In 1961, Hughes was one of the twelve companies that submitted proposals to meet U.S. Army TS-153
requirement for a four-seat turbine-powered light observation helicopter. Model 369 was developed
and flew first on 27 February 1963. Five machines of this type were ordered as OH-6A for the
evaluation programme. The OH-6A Cayuse powered by an Allison T63-A-5A turboshaft was the winner of
the U.S. Army's contest in May 1965. Deliveries commenced in September 1966 to meet an initial
three-year commitment for 1071 machines. Next to the military OH-6A Hughes developed a larger,
five-passenger civilian version. Initially designated as the 369H and 369A during the development stage,
it emerged on the market as the Hughes 500. In 1968, the 500C with the more powerful Allison 250-C20
engine was introduced. In 1977, the 500D entered the market with a new five-bladed rotor system and the
Allison 250-C20B engine. In 1982, Hughes introduced both the 500E with the Allison 250-C20B and the 530F
with the more powerful Allison 250-C30 engine. On 6 January 1984, Hughes Helicopters became a subsidiary
of McDonnell Douglas, and subsequently re-designated the McDonnell Douglas Helicopter Company.
The Hughes 500 thus became the MD500. The ICAO Aircraft Type Designator for the Hughes 369 helicopters is H500.
In 1971, a dedicated Army aviation unit was established in Denmark for observation and liaison duties, flying the Piper L-4 and Hughes 500.
The Danish Army Flying Unit - Hærens Flyvetjeneste was based at Vandel AB and operated a total of seventeen Hughes 369HM Cayuse helicopters.
In 2003, Flyvestation Vandel closed and both helicopter units operated at that time by Hærens Flyvetjeneste moved to Karup AB, and were
combined into Esk 724 Panservaerns Helikopter Kompani that was operated further under RDanAF control. At that time sixteen Hughes 369HM
Cayuse helicopters were in service. In 2005, the Hughes 369HM Cayuse helicopters were withdrawn from use and stored at Flyvestation Karup
till sold via a public tender.
In 1971, Hughes 369HM Cayuse s/n 1090203M entered service with Hærens Flyvetjeneste as H-203. In 2003,
Cayuse H-201 was transferred to the Eskadrille 724 of the Royal Danish Air Force (Flyvevåbnet). In 2005, the Hughes 369HM Cayuse H-203 was
withdrawn from use and stored at Flyvestation Karup till sold. On 10 March 2007, the Hughes 369HM was registered N650AG with
Aircraft Guaranty Holdings & Trust LLC Trustee in the USA, with as Airworthiness Date 12 March 2007. However registered in the USA, the
N650AG had his home at Roskilde in Denmark. On 22 April 2009, registration N650AG was cancelled as sold. On 18 May 2009, registration N650AG was
restored with LH Investment & Leasing Inc., Wilmington, Delaware, as registered owner. At that time the Hughes N650AG was operated private and
based at Gardermoen in Norway. On 14 May 2011, Hughes 369HM N650AG was registered with Southern Aircraft Consultancy Inc Trust in the UK. At
that time the Hughes N650AG was by a privat owner based at Borås-Viared Airport in Sweden. Since 1 May 2014, registration
N650AG was pending for LH Investment and Leasing Inc and on 25 June 2014, the helicopter was registered with this owner. On 23
May 2019, the N650AG was registered with Pilots of the Caribben LLC, Florida, and since flying in Florida, USA.
22 May 1988, Hughes 369HM Cayuse H-203 was seen at Münster-Osnabrück in Germany.