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EADS grounds $40bn US air tanker bid
The Telegraph ^ | 3/8/2010 | James Quinn

Posted on 03/08/2010 5:17:48 PM PST by bruinbirdman

European defence giant EADS has dropped out of a nine-year, two-horse $40bn (£27bn) race to provide the US Air Force with a fleet of air tankers after accusing the American government of skewing the competition in rival Boeing's favour.


EADS staff stand near a life-size scale display of the interior of the Airbus A400M military transport plane

EADS and US partner Northrop-Grumman last night took the dramatic decision not to make a bid for the 179 plane contract after studying the latest terms drawn up by the US Department of Defence (DoD).

The pairing, which actually won the contract in 2008 only to be stripped of it after a political backlash in support of US rival Boeing, branded the competition for one of the largest military programmes in US history as unfair and unworkable.

"The acquisition methodology outlined ... would heavily weigh in the favour of the smaller, less capable Boeing tanker," said Ralph Crosby, chairman of EADS North America, whose bid would have been based on the Airbus A330. Boeing will propose the use of its smaller 767 jet.

Mr Crosby and Wes Bush, Northrop's chief executive, stressed that after working through the 1,000-plus pages within the latest request for proposals issued by the DoD, it was in neither company's interest to pursue a joint bid.

The withdrawal comes three months after the pair warned they might pull out of the running, a plea which led Robert Gates, the US Defence Secretary, to promise a "fair and highly transparent process" to replace the US's aerial refuelling tanker fleet, some planes in which are close to 50 years old.

EADS pointed out that although the bid documents "signal a preference for a smaller aircraft" the DoD has chosen its aircraft over those of Boeing

(Excerpt) Read more at telegraph.co.uk ...


TOPICS: Business/Economy; Crime/Corruption; Foreign Affairs; Government; News/Current Events
KEYWORDS: aerospace; alabama; bhodod; boeing; defensecontractors; defensespending; eads; northropgrumman; tanker; tankers; usaf
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Obama's "Buy America" edict must apply to the Pentagon.
1 posted on 03/08/2010 5:17:48 PM PST by bruinbirdman
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To: bruinbirdman

The EADS plane was going to be built in America. Once again, union harassment wins out over the better product and our servicemen will be the ones who pay.


2 posted on 03/08/2010 5:22:44 PM PST by AzaleaCity5691
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To: AzaleaCity5691

but the A330, isn’t that the one that just fell apart in the air somewhere between Brazil and France?? And maybe built here,, but airbus is still foreign owned, profits go home to French and German owners.

Not to mention, in a bid how do you factor out the massive Euro government direct subsidies to that company? They walk in the door with some bidding advantages that Boeing doesn’t.


3 posted on 03/08/2010 5:32:44 PM PST by DesertRhino (I was standing with a rifle, waiting for soviet paratroopers, but communists just ran for office)
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To: DesertRhino

The Northrup-Grumman team had the better design that would have been more cost efficient for the Air Force. Not to mention it would have provided a multitude of jobs for our area.

You have to understand. A few years back Boeing had us as a finalist for a new plant. They didn’t choose us. Then Northrup offered us the tanker and we threw in our lot with them. Boeing then proceeded to take out an ad campaign attacking us as unable to build planes and all sorts of other insults even though they themselves had figured us a good enough spot that we had been a finalist for one of their facilities.

I’m sorry but I do speak for a metro area of more than half a million people when I say that I sincerely hope that Boeing and their goons rot in hell and that McCain’s probe of their contracting practice will show them for the corrupt shills that they are.


4 posted on 03/08/2010 5:39:09 PM PST by AzaleaCity5691
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To: AzaleaCity5691

Well,, it’s still a foreign machine. And strictly speaking as John Q. Public here, Boeing has a HUGE track record, going back to the 1930s, that i think should be heavily weighted before giving the Europeans such a plum. I’m thinking B-17, B-29, KB=50 (Americas first tanker) B-47, B-52, KC-135, etc.

Besides, i want to see airbus weaker,, i always worry a little when i get on one. Tail fell off the one in Newark, then this one out of Brazil.

Just telling you my opinion from the peanut gallery. It’s some of the problem that Airbus must deal with, image.


