BC Tam 2 Report post Posted February 25, 2011 24 February 2011 Last updated at 22:34 GMTBoeing wins contract to provide aerial tankers for USAF Aircraft manufacturer Boeing has won a lucrative contract to provide the US with 179 aerial refuelling tankers. Boeing and European rival EADS had been competing for almost a decade for the $35bn (£21.6bn) US Air Force contract. During that time both the US and the European Union have reported each other's companies to the WTO, alleging illegal subsidies. And over the past decade two previous attempts to choose a contractor have failed. The USAF is replacing its current fleet of KC-135 Stratotankers. tankers, some of which date back to the 1950s. Now EADS has 10 days to file a protest with the Government Accountability Office (GAO), the arm of Congress which deals with federal contract disputes, should it object to the decision. The GAO would then need to make a decision within 100 days. If it stands, the Boeing decision is good news for Washington state and Kansas, where much tanker work will be done. Lengthy process Boeing and EADS had both been offering variants on existing twin-engined passenger jets: the Boeing 767 and the Airbus A330. An original plan was scrapped in 2004. Costing $23.5bn, it would have seen the airforce lease and then buy 100 modified Boeing 767s as tankers. Then in early 2008 EADS, partnered with Northrop Grumman Corp, won a 179-plane deal. That was then cancelled after government auditors upheld parts of a protest by Boeing. Last year Northrop pulled out of the partnership, leaving EADS to bid alone. The governors of Alabama, Mississippi and Louisiana had backed EADS' bid, as it was understood the European firm would have built its tankers in Mobile, Alabama. from here Considering how convoluted the matter has dragged on from day one, it's doubtful this will be the final word on matter Share this post Link to post Share on other sites
flee 5 Report post Posted February 25, 2011 I think that there will be an appeal again. Problem might be solved if USAF just splits the contract in two, maybe giving Boeing 60% of the orders and Airbus the remaining 40%. Share this post Link to post Share on other sites
JuliusWong 0 Report post Posted February 25, 2011 No surprise here. Since the US government overturned the previous Airbus contract, Boeing is sure in for win. Like what flee has said: appeal on the way.... B767 is hanging by the thread therefore would really need this USAF contract to sustain the production. This is the truth and has been debated gazillion times in other forums... Share this post Link to post Share on other sites
Sandeep G 1 Report post Posted February 25, 2011 Why didn't they go for a B777 Tanker instead?? Will the B767 include much upgraded avionics?? Share this post Link to post Share on other sites
JuliusWong 0 Report post Posted February 25, 2011 Why didn't they go for a B777 Tanker instead?? Will the B767 include much upgraded avionics?? B777 line is clogged with demand for its B772LR, ER and B773ER. Freighter as well. Boeing will provide B767 with upgraded avionics from B777s...if I am not mistaken. Share this post Link to post Share on other sites
Mohd Suhaimi Fariz 2 Report post Posted February 25, 2011 No surprise here. Since the US government overturned the previous Airbus contract, Boeing is sure in for win. Like what flee has said: appeal on the way.... B767 is hanging by the thread therefore would really need this USAF contract to sustain the production. This is the truth and has been debated gazillion times in other forums... The 767 is like the old DC-10 during its final days, depending on the USAF tanker contract to survive. To be honest, Airbus should just cut its losses and focus on other countries. France, Singapore etc uses C-135 & KC-135, why not target them. The US military still have a strong NIH (not invented here) philosophy. Share this post Link to post Share on other sites
flee 5 Report post Posted February 25, 2011 Why didn't they go for a B777 Tanker instead?? Will the B767 include much upgraded avionics?? The critics of the A330-200 based tanker have already said it is too big. The B777 will also be too big, if that is the case. USAF is OK with an Airbus tanker - its the politicians (who else?) who have interfered with the procurement process. So USAF also has to kow tow to them, changed their evaluation criteria to ensure that Boeing wins! I remember reading that the new B767 tanker will have B787 avionics and engines. Share this post Link to post Share on other sites
flee 5 Report post Posted March 5, 2011 EADS concedes KC-X contract award to Boeing EADS North America has decided not to challenge Boeing's claim to the KC-X contract, clearing the way for the US Air Force to launch the $3.5 billion development phase for the 767-based KC-46A. "EADS North America has decided not to protest the KC-X contract award," EADS NA chief executive Ralph Crosby says. EADS officials had reviewed the 24 February contract award for 179 tankers since Monday, with the right to file a protest triggering a 100-day review by the Government Accountability Office. "The acquisition architecture was quite mechanical and mathematical," Crosby says. "The outcome was decided by price and Boeing's offer was lower than ours." Boeing's proposed price was $4 billion less than EADS' offer, Crosby says. The EADS concession appears to close the final chapter in the roughly 10-year KC-X contract award process. The company's KC-45 actually claimed the KC-X contract in 2008, but the GAO upheld Boeing's protest and the air force relaunched the competition. The Department of Defense announced last week that Boeing's proposal based on the KC-767 New Gen Tanker scored a clear victory in the air force's evaluation, which focused on lowest price. "The air force ran this competition in accordance with all of the ground rules," Crosby adds. "They certainly were very scrupulous with the details." Source: http://www.flightglobal.com/articles/2011/03/04/353951/eads-concedes-kc-x-contract-award-to-boeing.html Share this post Link to post Share on other sites
