Under the contract worth $4.3 billion, U.S. company Boeing will supply the Army with 181 Chinook helicopters. Officials say the contract includes options that could include an additional 20 aircraft.

Boeing's Chinook is capable of a variety of missions, including moving troops, along with supplies and equipment, in and out of combat zones. The Chinook is also widely deployed for medical and disaster relief, among other applications.

"This multiyear settlement is the result of the tireless efforts of government and Boeing representatives," Lt. Col. Thomas Todd, CH-47F product manager, said in a statement.

"It ensures that our soldiers will maintain a technological advantage over our adversaries when it comes to heavy-lift missions."