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<p>This project analyzes the proposed United States Air Force \"acquisition\" of 100 KC-767A tankers to replace KC- 135E Statotankers. The Air Force intended to use an operating lease to obtain the services of these KC-767As in a timely manner and begin recapitalization of the aging aerial refueling fleet. There are three major research questions driving this project. First, in terms of national security, mission, and readiness, is there an immediate need for the Air Force to replace the KC-135? Second, if there is a need to replace the KC-135, is the KC-767A the best aircraft to satisfy the Air Force's long-term objectives? Finally, using the proposed lease of 100 aircraft, as the Air Force suggested, is leasing the best financial alternative to replace the KC-135? To answer these questions an examination of the KC-135 history, history of the proposed lease, comparison of alternative aircraft and solutions, stakeholder analysis, comparison of operating and capital leases, cost analysis, acquisition process, and other issues are presented. The examination concludes that the Air Force's proposed solution using the KC-767 aircraft and the operating lease method is not the best available.
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<br>Subjects: Cost, Analysis; KC-767; Tanker; Leasing; KC-135; KC-10; KC-X; Omega Air; Special Purpose Entity; Private Financing Initiative; Acquisition; Boeing; Refueling; Air Force</div>
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<dl><dd>Furber, Daniel Lewis</dd>
<dd>Jaeger, Harry</dd></dl></div>
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