Archive for April 4th, 2008
More From Boeing and Northrop
t_omni_path = “pi|blogs|aerospace” t_omni_pagename = “pi|blogs|aerospace|staff blog” t_omni_pagetype = “staff blog” t_omni_articleid = “pi_blog_135753″
« Northrop tanker motion denied – Updated | Main
After Boeing issued a press release, and its tanker boss, Mark McGraw held a teleconference with media, Northrop quickly responded.
Northrop said “we continue to be surprised by the language being used by Boeing that suggests” the Air Force did not run a fair competition.
Northrop also recently launched what it calls America’s New Tanker website that it says is to “inform the general public about the facts” surrounding the Air Force decision to buy 179 tankers from Northrop and EADS and not from Boeing.
This was the latest from Boeing:
ST. LOUIS, April 3, 2008 — While the U.S. Air Force awarded a contract to build the next aerial refueling airplane to the team of Northrop Grumman and the European Aeronautic Defence and Space Company (EADS), Air Force evaluators found the Boeing (NYSE:BA) KC-767 Advanced Tanker offers more mission capability and has a better chance of surviving combat than the larger Northrop-EADS KC-30 tanker.
“The fact that the Air Force gave Boeing the highest possible rating in mission capability and cited the KC-767 Advanced Tanker as having three times more strengths than the Northrop-EADS tanker in this most important category further highlights the inconsistencies in the selection process,” said Mark McGraw, vice president and program manager for Boeing Tanker Programs. “As for protecting flight crews on the most dangerous missions, the Air Force evaluated Boeing’s tanker as much more survivable than the Northrop-EADS tanker.”
On Feb. 29, the Air Force selected Northrop/EADS’ Airbus A330 derivative over Boeing’s KC-767. Boeing subsequently asked the Government Accountability Office (GAO) to review the decision, citing numerous irregularities and a flawed process that included making unstated changes to the bid requirements during the competition that provided Northrop/EADS with an unfair competitive advantage.
“Despite the changes made in favor of the KC-30 in the area of mission capability, the evaluation was clear in its assessment,” McGraw said. “The Air Force identified 98 strengths and only one weakness with the KC-767, while they pinpointed 30 strengths and five weaknesses for the KC-30, including four weaknesses in aerial refueling.”
The Air Force gave Boeing high marks in aerial refueling. Evaluators cited the ability of the KC-767 to refuel the V-22 Osprey, which the KC-30 was evaluated as not being able to do. They cited the KC-767’s better maneuverability while flying heavily loaded into a refueling zone, and they said its refueling flight deck displays and communications systems were better than the KC-30’s. Evaluators also found three weaknesses in Northrop/EADS’ boom design and an additional weakness in their ability to be a receiver due to the lighting of their receptacle.
In contrast, the Air Force said the KC-767 met or exceeded all key performance parameters in the mission capability requirements evaluation. Among some of the other key strengths: aeromedical evacuation, enhanced navigation system, better use of airport ramp space, better cockpit displays and communications systems, and more likely to integrate into operational use faster with new equipment and future growth.
“Also of significant concern for us is the fact that the Air Force settled for a plane that is ultimately less survivable for flight crews performing their vital missions in war zones,” McGraw said. “In providing technology and features that can keep the airplane more survivable for the men and women flying them, the Air Force determined that the KC-30 is less survivable than the KC-767.” The Air Force found that in the critical area of combat survivability, the Boeing tanker had nearly five times as many strengths as Northrop’s. The Air Force said Boeing’s strengths totaled 24 and gave just five for Northrop-EADS.
“The superiority of the KC-767 in the critical area of survivability compared with the corresponding ‘weakness’ of the Northrop/EADS plane should give warfighters and American taxpayers alike cause for concern as the GAO continues their review,” McGraw added.
And this was the response from Northrop.
Northrop Grumman Corporation today issued the following statement at the conclusion of Boeing’s conference call on its protest of the KC-45 selection decision:
April 3, 2008
“We continue to be surprised by the language being used by Boeing that suggests that, first, the United States Air Force did not run a fair, open or transparent tanker program selection process, and second, that the Air Force leadership improperly steered the award decision.
Northrop Grumman was rated superior in four out of five evaluation criteria so for Boeing to suggest that the award outcome should have been different is illogical.
Among the many points Boeing continues to refuse to address is its low marks in the area of program management and risk. Boeing chooses to ignore what concerned the Air Force, including Boeing’s failure to deliver on its commitments to Italy and Japan to provide a plane that is not the same as what has been proposed to the Air Force; the fact that the plane Boeing is proposing for the Air Force has never been built; and, the fact that Boeing has not yet built the boom it proposed to provide.
By contrast, Northrop Grumman and its partners have built, tested and flown the KC-45 and we have built and successfully passed fuel through the boom that will be used.
No amount of insistence on the part of Boeing officials that its scores should be higher will make it so. To raise your score, you must provide a superior product, which is precisely what Northrop Grumman did.”
And here is the latest from the IAM about Sen. Barack Obama’s comments on Wednesday about the tanker controversy. I mentioned what he had to say about a Congressional investigation in my blog entry yesterday.
“Senator Barack Obama just walked away from another fight for American jobs,” declared R. Thomas Buffenbarger, president of the International Association of Machinists and Aerospace Workers (IAM). “This is becoming his trademark. But never before has he done so on this scale, with 44,000 American jobs at stake.”
At a town meeting in Wilkes Barre, PA, this week, Senator Obama suggested the Air Force’s decision on the tanker deal was justified if it turns out the Airbus bid was 10-15 percent better than Boeing’s.
“He just doesn’t get it,” said Buffenbarger. “Airbus has been subsidized by the French government, the British government, even the German and Spanish governments.
