H-60. US Military Multi-Generational Helicopter.

via Sikorsky.

The U.S. Army and Navy today signed an $8.5 billion contract with Sikorsky Aircraft Corp., a subsidiary of United Technologies Corp. (NYSE:UTX), to buy a baseline quantity of 653 BLACK HAWK and SEAHAWK^® helicopters through December 2017. The five-year contract will yield significant savings for the U.S. Government compared with purchasing the same quantity across five separate annual agreements.

The five-year agreement also allows the Army and Navy to order as many as 263 more aircraft within the same contractual terms. If exercised, the optional purchases could push the contract value as high as $11.7 billion. Actual production quantities will be determined year-by-year over the life of the program based on funding allocations set by Congress and Pentagon acquisition priorities.
“By buying a five-year quantity of four helicopter models in a single joint-service purchase, the two services have enabled Sikorsky and our suppliers to aggressively control our long- term costs,” said John Palumbo, Sikorsky’s Vice President for BLACK HAWK aircraft production. “Furthermore, by ordering a similar number of aircraft year-over-year, the Army and Navy have ensured that we can stabilize our supply base over the same period of time.”

Interesting.

The Army and Navy have carved out a scheme to ensure that they have a steady supply of new helicopters to replace old and lost airframes over the next five years.  Left on the outside looking in is the US Air Force and Marines.

I like the MV-22.  I think that it has some awesome capabilities.  But at the end of the day, I wonder if we wouldn't have been better served (from a cost AND capabilities point) by going in with the Navy and buying a pure combat UH-60.  Using the ESSS, we could have a helicopter that would replace both the UH-1Y and the CH-46.  Combat capable.  Attack capable.  Cargo carrying capable.  I think the aviation neck down might have cost us more than we realize.