I think it is time for me to design an aircraft tanker, yeah right.

Well, do you think that maybe there is collusion going on behind the scenes?

You know, Northrop dropping out on purpose with behind the scenes agreements with Boeing to produce components of the Boeing submittal?

Is NGC having financial problems?

Something very wrong when an American defence contractor just ups and quits just because it doesn't think it can win.
It speaks volumes especially when it disappoints and stands up an ally in the process.

Originally posted by Alxandro
Is NGC having financial problems?

Something very wrong when an American defence contractor just ups and quits just because it doesn't think it can win.
It speaks volumes especially when it disappoints and stands up an ally in the process.

This will have been done as a tactical maneuver - a sole bidder contract to Boeing will come under a huge amount of inspection and regulation, well above a winning bid against a competitor.

What with the shuffling of the appropriations committees recently, a lot of Boeing supporters moved into strategic positions, so NG and EADS probably both felt that they could not win it regardless (and they are probably right), so why waste the money? Pulling out would save them the money involved in bidding (several million dollars worth) and hurt Boeing at the same time.

Originally posted by RichardPrice
Pulling out would save them the money involved in bidding (several million dollars worth) and hurt Boeing at the same time.

Yip... especially given Northrop named their flyaway price.

the final price Northrop Grumman would have offered on the first 68 tankers was a unit flyaway cost of $184 million, including non-recurring development costs.

Originally posted by RichardPrice
What with the shuffling of the appropriations committees recently, a lot of Boeing supporters moved into strategic positions, so NG and EADS probably both felt that they could not win it regardless (and they are probably right), so why waste the money? Pulling out would save them the money involved in bidding (several million dollars worth) and hurt Boeing at the same time.

Richard Price is absolutely right here.
Although the preparation for the RFP would actually be more like $100 million, and NGC's CEO decided that was too much money to throw away on a deal they were sure to lose anyway.

Bottom line is that the Boeing deal was and will be again less of a bargain than the NGC/EADS deal. The American taxpayer once again has gotten bent over and boned... yes I said that... ;-)