The more I read about it, the more weird does this whole C-27J story become.
What an ugly situation all involved seem to be in. The Army is losing its transport (and before that, getting the numbers cut down), Alenia is losing orders and refuses to maintain US-sold C-27J (rightly so, imho!), and the USAF has a hard time explaining its recent decision.
But the C-295 is cheaper due to the larger numbers and manufacture support.
If the USAF refuses them, then nations will rethink the C-27 and opt for the C-295.
I thought the reason why the C-27 was preferred over the C-295, was due to its ability to carry the standard NATO 463L pallets (3.5) and up to two HMMWVs.
That and the fact that is shares its engines with NATO's work-hose, the C-130.
The C-27 always made sense to me. Even US must have transports for which the C-130 is overkill. The C-27 just gave more flexibility and potentially saved money (no need to carry ice-cream and fresh vegetables in a half empty C-130).
I somewhat understand the desire to cut their purchase (urgent needed short term budget savings vs. long term savings), but it's a shame nonetheless.
That is hardly promising Cal. Having the USAF behind your product does wonders in terms of long term profitability of the venture. Other countries see long term viability of your aircraft through American demand. Not having that and you are reliant to just the company instead, so what if it folds up where are you going to get spares?