Boeing Revises Schedule For Air Force Tanker to Stay on Schedule

Boeing is revising its schedule for developing its new KC-46A Pegasus aerial tanker for the U.S. Air Force, but says that won't cause it to miss a key delivery deadline. Boeing's contract with the U.S. Air Force stipulates that delivery of 18 of the planes must be delivered by August 2017. Boeing spokeswoman Caroline Hutcheson told us, 'The challenges that Boeing is addressing on its initial engineering and manufacturing development aircraft are leading the company to re-plan elements of its tanker work flow, and its internal schedules, to remain on track to meet the August, 2017, contractual commitment to the Air Force.' The entire $51 billion program will build 179 of the tankers, which will replace the Air Force's fleet of Boeing KC-135 Stratotankers. TheStreet's Brittany Umar reports from New York.