The King Air 350 was modified and prepared for RAAF service by Hawker Pacific's specialist modifications team including its avionics subsidiary, Australian Avionics.
The aircraft are being provided under a long-term performance-based turn key lease and support contract with Defence Materiel Organisation (DMO), signed in November 2009, to supply and support King Air 350 interim Australian Defence Force (ADF) light transport aircraft capability.
The Squadron's eight modified King Air 350 aircraft will provide a gap capability between the retirement of the Caribou and its eventual replacement under Project Air 8000.
The second modified King Air 350 aircraft is expected to be delivered to 38 Squadron in March 2010.
The previous Oakey-based Army Fixed Wing Beech 350 fleet of three aircraft have already commenced operations under RAAF control with 38 Squadron following transfer of the assets in November 2009.
It is expected the Interim Light Transport fleet of King Air 350 aircraft will be at full strength by mid 2010.