Assessing the Cost-Effectiveness of Modernizing the KC-10 to Meet Global Air Traffic Management Mandates
Abstract
The KC-10 "Extender" air refueling aircraft is approaching 25 years of service without undergoing significant avionics modernization. Without upgrades, the CNS capabilities of the KC-10 will not allow it to comply with various upcoming air traffic management (ATM) mandates around the world. Noncompliance with these mandates would prevent the KC-10 from flying the most fuel-efficient altitudes and routings in civil air traffic systems and cause delays both on the ground and in the air. A loss of access to optimal airspace and routings would increase operations costs and degrade the wartime effectiveness of the KC-10. For this study, we conducted a cost-effectiveness analysis to determine whether potential avionics modernization options are worthwhile. Our analysis shows that, overall, a KC-10 CNS/ATM upgrade would be cost-effective and result in net cost avoidance. That is, the projected net present value (NPV) of the operations cost avoidance from avionics modernization during the remaining life of the KC-10 fleet exceeds the upgrade cost of the modernization.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 2009
- Accession Number
- ADA508850
Entities
People
- Anthony D. Rosello
- Chuck Stelzner
- David T. Orletsky
- Fred Timson
- Michael Kennedy
- Sean Bednarz
Organizations
- RAND Corporation