U.S. Could Reopen Bidding For Air Force Tankers

U.S. Air Force Secretary James Roche said Wednesday he was prepared to let Airbus bid again on supplying aerial refueling tankers if a contentious plan to lease and buy an initial 100 aircraft from Boeing Co. was tossed out by Defense Secretary Donald Rumsfeld. A fresh round hinges on whether Rumsfeld uses an existing congressional mandate to lease up to 20 modified Boeing 767s and buy up to 80 more in a deal valued at more than $20 billion, Roche told reporters at a breakfast session. The Pentagon has put tanker-related negotiations with Boeing on hold pending four investigations due to wind up in May, including whether there was improper contact between the Air Force and the Chicago-based aerospace company during initial talks.

Roche said the economic value of the lease contemplated with Boeing starts to diminish relative to the delays in putting it into effect. If the initial plan does not move forward and the tanker matter goes back to square one. "We would then have competition,'' he said.

"It would make sense. I would be delighted to do it," Roche added, noting he had originally invited proposals from Airbus, Boeing's arch rival, because he thought it had been the `"right thing to do."

Airbus's candidate aircraft was originally ruled out for several reasons, Roche said, citing the size of the aircraft, its "footprint," the amount of ramp space it required and the lack of a proven refueling arm called a boom. 

FMI: www.airbus.com