In 1981, three pre-production AH-64As were handed over to the U.S. Army for Operational Test II. The Army testing was successful, but afterward it was decided to upgrade to the more powerful T700-GE-701 version of engine, rated at . The AH-64 was named the "Apache" in late 1981, following the tradition of naming Army helicopters after American Indian tribes. It was approved for full-scale production in 1982. In 1983, the first production helicopter was rolled out at Hughes Helicopter's facility at Mesa, Arizona. Hughes Helicopters was purchased by McDonnell Douglas for $470 million in 1984. The helicopter unit later became part of The Boeing Company with the merger of Boeing and McDonnell Douglas in August 1997. In 1986, the incremental or flyaway cost for the AH-64A was $7M and the average unit cost was approximately $13.9M based on total costs.