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Fri, Mar 04, 2011

Sources: EADS Unlikely To Challenge Tanker Contract

Announcement Could Come As Early As Friday

Sources close to internal discussions at EADS say that it is unlikely the European planemaker will challenge the Air Force award of the KC-46A contract to Boeing.

The sources, who were not authorized to speak to the media, said that the possibility of a challenge was remote after the Pentagon called Boeing the "clear winner" in the competition, which the Air Force insists was open and transparent. However, Air Force Chief of Staff General Norton Schwartz said EADS had every right to challenge the award if it thought mistakes were made, and that there would be no "payback" if they decided to go that route.

EADS officials have said they have not found any "egregious" error which would trigger a protest. The company has until March 7th to make that decision.

FMI: www.eads.com, www.dod.mil

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