The U.S. Department of Defense said on Wednesday that it had already awarded $1 billion in funding for the first 32 aircraft. Lockheed said in October it had reached a verbal agreement with the U.S. Air Force for a five-year contract to build up to 83 C-130J transport planes for the Air Force, Coast Guard and Marine Corps. Lockheed has delivered 60 Super Hercules aircraft to the U.S. Air Force and U.S Marine Corps from 2003-2008 under a previous contract.