5 posted on 03/08/2010 5:49:57 PM PST by DesertRhino (I was standing with a rifle, waiting for soviet paratroopers, but communists just ran for office)
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To: AzaleaCity5691

And don’t worry, im no Boeing slave, i won’t feel good in their machines if their airliners are assembled in China as their CEO has mentioned.


6 posted on 03/08/2010 5:55:06 PM PST by DesertRhino (I was standing with a rifle, waiting for soviet paratroopers, but communists just ran for office)
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To: AzaleaCity5691
If the bid was for a replacement for the larger KC-10, then you might have a point.

The bid is for a medium-size tanker, capable of operating at forward bases. The NG/EADDS bid was a large tanker incapable of operating at ll but one stateside reserve base, let alone forward deployed locations.

The Air Force erred first time around because they established the bid as a medium-sized tanker and assured Boeing that they had no reason to submit a 777-size bid, not would Boeing be awarded extra points if they offered a larger tanker. However, that was not what they briefed EADS.

Double standard, a mistake, one that the GAO agreed with (GAO has NO authority to over-turn a source selection. The Air Force doesn't have to go along with the GAO findings, but they did after a serious look and agreed mistakes were made. Sec Def, not friend to Boeing, agreed with the GAO, as well.

EADS/NG looked at the RFP, determined that the RFP was what was required by the Air Force, looked at their true costs and ability to operate, and decided their LARGER tanker could not win in a bid in accordance with the RFP for a medium-size tanker.

“Corrupt shills?” Interesting that you would attack the Boeing tanker team, a team made up of a majority of former service-men, men that have flown tankers for a career and ran AMC. . .the very servicemen you “thank” for their service are now a target for your scorn. Okay, but I choose not to insult and attack the credibility and integrity of these honorable men. You may want to, but not me.

“A few years back Boeing had us as a finalist for a new plant. They didn’t choose us. “

Explains a lot.

7 posted on 03/08/2010 5:55:10 PM PST by Hulka
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To: Hulka

Thanks for the informed information!


8 posted on 03/08/2010 6:00:40 PM PST by J Edgar
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To: bruinbirdman

All in all, I prefer my tankers and airliners to keep their tails bolted on.


9 posted on 03/08/2010 6:16:32 PM PST by RightOnTheLeftCoast (Obama: running for re-election in '12 or running for Mahdi now? [http://en.wikipedia.org/wiki/Mahdi])
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To: DesertRhino

Northrop / EADS was proposing building in the U.S. the same tanker version the British and Australian air forces have, and they haven’t had problems with the 330 frame.


10 posted on 03/08/2010 6:22:40 PM PST by GAB-1955 (I write books, love my wife, serve my nation, and believe in the Resurrection.)
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To: DesertRhino

“but the A330, isn’t that the one that just fell apart in the air somewhere between Brazil and France??”

Yeah, after it was bombed.


11 posted on 03/08/2010 6:27:30 PM PST by taxesareforever (Release Staff Sgt. Frank Wuterich and let him and his family get on with their lives.)
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To: bruinbirdman
I predicted it...

http://www.freerepublic.com/focus/news/2465302/posts?page=25#25


12 posted on 03/08/2010 6:32:44 PM PST by darkwing104 (Lets get dangerous)
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To: DesertRhino

From a purely chauvinistic point of view, it would be hard to complain about buying aircraft that were subsidized on the back of the European taxpayer (the poor slob).


13 posted on 03/08/2010 7:01:13 PM PST by Erasmus (Give to the Antonio Janigro College Fund; a strong bow is a terrible thing to waste.)
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To: DesertRhino

“but the A330, isn’t that the one that just fell apart in the air somewhere between Brazil and France??”

So what if it was? Things like that happen. There have been Boeings that have broken up in flight in light turbulance. There have been others that have had large pieces fall off of them, then there are the uncommanded rudder deflections, etc, etc.

“And maybe built here,, but airbus is still foreign owned, profits go home to French and German owners.”

Northrup-Grumman is 100% American owned and would get some of those profits too.

“Not to mention, in a bid how do you factor out the massive Euro government direct subsidies to that company?”

You mean like the massive direct subsidies that Boeing enjoys through defense and space research? Then there are the massive tax breaks they get (they pay the lowest federal tax rate of any large corporation in the country) and get huge tax breaks from the state for every aircraft that rolls off the lines.

But by all means lets equip the Airforce with an obsolete aircraft design that doesn’t have the legs (range), nor the offload capacity that the Airforce wanted just to protect some union crybabies in Washington State.

