This article is based on an official press release from Leonardo.

Leonardo Secures Performance-Based Support Contract for Italian C-27J Fleet

Leonardo has officially signed a multi-year contracts with the Italian National Armaments Directorate (ARMAEREO) to provide comprehensive logistics support for the Italian Air-Forces’s fleet of C-27J “Spartan” aircraft. The agreement, announced on December 5, 2025, covers a three-year period spanning 2026 through 2028.

According to the company’s announcement, the contract encompasses the entire Italian fleet of 12 aircraft, which are currently stationed at the 46th Air Brigade in Pisa and the 14th Wing at Pratica di Mare. In addition to fleet maintenance, the agreement includes the management of the Full Motion Simulator located at the International Training Centre (ITC) in Pisa, a critical facility for training crews from Italy and international export partners.

This deal represents a continuation of Leonardo’s strategic shift toward “servitization,” a core component of its 2024–2028 Industrial Plan. By securing long-term support contracts, the manufacturer aims to stabilize revenue streams while enhancing the operational readiness of its primary defense customers.

Shift to Performance-Based Logistics (PBL)

A key feature of this new agreement is the adoption of a Performance-Based Logistics (PBL) model. Unlike traditional “time and material” contracts, where a customer pays for specific repairs or spare parts as needed, a PBL model ties compensation to specific output metrics, primarily fleet availability.

Under this structure, Leonardo assumes greater responsibility for ensuring the aircraft are ready to fly. The model incentivizes the manufacturer to improve component reliability and supply chain efficiency, as their remuneration is directly linked to meeting guaranteed uptime targets. This approach aligns with broader NATO and Western defense trends, where air forces are increasingly purchasing “readiness” rather than just hardware.

The contract covers the technical and administrative management of the training center and the maintenance of the Full Motion Simulator, ensuring high-fidelity training for complex tactical scenarios.

— Summary of contract scope based on Leonardo data

Operational Context and Capabilities

The C-27J Spartan remains a vital asset for the Italian Air Force, filling a niche that larger transport aircraft cannot. Often described as a “Mini-Hercules,” the C-27J shares engines and avionics with the Lockheed Martin C-130J but offers superior agility and Short Take-Off and Landing (STOL) capabilities. This allows it to operate from unprepared runways including grass, dirt, and snow.

Recent operational data highlights the continued relevance of the fleet. According to flight tracking data reported by ItaMilRadar in September 2025, Italian C-27Js have been active in logistics missions to Rzeszów, Poland, a primary hub for military aid destined for Ukraine. These missions underscore the aircraft’s role in current geopolitical logistics, bridging the “last mile” where larger strategic airlifters may be less suitable.

The fleet is also undergoing a modernization process. As noted in previous reporting by Flight Global and Defense News, the Italian Air Force initiated an avionics upgrade program in 2023 to bring the aircraft to a “Next Generation” standard, featuring new mission computers and glass cockpits.

AirPro News Analysis

The Strategic Value of the Pisa Hub
The inclusion of the International Training Centre (ITC) in this contract is significant. The Pisa facility does not just serve Italy; it acts as a global knowledge hub for C-27J operators, including the U.S. Coast Guard and Australia. By locking in the maintenance and management of the Full Motion Simulator, Leonardo protects a key touchpoint with its export customers. The simulator’s ability to replicate high-threat scenarios, such as missile evasion, adds value that cannot be safely replicated in live flight training.

Market Positioning vs. Airbus
This contract also serves as a defensive play against Leonardo’s primary competitor in the light/medium transport sector, the Airbus C295. While the C295 is often cited for its fuel efficiency in routine cargo roles, the C-27J markets itself on survivability and power. By proving the efficacy of a PBL model with its domestic air force, Leonardo creates a “proof of concept” to offer similar comprehensive support packages to international buyers, potentially lowering the total cost of ownership, a metric where the C295 has historically competed aggressively.

Sources

• Leonardo Press Release