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December 18, 2018 | International, Aerospace

Boeing, Embraer agree to KC-390 joint venture

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WASHINGTON — Brazilian aerospace firm Embraer and Boeing have officially formed a joint venture on Embraer's KC-390 multimission aircraft as part of a larger partnership on the companies' commercial sides.

Under the new agreement, Boeing and Embraer will work together to “promote and develop new markets” for the KC-390, according to a statement released early Monday.

Embraer will own a 51 percent stake in the KC-390 joint venture, with Boeing owning the rest.

The announcement on the KC-390 comes as the companies approved the terms of a strategic partnership that gives Boeing an 80 percent stake in Embraer's commercial and services business for $4.2 billion.

Before the parties move forward with the transaction, the government of Brazil — which holds a “golden share” in Embraer — must consent to the agreement, and the deal is also subject to the approval of shareholders and regulatory agencies.

“Boeing and Embraer know each other well through more than two decades of collaboration, and the respect we have for each other and the value we see in this partnership has only increased since we announced our joint efforts earlier this year,” said Dennis Muilenburg, Boeing chairman, president and CEO.

“We are confident that this partnership will deliver great value to Brazil and the Brazilian aerospace industry as a whole. This alliance will strengthen both companies in the global market and is aligned with our long-term sustainable growth strategy,” said Paulo Cesar de Souza e Silva, Embraer president and CEO.

Boeing and Embraer have partnered on the KC-390 before. The companies agreed to pacts in 2012 and 2014 that gave the U.S. firm a role on global marketing and logistics support of the KC-390.

However, in the wake of the commercial Boeing-Embraer deal, officials said a new KC-390 joint venture could be broader in scope than those partnerships.

How this new joint venture differs from past agreements is unclear, and the news release contained only sparse details.

According to a July 5 memorandum of understanding between the two companies, a KC-390 joint venture would “grow KC-390 sales and aftermarket opportunities through joint efforts in sales, marketing, engineering and industrial collaboration,” hinting that the partnership could involve an enhancement of the KC-390's capabilities or Boeing's help on technology and industrial development.

In October, a Brazilian newspaper reported that Boeing and Embraer were discussing the prospect of building a KC-390 plant in the United States.

https://www.defensenews.com/air/2018/12/17/boeing-embraer-agree-to-kc-390-joint-venture/

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  • Contract Awards by US Department of Defense - March 11, 2019

    March 12, 2019 | International, Aerospace, Naval, Land, C4ISR, Security, Other Defence