FYI the tanker offered by Boeing to the Airforce hasn’t even flown yet which is the KC-767AT (Advanced Tanker), while the KC-30 has been flying for well over a year now. And NO, the KC-767AT is NOT the same aircraft that Japan and Italy was duped into buying.


14 posted on 03/08/2010 7:03:59 PM PST by 2CAVTrooper (For those who have had to fight for it, freedom has a flavor the protected shall never know.)
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To: Hulka

If the NG plane couldn’t forward deploy, how did it win the first round?

This seems like “JUST LOOK FOR THE UNION LABEL...”


15 posted on 03/08/2010 7:07:52 PM PST by Mr Rogers (I loathe the ground he slithers on!)
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To: DesertRhino
Well,, it’s still a foreign machine.

To be precise, it's a 60% American machine vs. a 80% American machine (Boeing).

And strictly speaking as John Q. Public here, Boeing has a HUGE track record, going back to the 1930s, that i think should be heavily weighted before giving the Europeans such a plum. I’m thinking B-17, B-29, KB=50 (Americas first tanker) B-47, B-52, KC-135, etc.

Except that the Boeing proposal is a mesh-up of different 767 variants which in this combination has never flown. The tanker equipment is also unproven. A different 767 tanker proposal for Japan and Italy (you know, the 20 non-American percent) suffered from massive delays. Yes, Boeing has a huge track record, but design-wise the Airbus is definitely lower risk.


16 posted on 03/08/2010 7:08:56 PM PST by wolf78 (Inflation is a form of taxation, too. Cranky Libertarian - equal opportunity offender.)
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To: Hulka; AzaleaCity5691

“”More passengers, more cargo, more fuel offload, more patients that we can carry, more availability, more flexibility and more dependability,” Gen. Arthur Lichte, the commander of the Air Mobility Command at Scott Air Force Base in Illinois, said of the Northrop Grumman-EADS KC-45A tanker.”

http://www.military.com/NewsContent/0,13319,163119,00.html

Sounds like Gen Lichte was either very stupid, or that the EADS tanker could forward deploy...

“On Capitol Hill on Wednesday, Air Force Secretary Michael Wynne told a Senate panel that the Northrop-EADS team defeated Boeing soundly.

“There were nine key performance parameters ... and across that spectrum — all evaluated — the Northrop Grumman plane was clearly a better performer,” Wynne told the Senate Armed Services Committee.

Meanwhile, at the Pentagon, Defense Secretary Robert Gates added his support for the Airbus tanker selection. “I believe, based on briefings that I’ve received, that it was a fair competition and a merit-based decision,” Gates told reporters.”

http://www.seattlepi.com/business/353812_tanker06.html


17 posted on 03/08/2010 7:12:20 PM PST by Mr Rogers (I loathe the ground he slithers on!)
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To: darkwing104
"Boeing will win by default in this Blue vs. Red State battle."

The wingman has a dark power.

yitbos

18 posted on 03/08/2010 7:18:13 PM PST by bruinbirdman ("Those who control language control minds.")
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To: Mr Rogers

“According to data provided by the Boeing Company, there are about 1643 airfields worldwide that can accommodate tanker operations. Of those, Boeing claims, the 767 tanker can operate out of about 811 and the Northrop Grumman/EADS A-330 can only operate out of about 408.

Data provided by Northrop Grumman — apparently from the model used by the Air Force — shows that their larger tanker can operate from 838 airfields while the Boeing can only operate from about 465 with the same fuel load.”

http://www.humanevents.com/article.php?id=25851

The Human Events article goes on to say: “Assuming the Boeing data are exaggerated in its favor, the conclusion must still be drawn that the NG/EADS tanker cannot operate out of hundreds of airfields that can accommodate the smaller, lighter Boeing aircraft.”

If that is the sort of logic that drove the new requirements, then it was all about politics.


19 posted on 03/08/2010 7:21:05 PM PST by Mr Rogers (I loathe the ground he slithers on!)
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To: bruinbirdman
I see it went from a $35 billion program when NG-EADS won, back to a $40 billion program now that it will be sole sorced to Boeing.

You know how many F-22s we could have bought for $5 billion?

20 posted on 03/08/2010 7:21:59 PM PST by Yo-Yo (Is the /sarc tag really necessary?)
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