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Orders For 10 C-17s Cheered $2.1 Billion Saves in Southland

Washington - Congress voted Thursday to approve $2.1 billion for 10 new Boeing C-17 aircraft, culminating an intense, year-long lobbying effort to keep production of Southern California's signature industry alive

The funding, secured by U.S. Sens. Sen. Dianne Feinstein, D-Calif., and James Talent, R-Mo., brings the total procurement of C-17s next year to 22 and ensures the production line will stay open beyond its 2009 shutdown date.

"Whoopee!" Jack Kyser, chief economist with the Los Angeles County Economic Development Corp., said upon being told of the funding decision.

"This is good news for the Southern California economy, and it's good news for the United States in terms of its airlift capabilities."

Money for the C-17 Globemaster will come through the Department of Defense appropriations bill, which the Senate had approved Monday afternoon.

"The C-17 has been essential to our nation's combat operations in Iraq and Afghanistan, as well as our global fight against terror and our international human relief efforts," Feinstein said in a printed statement.

"This funding is critical for continuing its production, and it means that the thousands of Californians and others nationwide who are employed in its production will remain secure in their positions," she said.

Boeing is Long Beach's largest employer, with about 5,500 people working at the C-17 facility. The aircraft production employs 6,000 more people around Southern California. Shutdown of C-17 production also would have been a severe economic blow to hundreds of subcontractors in the region.

News of the funding delighted Southern California officials.

"I'm just elated to hear that there's going to be some additional work for the Boeing Co.," said Long Beach City Councilwoman Gerrie Schipske, whose district includes the massive factory where the company manufactures Globemaster III cargo planes.

"We need to make certain that the city does whatever it can to assist Boeing in getting additional work because certainly that employs people and that adds to our economy as we're trying to recover from a structural deficit," Schipske said.

Robert Swayze, Long Beach Economic Development Bureau manager, noted that a recent congressional audit indicated the U.S. military needs more than the 180 C-17s previously ordered from Boeing.

"Ordering more C-17s is the biggest no-brainer in the history of military procurement," Swayze said.

California Gov. Arnold Schwarzenegger, who had been pressuring the president and Congress to help save the C-17 program, issued a statement praising Thursday's action.

"I am very pleased to see that our congressional leaders realize the importance of this incredible aircraft," Schwarzenegger said. "This is terrific news."