PHOENIX - MD Helicopters Inc. of Mesa has been awarded a $186 million contract by the U.S. Army to build rotorcraft for training exercises in Afghanistan.
The deal is good news both for the helicopter manufacturer, which has been on the rebound since it nearly collapsed financially six years ago, and for financially strapped Mesa, which is aggressively pursuing industrial recruitment and expansion.
The contract calls for six MD 530F helicopters to be built initially as the Army's primary training aircraft in Shindand, Afghanistan, according to the Army. As many as 54 aircraft would be manufactured at the company's Falcon Field Airport plant in Mesa over the life of the four-year contract.
Advisers from the U.S., United Kingdom and New Zealand have conducted joint training with Afghan Air Force student pilots and Afghan national army non-commissioned-officer trainees at Shindand air base, according to a NATO-Afghanistan news release.
"This is so huge for us, not just in terms of the dollar amount," said Lynn Tilton, MD's CEO and chairwoman. "It's a vote of confidence from the government and the U.S. Army, and I believe it's the first such contract since MD was owned by Boeing years ago."
She said the contract will create jobs, but she would not say how many.
"We will need to hire people," Tilton said. "But we need to be very intelligent about that, coming off the industry's downturn."
The contract also provides some stability for the company's current well-paid workforce.
The contract is a significant development that could lead to additional work for the company from the Defense Department, Mesa Mayor Scott Smith said.
Although MD is known for its extensive line of commercial helicopters, it also manufactures military aircraft and is in discussions with The Boeing Co. on a contract to collaborate on production of the Boeing AH-6i light-attack/reconnaissance helicopter for the global market.
Boeing builds its Apache helicopters at sprawling facilities just northwest of Falcon Field.
Company officials said the MD 530F is a perfect fit for the Army training mission.
The helicopter is equipped with the 650 shaft horsepower Rolls-Royce 250-C30 engine and longer main-rotor blades. It is described as the company's finest high-altitude performer in extremely hot weather.
Company officials said the helicopter also has greater takeoff power at significantly higher hover-ceiling levels than its competitors, and is known for its speed, agility, low direct operating costs and the ability to operate with ease in confined spaces.
The deal is good news both for the helicopter manufacturer, which has been on the rebound since it nearly collapsed financially six years ago, and for financially strapped Mesa, which is aggressively pursuing industrial recruitment and expansion.
The contract calls for six MD 530F helicopters to be built initially as the Army's primary training aircraft in Shindand, Afghanistan, according to the Army. As many as 54 aircraft would be manufactured at the company's Falcon Field Airport plant in Mesa over the life of the four-year contract.
Advisers from the U.S., United Kingdom and New Zealand have conducted joint training with Afghan Air Force student pilots and Afghan national army non-commissioned-officer trainees at Shindand air base, according to a NATO-Afghanistan news release.
"This is so huge for us, not just in terms of the dollar amount," said Lynn Tilton, MD's CEO and chairwoman. "It's a vote of confidence from the government and the U.S. Army, and I believe it's the first such contract since MD was owned by Boeing years ago."
She said the contract will create jobs, but she would not say how many.
"We will need to hire people," Tilton said. "But we need to be very intelligent about that, coming off the industry's downturn."
The contract also provides some stability for the company's current well-paid workforce.
The contract is a significant development that could lead to additional work for the company from the Defense Department, Mesa Mayor Scott Smith said.
Although MD is known for its extensive line of commercial helicopters, it also manufactures military aircraft and is in discussions with The Boeing Co. on a contract to collaborate on production of the Boeing AH-6i light-attack/reconnaissance helicopter for the global market.
Boeing builds its Apache helicopters at sprawling facilities just northwest of Falcon Field.
Company officials said the MD 530F is a perfect fit for the Army training mission.
The helicopter is equipped with the 650 shaft horsepower Rolls-Royce 250-C30 engine and longer main-rotor blades. It is described as the company's finest high-altitude performer in extremely hot weather.
Company officials said the helicopter also has greater takeoff power at significantly higher hover-ceiling levels than its competitors, and is known for its speed, agility, low direct operating costs and the ability to operate with ease in confined spaces.
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