The larger of the two awards, won by the Boeing-Textron (NYSE:TXT) joint venture Bell-Boeing Joint Project Office, takes the form of a $60.2 million modification to a previously awarded contract to produce production lots 17 to 21 of the V-22 Osprey tiltrotor aircraft for the U.S. Navy. Specifically, the modification orders Boeing to deliver one extra MV-22 Osprey to the U.S. Marine Corps by November 2016, in accordance with a "Variation in Quantity" clause in the original contract.
The smaller award, worth $39.5 million to Boeing (and not shared with anyone), likewise modifies a preexisting contract. Here, Boeing is asked to supply the Air Force with 1,601 tailkits -- used to turn "dumb bombs" into smart bombs -- for affixing to Joint Direct Attack Munitions (JDAM). This modification increases the total value of Boeing's Lot 17 production of the JDAM tailkits to $141.9 million. Delivery of the additional tailkits is expected by March 31, 2015.
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