US Army awards Boeing $324M contract for six Chinook helicopters

INVESTING.COMApr 15, 2:06 PM UTC

Key insights

  • Boeing secured a $324M US Army contract for six CH-47F Block II Chinook helicopters, bringing the total under contract to 24. This reflects the Army's confidence in the platform. While positive for Boeing, the impact on broader US equities is limited, representing a relatively small contract within the overall market.
US Army awards Boeing $324M contract for six Chinook helicopters

The U.S. Army awarded Boeing Co. (BA) a $324 million contract for six CH-47F Block II Chinook helicopters, the company announced. The contract increases the total number of CH-47F Block II aircraft under contract to 24.

The Lot 6 agreement follows two other awards in the previous year, including the first contract as part of the Army’s Rapid Fielding decision. Boeing has delivered six CH-47F Block II production helicopters to the Army.

"Consistent production awards reflect the Army’s confidence in the CH-47F Block II as a critical capability for handling logistics in challenging environments across different domains and in varying operations," said Heather McBryan, vice president and program manager, Cargo Programs, for Boeing Defense, Space & Security.

The Army plans to field the first unit equipped with the helicopters no later than mid-2028 after delivery of the Lot 3 Block II aircraft, according to the company’s statement.

The CH-47F Block II features a strengthened drivetrain and airframe that adds 4,000 pounds to the aircraft’s maximum gross weight. The helicopters include fuel-system modifications that extend mission radius for payloads and improved sustainment capabilities.

Boeing stated the aircraft provides commanders greater operational reach, faster resupply and enhanced protection for forces operating in austere and contested environments.

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