Gallois rules out EADS tanker bid before May 10 deadline



EADS executives continue to decline comment on whether the company wants to submit an independent bid for the KC-X contract after Northrop Grumman’s decision on 8 March to withdraw from the competition.

But one thing is now absolutely clear: It is “impossible” for EADS to submit a bid before the May 10 deadline imposed by the US Air Force request for proposals, EADS Chief Executive Louis Gallois told reporters this morning at a breakfast roundtable in New York City.

At first, Gallois said it would be “almost impossible” for EADS to meet the deadline. But he quickly clarified that the 60-day window rules out any opportunity for the company to prepare a new response to the current RFP.

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2 Responses to Gallois rules out EADS tanker bid before May 10 deadline

  1. jetcal1 18 March, 2010 at 6:13 pm #

    Well,
    It’s not a bid by NG is it?
    Let’s extend it by another 60 days. I for one would be curious to see if the price comes down from last time.

  2. Mike 20 March, 2010 at 6:21 am #

    EADS may have two possible strategies here:

    1) Have no intention of making a real bid, but just want to drag everything out for as long as possible. If they do this while all the time quietly and gently pointing out how long the appeals process might take if dragged out to the maximum extent possible, and how long the USAF would have to wait for Boeing’s ‘FrankenTanker II’(tm), then maybe “all of a sudden” a split buy might become acceptable.

    2) Make a genuine bid, with as little US content as is compatible with the RFP conditions, using the Aussie-spec KC30A, at a price that will just about break even. If they win, then good, no direct profit but lots of work for the A330 line. If they lose, then they’ve probably beggared Boeing because they won’t make any money either and will need to pour scarce R&D resources into this instead of the 737 & 777 replacements [EADS would have no R&D spend to make, they're tendering M.O.T.S.].

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