KC 135 Refueling an F-16, Afghanistan

I’m delighted for the 50,000 (direct and indirect) jobs this $35 billion dollar project represents for both Washington and St. Louis Kansas, but this battle for the in flight KCX air tanker probably isn’t over and here’s why. This has been going on for nine years and EADS won the bidding fair and square. Senators Cant[do]well and Murray interceded after Boeing complained they didn’t know they could use an existing aircraft and retrofit it. Boeing came up with an entirely new plane the first go round so this time they brought down their costs by retrofitting the 767 as the air tanker.
While that was going on, EADS –Airbus–secured a production facility in Alabama to give them an American veneer ( Northrop Grumman had pulled out this go round*). I’m sure the inside story is quite interesting especially the part about the Boeing CFO going to prison for buying off a Pentagon procurer in 2005.

The Air Force tried to get as far away from Boeing as it could but is getting pushed around by the politicians. I don’t think that’s unusual. I think it has less to do with Chicago politics (where Boeing’s HQ is now–thanks former Guv and current “commerce” secretary Gary Locke!) and more to do with American jobs and how it would look if America’s military had a foreign power (again) build this when it could have had Boeing do it with Americans during the Obama recession.
$35 billion is a lot of money. This has been a high stakes game. EADS will appeal. The game was rigged in favor of Boeing this go round.
On the other bright side if this IS the end of the road: at least the military contract won’t go to the lowest bidder this time around.