Dec. 22 (UPI) -- Boeing has been awarded a contract from the U.S. Air Force to provide repair services in support of the Royal Saudi Air Force.
The terms of the deal were announced Thursday in a press statement released by the Department of Defense.
The agreement between Boeing and the U.S. Air Force is worth more than $480.4 million under the terms of a fixed-price-incentive firm contract, which is a cost-reimbursement contract that provides for an initial negotiated fee at the time of inception that can later be adjusted.
Additionally, the contract includes a 24-month base period, with five 12-month option periods and one six-month option period to continue repair services and support between Boeing and the Royal Saudi Air Force.
Specifically, the contract enables Boeing to provide repair and return of parts for the Royal Saudi Air Force's fleet of McDonnell Douglas F-15 Eagle variants and aerospace ground equipment, according to the Pentagon press release.
Work on the contract will occur in the United States and Saudi Arabia and is expected to be completed by June 2025, according to the release.