The U.S. Navy awarded the Bell Boeing joint venture a $332.5 million contract modification to deliver five MV-22 Ospreys to Japan, marking the first international sale of the tiltrotor. The modification to a previously awarded multi-year contract will be converted to a foreign military sale, with deliveries completed by June 2018, the Department of Defense said on July 14.

“This is an important day for the Bell Boeing team in Japan and for the U.S.-Japan alliance,” said Shelley Lavender, Boeing Military president. “The V-22 redefines what’s operationally possible for a country, and we’re looking forward to delivering this capability to Japan as we continue our enduring partnership there.”

The contract from the Naval Air Systems Command (Navair) calls for the delivery of five Block C aircraft to Japan’s Ground Self-Defense Force, Bell Boeing said. It represents the first installment of what is expected to be a larger program. On May 5, the Defense Security Cooperation Agency notified the U.S. Congress of the potential sale to Japan of 17 Ospreys, associated equipment, parts and support, worth an estimated $3 billion.

The U.S. Marine Corps and Air Force Special Operations Command currently use the tiltrotor. The Navy plans to procure a new variant based on the MV-22 to replace the Northrop Grumman C-2 Greyhound for delivering cargo and passengers between ships and shore bases. It has a requirement for 44 aircraft. The V-22 program is roughly halfway through a second, five-year procurement Navair awarded to Bell and Boeing in June 2013.