mrmeyer]

What do you think the odds are the good chairman will go with a Hind instead?

[A.A. Cunningham]

in part because of growing technological requirements from the Marine One Squadron

BS. The requirements and increased cost emanated from the Secret Service and DoD not HMX-1.

[jazusamo]

It wouldn’t be too surprising.

[jazusamo]

The requirements and increased cost emanated from the Secret Service and DoD not HMX-1.

That's the way I remember it, they tried to tack on every bell and whistle they could think of.

[dartuser]

Navair played a role too ...