Long Beach Calif., Boeing [NYSE: BA] today announced that the UK
Ministry of Defence has signed an agreement for the acquisition of one
C-17 Globemaster III, bringing the Royal Air Force (RAF) fleet of the
Boeing's airlifters to a total of eight.

Boeing is scheduled to deliver the eighth C-17 later this year.

“The
tremendous teamwork of Boeing and U.S. Government officials has made it
possible to announce this acquisition so quickly after we determined
the need for this additional C-17,” said UK Ministry of Defence Head of
Commercial for Air Support Robin Philip. “This C-17 will be a welcome
addition to the RAF fleet."

RAF C-17s had surpassed 50,000 flight
hours in December 2009, when the UK announced its intent to purchase a
seventh aircraft. By the time the seventh C-17 was delivered in November
2010, the fleet had logged more than 60,000 flight hours. The fleet has
now surpassed 74,000 flight hours – a rate 15 percent above planned
use.

“We have watched with great pride over the past decade as
the RAF, our first international C-17 customer, has supported global
peacekeeping missions and responded to the needs of millions affected by
natural disasters around the world,” said Bob Ciesla, Boeing vice
president and C-17 program manager.

“We understand the need to
move quickly to bring this contract to completion,” said Liz Pace,
Boeing C-17 UK program manager. “This additional order is a testament to
our strong relationship with the UK as well as to the aircraft’s
advanced capability, flexibility and reliability.”

The RAF C-17s
are operated by 99Squadron at RAF Brize Norton. C-17s are used to
support Operation Herrick, the transport of large equipment and troops
to Afghanistan. RAF C-17s also delivered relief supplies following
devastating earthquakes in Haiti and Chile and provided humanitarian
relief following floods in Pakistan.

As a member of the worldwide
C-17 “virtual fleet,” RAF C-17s are supported through the Boeing C-17
Globemaster III Integrated Sustainment Program, a Performance-Based
Logistics agreement. The GISP arrangement provides the highest airlift
mission capable rate at one of the lowest costs per flying hour.

Boeing
has delivered 241 C-17s worldwide, including 216 to the U.S. Air Force
active duty, Guard and Reserve units. A total of 25 C-17s have been
delivered to Australia, Canada, Qatar, United Arab Emirates, United
Kingdom and the 12-member Strategic Airlift Capability initiative of
NATO and Partnership for Peace nations. India has 10 C-17s on order for
delivery in 2013 and 2014.

Source: Boeing