Boeing Secures $2.04 Billion Task Order for B‑52 Engine Replacement Program

BA
December 24, 2025

Boeing announced a $2.04 billion task order from the U.S. Department of Defense to advance the B‑52 Commercial Engine Replacement Program (CERP). The order, awarded on December 23, 2025, covers post‑Critical Design Review development, system integration, and testing of two B‑52 aircraft equipped with new F130 engines.

The contract clarifies Boeing’s role as the prime contractor for integrating the Rolls‑Royce‑manufactured F130 engines and associated subsystems onto the B‑52 airframes. Rolls‑Royce secured the original engine contract in September 2021; Boeing’s task order focuses on the engineering and modification work required to bring the upgraded aircraft into service.

CERP is a multi‑year modernization effort that will keep the B‑52 Stratofortress in U.S. service through the 2050s. The new task order extends development and integration work through May 31, 2033, with the first modified aircraft slated for delivery by the end of 2028.

The award adds a substantial revenue stream to Boeing’s Defense, Space & Security segment, which reported $6.9 billion in revenue and a 1.7% operating margin in Q3 2025. The $2.04 billion order boosts the segment’s backlog to $76 billion and supports ongoing margin improvement after a $5.4 billion operating loss in 2024.

The contract underscores Boeing’s strategic position as a primary supplier for U.S. military aircraft and reinforces the long‑term partnership with the Air Force to modernize a critical strategic bomber platform. The award also signals confidence in Boeing’s engineering capabilities and its ability to manage complex, high‑value defense programs.

The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.