    Contract Awards by US Department of Defense - March 11, 2019

    DEFENSE LOGISTICS AGENCY Alon USA LP, Dallas, Texas (SPE602-19-D-0460, $94,761,255); BP Products North America Inc., Chicago, Illinois (SPE602-19-D-046, $336,763,299); BP Products North America Inc., Chicago, Illinois (SPE602-19-D-0462, $94,753,559); Calumet Shreveport Fuels LLC,* Indianapolis, Indiana (SPE602-19-D-0463, $91,042,014); Epic Aviation LLC,* Salem, Oregon (SPE602-19-D-0464, $36,973,147); Equilon Enterprises, doing business as Shell Oil Products, Houston, Texas (SPE602-19-D-0465, $259,795,782); Exxon Mobil Fuels Lubricants & Specialties Marketing Co., Spring, Texas (SPE602-19-D-0466, $90,495,076); Hunt Refining Co., Tuscaloosa, Alabama (SPE602-19-D-0467, $34,052,469); Husky Marketing & Supply Co. Dublin, Ohio (SPE602-19-D-0468, $81,348,500); Lazarus Energy Holdings LLC,* Houston, Texas (SPE602-19-D-0470, $125,906,184); Petromax Refining Co.,* Houston, Texas (SPE602-19-D-0477, $241,944,848); Placid Refining Co. LLC,* Port Allen, Louisiana (SPE602-19-D-0472, $124,968,052); Tesoro Refining & Marketing Co., LLC, San Antonio, Texas (SPE602-19-D-0473, $45,029,489); Valero Marketing and Supply Co., San Antonio, Texas (SPE602-19-D-0474, $141,128,080); Wynnewood Energy Co., Sugarland, Texas (SPE602-19-D-0475, $92,328,466); Hermes Consolidated LLC, doing business as Wyoming Refining Co.,* Houston, Texas (SPE602-19-D-0476, $42,147,054); and Phillips 66 Co., Houston, Texas (SPE602-19-D-0478, $884,362,445), have each been awarded a fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract under solicitation SPE602-18-R-0717 for various types of fuel. These were competitive acquisitions with 32 offers received. These are one-year contracts with a 30-day carryover. Locations of performance are Texas, Ohio, Alabama, Wyoming, Illinois, Indiana, South Dakota, North Dakota, Minnesota, New York, New Jersey, Arkansas, Oklahoma and Louisiana, with a March 31, 2019, performance completion date. Using customer is Defense Logistics Agency Energy. Type of appropriation is fiscal 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Virginia. ARMY Jacobs Technology Inc., Tampa, Florida, was awarded a $785,000,000 cost-plus-fixed-fee contract for instructors. Bids were solicited via the internet with six received. Work locations and funding will be determined with each order, with an estimated completion date of March 14, 2026. U.S. Army Contracting Command, Orlando, Florida, is the contracting activity (W900KK-19-D-0004). Jacobs Technology Inc., Fort Walton Beach, Florida, was awarded a $38,253,942 cost-plus-fixed-fee contract for testing for evaluation of various interactions of chemical and biological agents. One bid was solicited with one bid received. Work will be performed in Dugway Proving Ground, Utah, with an estimated completion date of June 23, 2020. Fiscal 2018 and 2019 research, development, test and evaluation funds in the amount of $8,392,148 were obligated at the time of the award. U.S. Army Mission and Installation Contracting Command, Dugway Proving Ground, Utah, is the contracting activity (W911S6-19-C-0002). Atlantic Diving Supply Inc.,* Virginia Beach, Virginia (W81XWH-19-A-0003); American Purchasing Services LLC,* Miramar, Florida (W81XWH-19-A-0004); and TQM LLC, Saint Charles, Missouri (W81XWH-19-A-0005), will compete for each order of the $20,500,000 firm-fixed-price contract for brand-name medical equipment repair parts. Bids were solicited via the internet with three received. Work locations and funding will be determined with each order, with an estimated completion date of March 10, 2024. U.S. Army Medical Research Acquisition Activity, Fort Detrick, Maryland, is the contracting activity. Cubic Global Defense Inc., San Diego, California, was awarded a $7,996,042 modification (P00003) to contract W564KV-18-F-0001 for analytical support services. Work will be performed in Stuttgart, Germany, with an estimated completion date of March 9, 2023. Fiscal 2019 operations and maintenance, Army funds in the amount of $7,996,042 were obligated at the time of the award. U.S. Army 409th Combat Support Battalion, Kaiserslautern, Germany, is the contracting activity. (Awarded March 10, 2019) NAVY Dell Marketing LP, Round Rock, Texas, was awarded an estimated $231,170,000 firm-fixed-price blanket purchase agreement (BPA) in accordance with the firm's General Services Administration (GSA) Federal Supply Schedule contract. This agreement will provide VMware brand-name software licenses, software maintenance and services to the Department of the Navy (DON). The products will meet the following functional capabilities: data center and Cloud infrastructure; networking and security; storage and availability; Cloud management; network functions virtualization; digital workspace; desktop and application virtualization; and training. Under the Enterprise Software Initiative, the DON leverages its aggregate buying power to establish enterprise agreements with information technology manufacturers and resellers for high demand, commercial-off-the-shelf IT products and services. This BPA will be available for ordering VMware products and services throughout the Navy, worldwide, and the ordering period is expected to be completed March 7, 2023. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using operations and maintenance (Navy) funds. This contract was competitively procured via publication on the GSA E-Buy website with 895 vendors solicited, three offers received, and one selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-A-0055). (Awarded March 8, 2019) Northrop Grumman Systems Corp., San Diego, California, is awarded an $89,534,733 cost-plus-fixed-fee contract to provide sustainment and engineering services in support of the MQ-4C Triton Unmanned Aircraft System. Additionally, this contract procures the technical expertise of field service representatives, logisticians and test support to ensure MQ-4C air vehicles and mission control and operator training systems are fully sustained and mission capable. Work will be performed at Patuxent River, Maryland (45 percent); Jacksonville, Florida (25 percent); Andersen Air Force Base, Guam (20 percent); and Point Mugu, California (10 percent), and is expected to be completed in March 2020. Fiscal 2019 aircraft procurement (Navy); and fiscal 2019 operations and maintenance (Navy) funds in the amount of $69,309,254 will be obligated at time of award, $4,000,000 of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to Federal Acquisition Regulation 6.302-1. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N00019-19-C-1020). General Atomics, San Diego, California, is awarded $18,898,425 for cost-plus-fixed-fee delivery order N0001919F2709 against a previously issued basic ordering agreement (N00019-16-G-0006). This delivery order provides Electromagnetic Aircraft Launch System (EMALS) integrated test and evaluation effort for EMALS test site operations, Failure Reporting Analysis and Corrective Actions System, prototype and testing, environmental qualification testing and remediation, electromagnetic interference testing, and training efforts. Work will be performed in Lakewood, New Jersey (60 percent); Tupelo, Mississippi (25 percent); and Rancho Bernardo, California (15 percent), and is expected to be completed in January 2021. Fiscal 2018 and 2019 research, development, test and evaluation (Navy) funds in the amount of $18,898,425 will be obligated at time of award, $2,737,924 of which will expire at the end of the fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Bethel-Webcor JV-1,* Anchorage, Alaska, is awarded $11,470,000 for firm-fixed-price task order N4425519F4123 under a previously awarded multiple award construction contract (N44255-17-D-4032) for the P-253 Fleet Support Facility at Naval Air Station Whidbey Island, Washington. The work to be performed provides for the construction of P-253 Fleet Support Facility to include construction of a single-story addition to Building 2836. The facility provides space for storage of equipment as well as material receiving, processing, staging and shipping areas associated with the operation. It will also include the renovation of the administration and operations spaces in Building 2836. The project also modifies those spaces which will be required to provide a connection to the new addition. This project will provide Anti-Terrorism/Force Protection (AT/FP) features and comply with AT/FP regulations and physical security in accordance with Department of Defense Minimum Anti-Terrorism Standards for Buildings. Work will be completed in Oak Harbor, Washington, and is expected to be completed by November 2020. Fiscal 2019 military construction (Navy) contract funds in the amount of $11,470,000 are obligated on this award and will not expire at the end of the current fiscal year. Five proposals were received for this task order. 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AIR FORCE Etegent Technologies Ltd., Cincinnati, Ohio, has been awarded a $24,500,000 indefinite-delivery/indefinite-quantity contract for research and development. This contract provides for further development of cognitively-derived analyst tools to support the integration of more fully integrated intelligence products of greater relevance to the warfighter, and transitioning of analyst-aiding tools and technologies within the Department of Defense intelligence community. Work will be performed at Wright-Patterson Air Force Base, Ohio, and is expected to be complete by March 11, 2026. This award is the result of a competitive acquisition and 24 offers were received. Fiscal 2018 research, development, test and evaluation funds in the amount of $ $599,250 are being obligated on the initial task order at the time of award. Air Force Research Laboratory, Wright Research Site, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-19-D-6939). DynCorp International LLC, Fort Worth, Texas, is being awarded a $9,673,729 modification (P00001) to previously awarded contract FA2860-19-C-0005 for the rotary wing aircraft maintenance contract. This modification provides for services to support all management, personnel, equipment and services necessary to perform helicopter maintenance in support of aircraft assigned to the 11th Wing and their customers. Work will be performed at Joint Base Andrews, Maryland, and is expected to be complete by June 30, 2024. Fiscal 2019 operations and maintenance funds in the full amount are being obligated at the time of award. This modification brings the total cumulative face value of the contract to $75,020,715. The 11th Contracting Squadron, Services Flight, Joint Base Andrews, Maryland, is the contracting activity. WASHINGTON HEADQUARTERS SERVICES Marcon Inc., Falls Church, Virginia, has been awarded a $10,646,332 firm-fixed-price contract. The contract is to provide technical and managerial assistance as related to all elements of facility planning, program and project execution, including a wide range of analytical and planning, design, and construction management support services to assist the Washington Headquarters Services Facilities Services Directorate in the accomplishment of its missions. Work performance will take place at the Pentagon, Arlington, Virginia. Fiscal 2019 Pentagon Reservation Maintenance Revolving funds in the amount of $10,646,332 are being awarded. The expected completion date is Jan. 30, 2023. Washington Headquarters Services, Arlington, Virginia, is the contracting activity (HQ0034-17-D-0016). *Small business https://dod.defense.gov/News/Contracts/Contract-View/Article/1782108/

