Israel Aircraft Industries (IAI) has concluded an arrangement with Boeing which will see it become a freighter conversion and upgrade specialist on the Boeing MD-11 tri-jet.

The deal between Boeing and the Tel Aviv-based Bedek division of IAI includes a subcontract to carry out 40 MD-11 freighter conversions, at a rate of at least five aircraft a year. The MD-11 agreement is the first result of an overall co-operation accord concluded last October between Boeing and IAI .

The first aircraft, one of up to five China Eastern Airlines MD-11s Boeing has been contracted to convert, will arrive at Bedek's plant in mid-August. The aircraft had been expected to undergo conversion at the Boeing plant in Long Beach, California. Some of the later MD-11s allocated for conversion by IAI deal are expected to be aircraft which Boeing has been contracted to convert for US freight specialist FedEx.

IAI's conversion will be priced at around $2-4 million per aircraft, although the final price will be determined by the contents of the upgrade package and the maintenance required.

The Bedek division is also in final negotiations with FedEx for a contract to undertake some of the carrier's McDonnell Douglas DC-10/MD-10 two-crew Honeywell VIA 2000 cockpit upgrades. Boeing is managing the MD-10 upgrade programme, which will include 100 FedEx DC-10s. Zurich-based SR Technics, a division of SAirGroup, has the initial contract for at least 15 conversions (plus 10 options). FedEx and IAI are expected to sign the MD-10 agreement next month.

The freighter conversion market for the DC-10/MD-11 tri-jets has expanded rapidly in recent years. There are six sites throughout the USA and Europe involved in carrying out cargo modifications.

They include Boeing's sites in Wichita in Kansas, Long Beach in California and the former Kelly AFB in Texas, as well as Mobile Aerospace in Alabama and the Aeronavali plants in Naples and Venice, Italy.

Source: Flight International