Tanker
Pentagon Considering Extension For Possible EADS Tanker Bid
The AP (3/19, Vandore) reported EADS "said Friday it is considering a new bid for a $35 billion Pentagon contract for midair refueling tankers but will only compete if it has a fair chance against rival Boeing Co." The Pentagon also said Friday the company has asked for an extension to the deadline for bids. EADS' new position came after the Pentagon expressed it was open to an EADS bid. However, EADS "said the Pentagon's new stance 'does not address EADS' underlying concerns' that the request for bids is designed to favor Boeing." The "possibility" of the Pentagon extension "immediately sparked a fierce reaction in the U.S."
The Wall Street Journal (3/20, B1, Michaels, Amiel, subscription required) noted a spokesperson for Defense Secretary Robert Gates said the Pentagon was "seriously considering" the extension. Boeing did not issue a comment. According to the Los Angeles Times (3/20, Hennigan), this "adds a new dose of drama to the decade-long saga to replace the tankers." EADS spokesperson Guy Hicks "said the company hadn't decided whether it would bid, but he said it would make an offer only if it got the extension."
