FIGURE 1-1 Fuel usage by DoD in 2005. SOURCE: Sega (2006).

redesign, or recertification of other major aircraft systems to include cockpit controls, bleed air systems, hydraulic systems, electrical systems, aircraft structure, as well as maintenance operations and technical publications. Offsetting these potentially high nonrecurring costs has been, and remains, a high hurdle to the incorporation of desired improvements.

To better understand when and how re-engining programs make economic sense, it is important to understand both how the Air Force consumes fuel and how it incurs cost. Although much of the material discussed below has been stated in other publications, it is worthwhile for the sake of context to restate some key facts.

FIGURE 1-2 Distribution of fuel usage within the Air Force in FY05. SOURCE: Sega (2006).

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