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  • Contract Awards by US Department of Defense - December 02, 2019

    December 3, 2019 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - December 02, 2019

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GDEB will continue to subcontract with Huntington Ingalls Industries' Newport News Shipbuilding division. Work will be performed in Newport News, Virginia (25%); Quonset Point, Rhode Island (21%); Groton, Connecticut (20%); Sunnyvale, California (8%); Norfolk, Virginia (1%); Bethlehem, Pennsylvania (1%); and Annapolis, Maryland (1%), with other efforts performed at various places throughout the U.S. below one percent (22%), and other places outside of U.S. below one percent (1%). Work is expected to be completed by August 2029. If the option is exercised, work is expected to be completed by February 2030. Fiscal 2017 and 2019 shipbuilding and conversion, Navy (SCN) funding in the amount of $3,155,793,018 will be obligated at time of award and will not expire at the end of the current fiscal year - funding: fiscal 2019 SCN (95%); fiscal 2017 SCN (5%). The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity. Kellogg Brown and Root Services Inc., Houston, Texas, is awarded a $14,070,093 for modification of the second option under an indefinite-delivery/indefinite-quantity contract for base operations support services at Naval Support Activity (NSA) Kingdom of Bahrain. After award of this option, the total cumulative contract value will be $44,363,284. The work to be performed provides for, but is not limited to, all management, supervision, tools, materials, supplies, labor and transportation services necessary to perform security operations, galley services, unaccompanied housing, facility management, emergency service requests, urgent service, routing service, facilities investment, custodial, pest control service, integrated solid waste, grounds maintenance, utility management, wastewater, operate reverse osmosis water treatment system, chiller and transportation at NSA Kingdom of Bahrain. Work will be performed in NSA Kingdom of Bahrain. 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