“For Senator Obama to equivocate on this issue is a complete embarrassment. But for him to equate our efforts to protect 44,000 jobs and national security with drawing ‘a moat around America’ just shows he’s no friend of blue collar workers.
“Maybe Senator Obama doesn’t ‘mind the Pentagon procuring from other countries’ but I sure as hell do. What is at stake is America’s manufacturing sector. What’s at stake is over $40 billion in American taxpayer dollars.”
And finally, here is Northrop’s press release about its “America’s New Tanker” Web site.
Northrop Grumman’s “America’s New Tanker” Website Generates National Support
for the KC-45 TankerLOS ANGELES – April 3, 2008 – Northrop Grumman Corporation (NYSE: NOC)
recently launched the website “America’s New Tanker”
(www.americasnewtanker.com) to inform the general public about the facts
surrounding the U.S. Air Force’s selection of Northrop Grumman to deliver the
KC-45 aerial refueling tanker aircraft.“This website serves as a central point of accurate information and
current news for Americans who want to learn the facts about the KC-45 Tanker
– from the 48,000 U.S. jobs this program will support to how citizens can take
action and contact their elected officials,” said Randy Belote, Northrop
Grumman vice president of corporate and international communications.Citizens across the nation have generated tens of thousands of letters to
their respective congressman, senators and governors in support of the Air
Force’s selection of Northrop Grumman to provide the KC-45 Tanker. The
website also offers a capability that enables visitors to receive e-mail news
updates about the program.“Following the Feb. 29 Air Force announcement that it had selected
Northrop Grumman to build and deliver the new fleet of KC-45 aerial refueling
tankers, supporters of the losing bidder spread misinformation about the basis
for the Air Force’s decision,” Belote added. “We believe that citizens who
visit the site will learn the facts surrounding the program – like the fact
that the program is led by an American company, that the aircraft will be
built in the United States in four new factories, and that the KC-45 is the
superior tanker for our Airmen at best value for American taxpayers.”The KC-45 Tanker aircraft will create 48,000 new American jobs at 230
companies in 49 states. The aircraft will be assembled and modified at new,
state-of-the-art manufacturing facilities in Mobile, Ala., while the KC-45’s
refueling systems will be built at new facilities in Bridgeport, W.Va., and
delivered to the KC-45 Production Center for aircraft integration.The KC-45 will be built by a world-class industrial team led by Northrop
Grumman, and includes EADS North America, GE Aviation, Sargent Fletcher,
Honeywell, Parker, Goodrich, AAR Cargo Systems, Telephonics, Knight Aerospace,
Astronics and Aircraft Safety.
Add comment April 4, 2008
GAO Considers Boeing Tanker Appeal
GAO won’t throw out Boeing tanker appeal
By ERIC ROSENBERG AND JAMES WALLACE P-I AEROSPACE REPORTER
P-I WASHINGTON BUREAUWASHINGTON — The Government Accountability Office on Wednesday denied requests by Northrop Grumman and the Air Force seeking dismissal of an appeal by The Boeing Co. over the award of a lucrative tanker jet project to Northrop and Airbus parent EADS.But even this latest developed touched off a war of words between Northrop and Boeing.Northrop, in a statement, said the denials came after a supplemental filing by Boeing that “streamlined its original protest and eliminated many of the elements that were central to the Air Force and Northrop Grumman motions.”“Boeing’s decision to abandon the public relations rhetoric contained in its original protest filings is in keeping with our motion,” said Randy Belote, Northrop Grumman vice president of corporate and international communications. “We are encouraged that the company has streamlined its approach. We remain convinced that the Air Force process that led to Northrop Grumman’s selection was fair, open and transparent, and we look forward to assisting the Air Force defend its selection decision before the GAO.”Boeing issued a statement shortly after Northrop’s, saying it has not streamlined its original protest.“We have no idea of the basis of the Northrop Grumman statement,” Boeing said. “We continue to press every ground in our original appeal. We have neither abandoned nor narrowed any ground. In fact, our supplemental filings have added additional grounds to our original filing based on the information we have received from the Air Force since filing our protest on March 11. Any assertion to the contrary is a blatant attempt to misrepresent the facts.”On March 1, Boeing asked the GAO to overturn the contract award to the EADS-Northrop team. In motions filed with the GAO last week, Northrop Grumman and the Air Force asked the agency to dismiss elements of Boeing’s request.The agency has until mid-June to rule on Boeing’s complaint.Michael Golden, a GAO spokesman, declined to comment.The Air Force in February rejected a Boeing bid to build the new midair refueling tankers and instead chose a team of European Aeronautic Defense and Space Co. and Los Angeles-based Northrop Grumman. The initial program is valued at around $35 billion but could grow to $100 billion. In its appeal to the GAO, Boeing accused the Air Force of switching airplane size requirements in the middle of the bidding contest. Initially, the service had sought bids for a medium-sized tanker but ended up picking a much larger aircraft, Boeing maintains.Boeing also alleged that the Air Force “repeatedly made fundamental but often unstated changes to the bid requirements and evaluation process” in an effort to keep the Airbus tanker in the competition.The EADS team, maintaining that it won the contract because its aircraft was superior, has denied Boeing’s charge that the Air Force stacked the deck in its favor.Northrop Grumman said that Boeing’s complaints are “untimely” and that the Chicago-based aerospace giant should have complained sooner in the process, not after the Air Force made the contract award.The issues Boeing has raised “should have been questioned, or perhaps protested, before Boeing submitted its final bid,” Northrop Grumman said.P-I aerospace reporter James Wallace can be reached at 206-448-8040 or jameswallace@seattlepi.com. Read his Aerospace blog at blog.seattlepi.com/aerospace.
Add comment April 4, 2008

