US Air Force Expands Foreign Sales Ceiling for Boeing's KC-46A Tanker
The US Air Force has increased the ceiling for Foreign Military Sales of Boeing's KC-46A Pegasus tanker from $5.7 billion to $19.1 billion, a tripling of the original limit.
This modification, worth $13.4 billion, does not order new planes or transfer funds but widens the sales pipeline for future foreign buyers.
The contract currently covers KC-46A sales to Japan and Israel, with the Air Force leaving room for potential new country partners.
The increase in ceiling is expected to benefit Boeing by spreading out fixed costs and maintaining a steady supply chain, as well as potentially leading to more foreign orders.