Boeing sets stage for protest of Air Force tanker award

Has the thought come accross Boeing management’s mind that the Northrup/EADS offer may have been fiscally and technologically superior? I agree that American taxpayer dollars should be reinvested in America where possible but if it really doesn’ t make sense or isn’t the best product out there why keep throwing money at something that isn’t getting the best return on investment. Maybe this decision will force Boeing to change standard operating procedure for the better.

I’ve been following all the rhetoric since the contract award and wonder one thing. If all those in Congress really wanted the award to go to an American company they could have made it happen. Just tell the Air Force, “give it to Boeing” Now, after the fact suddenly everyone is up in arms because the competition won. If it can happen, it will happen.

I sense a bit of arrogance on Boeing’s part thinking they had a lock on the award. Boeing should have offered up an air refuel version of the C17 if they were serious about the proposal. This would have saved that line as well as met the the AF’s requirements.

I hope Boeing realizes a protest will make them look bad in the eyes of the Air Force.

I agree with the two commetns above. One additional question I have is Airbus says about 60% of the work will be compelte by US labor. How much of the Boeing option will be completed by US workers???? They make it seem that this is all going to foreign companies, which the profits are ultimately, but what percentage of the Boeing option will be truly US made. I think a large protion of the 787 Dreamliner project is foreign made, just assembled in the US.

Just curious

When you lose, I guess you just protest until you finally win…it’s the new American way!

QUIT CRYING - it’s called competition, and better products come out of a competitive environment.

Dear Joe… please read before you speak. The offer is the same to whoever can get the job done. 35 Billion period. No such thing as fiscally better. On top of the fact that all the jobs for the contract will be american if it went to Boeing. And number 2; this would begin a trend that would not only hurt Boeing but hurt our country. I firmly agree that we may need to raise our own standards, but maybe that should have been part of the contract to…They can’t just give it to Boeing this is a capitalist society, we give everyone a bid..at least that is what were told now isn’t it….Our country is on the precipice of a serious recession, the worst thing you can do it take your business elsewhere.

Common Sense,

Do you think Boeing builds 100% of it’s 787 in the US? It’s a 75% US, 25% international combination. In fact, none of their planes are 100% US built.

http://www.boeing.com/commercial/787family/dev_team.html

All companies know the value of trade to their business. Read up on comparative advantage in your Economics book.

Dear Common Sense, thanks for you comments. I’ll ask you to think big picture. Sure up front, the costs are 35Billion. What about the back end? Repairs, lenghth of service, annual maintence fees, etc… I’m not saying I know the answers to the back end questions but there most certainly would be a fiscal difference in either contract when you look at all of the pieces to the sum. You are right, i haven’t read much on the deal other than it didn’t go Boeing’s way and they are protesting it. Feel free to correct me if I am incorrect on my back end assumptions. For all I know the back end costs could be included in the 35Billion. Just a what if scenario. You are correct this will hurt not only Boeing but the U.S. On the flipside it will put a fire to Boeing’s rear to get back to where they need to be to win these deals. Time for a Boeing reality check. Maybe they’ll make sure not to miss another sure fire win.

I’ve been involved in several bids with the U.S. Armed Forces and can tell you that the decision to protest could not have been made lightly. It’s not fair to bash Boeing for protesting because I’m sure they lose as many bids as they win - but they don’t protest all those losses. There are many bids out there that are poorly organized, etc. which creates a difficult process for the bidding company to comply with all requirements. Boeing most likely found inconsistencies in the bidding process vs. evaluation and is merely asking for an evaluation of the decision (which is what a protest is). They have every right to a formal protest so give them a break. It’s a good checks and balances for the awarding entity.

With all the consolidation in the defense industry over the years the DOD really had to start looking for other options to get them the products they need and want and for what they wanted to pay for them. I’ll point to the Joint Strike Fighter as an example. I’m sure if the DOD had to do it again they would NOT grant Lockheed Martin the contract. What an embarassment that program has been. Over 10 years in development, billions over budget and it’s only flown a few times. This is the jet that is supposed to be the fleet of the future? Same goes for that hanger queen, the F22 Raptor. I think the DOD is realizing that “Buy American” is not always the best.

Government contractors had better start realizing that they are not always a lock on a contract award just because they are in the USA.

The complaint I’ve heard was that more than half way through the proposal the DOD changed the requirements to favor the Northrop tanker. It has also been suggested that there may be a biases against Boeing.
In stories leading up to the decision many news outlets mentioned that Boeing was heavily favored. Then after the announcement there wasn’t much released about why Boeing lost. The whole situation does raise a few eyebrows.