Follow This Blog

Archives

July 2008

Sun Mon Tue Wed Thu Fri Sat
    1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 31    
United States of America(USA).pngFrance.png


Tanker Decision Imminent

| | Comments (10) | TrackBacks (0) |

The multi-year, multi-billion dollar, multi-role KC-X Tanker contract could be awarded as early as today, following a meeting of the Pentagon's Defense Acquisition Board (DAB) responsible for signing off on the plan for the United States Air Force's 179 new aerial tankers.

The initial contract for either Boeing 767 or Northrop Grumman/EADS/Airbus A330 aircraft is worth up to $40 billion, with follow on contracts that could total as much as $100 billion.

According to industry analysts, Boeing is thought to be the odds-on favorite for the tanker deal. A lot is at stake for both manufacturers including the future of the 767 line in Everett, as well the potential establishment of a tanker/freighter production line in Mobile, AL for Northrop Grumman, EADS and Airbus.

UPDATE 3:02 PM: All indications point to the decision being announced Wednesday afternoon. The announcement will kick off with the notification of Congress, followed by contractor notification over the following hour, concluding with a formal announcement at the Pentagon at 5:00pm.

UPDATE 12:11 PM 2/27: The Malaysia Sun has "reported" that EADS and Northrop Grumman have won the USAF tanker contract. No word yet if they were able to generate the required 1.21 gigawatts for the return trip.

UPDATE 3:06 PM 2/27: Reuters is reporting that an announcement, according to a US official, is now expected Friday following the closure of the US Markets. Curiously, I noticed this morning that all the Tanker advertising from Boeing and Northrop Grumman had been removed from the Pentagon Metro stop.

FlightBlogger will be following the Tanker deal developments throughout the week.

0 TrackBacks

Listed below are links to blogs that reference this entry: Tanker Decision Imminent.

TrackBack URL for this entry: http://www.flightglobal.com/cgi-bin/mt/mt-tb.cgi/22350

10 Comments

You're saying it might be announced at around 3:30?

In brief, EADS has the best offer but Boeing has more political support. Old debate, to listen to operationals or to politicians? Answer soon...

LOL!

Perhaps Kuala Lampur has a clock tower?

LOL!

Perhaps Kuala Lampur has a clock tower?

It's probably better if Airbus/NOC win the tanker deal - they can lose all the money on the deal and BA can close the 767 line and add another 787 line in Everett.

quoting:
''It's probably better if Airbus/NOC win the tanker deal - they can lose all the money on the deal and BA can close the 767 line and add another 787 line in Everett.''

1. How much money will the winner of the KC-45 lose and why would they enter it if they are going to loose money?

2. Why would Boeing close the 767 line? It has labout 30 outstanding orders and the KC-767 (not the USAF version) will be tendered to other countries, including France.

3. There will not be a second 787 production line. The 787s order cycle has already peaked and the current line has excess capacity, even at a production rate of 14 aircraft per month.

I get the feeling you have suddenly felt that Boeing will loose this one and have changed your tune accordingly.

The ads are still up at Crystal City Metro.

I think Northrop will win. The USAF can always build bigger aprons and extend the runways to accommodate the 330. But they can't make an airplane bigger. The larger tanking capacity, cargo capacity, extended loiter time all make the 330 more attractive. I just wish Boeing brought the 777 to the game, instead of the tired old 767...

The Boeing argument that the KC30 is too big, could have an interesting twist!
Has anyone considered that the tanker buy, if it went to the KC30 could be reduced by 20% with the same fuel uplift plus the extra freight and passenger capability?
That would save the USAF some serious dollars at a time when it is short of funds for other projects.
The strategic implicationsa I would suggest are not that great, as either the 767 or A330 have despatch rates in the high 90% range, much bettter than the KC135, so fewer airframes could be acceptable.
The manpower savings alone would be enormous.

Leave a comment

Twitter Dispatches