Two days after Sept. 11, 2001, Crestview Aerospace Corp. in Okaloosa County received an urgent order from the Air Force Special Operations Command to install missile-warning systems on one of its AC-130 gunships.

"It's usually a 27-day install. We put that system on in eight days, working 24/7. Now we're putting new capabilities into the hands of the war fighters every day," says Rob Schmaltz, company planning and development manager and a former Special Operations Command test pilot.

The war on terrorism has boosted business for scores of defense contractors in Okaloosa's military-dominated economy, with many providing services to the military's special operations. "Our business has doubled since 2001," says Bill Grant, manager of Boeing's Special Operations Forces Aerospace Support Center in Fort Walton Beach, which plans to add 70 workers to its 532-employee roster this year.

"They're all growing," says Okaloosa Economic Development Council Director Larry Sassano, citing a half-dozen major local defense operations. The area is home to the Eglin Air Force complex (the Defense Department's largest Air Force base) and to the Air Force Special Operations Command at Eglin's Hurlburt Field. Seven bases are within 80 miles of Crestview.

Crestview Aerospace's largest aircraft modification job involves converting four basic C-130 aircraft to gunships -- "about a $45-million program," says President Chuck Shanklin. About 40% of the company's business and most of its growth come from modifications under contract to some of America's biggest defense original equipment manufacturers.

The company launched a two-phase expansion this summer to add 141,000 square feet of hangar space. It predicts employment -- now at 527, 85% of whom are former military -- will reach 900 by 2007.

Boeing, which partnered its C-130 contract with Crestview Aerospace, transferred that job from another U.S. location to be near Hurlburt's Special Operations Command, Grant says. "I'm trying to do as much work as I can in northwest Florida; it's easier to manage."

One attraction for Boeing: About 20% of Okaloosa County's population has military connections, which has made it easier to find workers with the right skills and experience. Lately, however, there's been such demand for workers that Grant sees signs that the local pool of military retirees may be drying up; he's bringing in half of his new hires from other Boeing sites.

The workers' military connections make the war on terrorism personal for many, notes Stan Shinkle, vice president at Aerospace Integration Corp. at Crestview, which specializes in technology insertion and aircraft systems integration. Some 90% of AIC's 230 employees served in special operations.

"Most of these guys, they know by name and face the air crews that are flying these aircraft."