Proponents of the Commercial BC-17 Take a Cue from Business Jet Sector

A "fractional ownership" plan that could make a commercial C-17 a possibility will be kicked off any day by the Pentagon.

The proposed partnership between the USAF and civilian charter and freight companies could generate demand for up to 30 BC-17X aircraft, an FAA-approved version of the Globemaster III heavy lifter with a price tag of around $140 million each, manufacturer Boeing believes.

After earlier studies, the Pentagon will now ask for bids to get the program rolling.

The innovative approach will help plug the shortfall in military airlift capability by guaranteeing civilian owners long-term charter commitments to make the BC-17X commercially viable.

"The Air Force would guarantee a number of years of airlift business to aircraft in the Civilian Reserve Air Fleet program, in which many airlines already participate," says Stuart Thomson, VP in charge of business development at Boeing's airlift and tanker group.

Plans to launch the BC-17X over the last couple of years have generated a lot of interest but no buyers, he says, largely because it's difficult to build a business plan around ad hoc heavy lift demand. But with the USAF adding some certainty to the equation, investors can make a business case.

In return, the USAF will have use of C-17 capability without having to buy the aircraft.

Boeing estimates it will cost $300 million to $400 million and three years to certify a civilian C-17. "That is really very reasonable to bring a product to market," says Thomson "but we are still not going to build one and wait for someone to come and buy it. We will launch the program with ten aircraft."

Interestingly enough, Boeing believes a commercial C-17 will help grow the heavylift market rather than compete head-to-head with the few Antonov An-124 outsize freighters that currently ply the trade. And the Cargolifter airship, which will be able to deliver to remote locations, could well be complementary rather than a rival.

Thomson has been talking BC-17X to anyone who might conceivably have a need for it, and the company has even exhibited at construction expos.

One construction company, according to Thomson, was intrigued by the idea that it could fly equipment close to site in lesser-developed countries-and actually bring it out again, instead of abandoning it as it usually does.

"People like this are beginning to recognize a need," Thomson says. "And so are satellite and launch companies who could contract airlift capacity on a regular basis as they draw up their longer-term schedules."

The BC-17X will carry 79 tonnes in its 20,900 cubic-foot cargo area, and can land, deliver and takeoff with large payloads on short and/or austere airfields of less than 4,000 feet.

By John Morris