St Louis, The Boeing Company [NYSE: BA] has received a Performance Based Logistics (PBL) contract from the Republic of Korea's Defense Acquisition Program Administration (DAPA) for the sustainment of the Republic of Korea Air Force (ROKAF) fleet of F-15K fighter jets.
The five-year contract, valued at approximately US$300 million,. Hyundai Glovis will provide in-country logistics handling and supply chain distribution activities.
"Boeing is pleased to continue supporting the ROKAF F-15 fleet, which already has achieved some of the best mission-capability rates of any air force operating the F-15, and those rates have continuously improved since the aircraft's introduction to the ROKAF," said Jim O'Neill, vice president and general manager, Boeing Integrated Logistics. "A PBL approach will ensure the F-15K remains operationally ready to protect the Republic of Korea for years to come by keeping mission-essential parts available when needed to meet the ROKAF's F-15K Mission Capability needs, while managing overall life-cycle cost and providing new opportunities for Korean industry."
"Hyundai Glovis brings its expertise in logistics handling and distribution to Boeing's long-term PBL solution, helping ensure the ROKAF has the right parts at the right place at the right time," said Brian Kim, vice president, Boeing Defense, Space & Security Business Development for Korea.
PBL is an alternative to the traditional transactional approach to purchasing supply and maintenance support for defense programs. With PBLs, customers buy agreed-to outcomes: for example, a set mission-readiness rate – versus purchasing spare parts on a transactional basis. PBLs can be tailored to meet the customer’s needs, from supply of spares and repairs to management of complex systems or full operational fleet support.
Source: Boeing
