Raytheon said it began production of its latest active electronically scanned array (AESA) radar system for the Air National Guard as part of its F-15C upgrade program. Under terms of the $52.2 million Boeing contract, Raytheon will deliver six APG-63(V)3 AESA systems and a spare to the Air National Guard. Raytheon will deliver an additional system to the U.S. Air Force. Part of the contract also includes production start-up costs as well as manufacturing equipment and other spares. Six or more systems are expected to be delivered annually to the Guard in coming years for a planned total of at least 48, Raytheon said. Air Force F-15s became operational with the world's first tactical AESA radar systems in December 2000. Raytheon also makes AESA systems for the F/A-18 Super Hornet. The systems began full rate production this year and the company said it anticipates delivering 437 systems for the Navy.