The Government Accountability Office (GAO) has upheld Boeing Co.’s protest of the U.S. Air Force’s decision to award a tanker contract to a rival.
In February, the Air Force awarded the contract to a consortium including Northrop Grumman Systems Corp. (NYSE: NOC) and Airbus. Two weeks later, Boeing filed a protest with the GAO office, which determined Wednesday that the “Air Force had made a number of significant errors that could have affected the outcome of what was a close competition between Boeing and Northrop Grumman.”
Boeing (NYSE: BA) planned to build its air tanker on the 767 platform in Everett, Wash.
The GAO ruling doesn’t hand the tanker deal to Boeing. Rather, the GAO recommends that the Air Force reopen discussions with the companies. GAO also recommends that the Air Force reimburse Boeing’s costs in pursuing the protest, including attorney fees.
Washington state lawmakers were pleased with the GAO decision.
“The Air Force’s decision in February ignored serious implications for the national security and readiness of our country … I’m pleased that the GAO recognized the importance of protecting our nation’s warfighter and industrial base,” said Democratic U.S. Sen. Maria Cantwell of Washington, in a statement.
And Republican Congressman Dave Reichert said in a statement, “It has been clear all along that the process was flawed, as evidenced by the clear recommendations made by the GAO. This is a great victory for Boeing, Washington state and every American who values our nation’s economic and homeland security.”
Boeing issued its own statement from Mark McGraw, vice president, tanker programs: “We appreciate the professionalism and diligence the GAO showed in its review of the KC-X acquisition process. We look forward to working with the Air Force on the next steps in this critical procurement for our warfighters.”
Both Boeing and Northrop Grumman have business operations in New Mexico.
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[...] GAO upholds Boeing tanker protestThe GAO ruling doesn’t hand the tanker deal to Boeing. Rather, the GAO recommends that the Air Force reopen discussions with the companies. GAO also recommends that the Air Force reimburse Boeing’s costs in pursuing the protest, …Today Hot Report - http://www.todayhotreport.com [...]
[...] GAO upholds Boeing tanker protestThe GAO ruling doesn’t hand the tanker deal to Boeing. Rather, the GAO recommends that the Air Force reopen discussions with the companies. GAO also recommends that the Air Force reimburse Boeing’s costs in pursuing the protest, …Today Hot Report - http://www.todayhotreport.com [...]
[...] GAO upholds Boeing tanker protestTwo weeks later, Boeing filed a protest with the GAO office, which determined Wednesday that the “Air Force had made a number of significant errors that could have affected the outcome of what was a close competition between Boeing and …Today Hot Report - http://www.todayhotreport.com [...]
[...] GAO upholds Boeing tanker protestTwo weeks later, Boeing filed a protest with the GAO office, which determined Wednesday that the “Air Force had made a number of significant errors that could have affected the outcome of what was a close competition between Boeing and …Today Hot Report - http://www.todayhotreport.com [...]