Northrop Defends Tanker Deal

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Northrop Grumman Corp. defended its winning of the Air Force's aerial refueling tanker contract, which could be worth $40 billion. Northrop and France-based Airbus beat out heavily favored Boeing for the contract. Some US lawmakers say the huge KC-45A aircraft contract should not be given to a team with a foreign company -- Airbus, which is owned by EADS -- as the major partner. EADS and Airbus are based in France.

Northrop says it needs to counter inaccurate statements floating around the debate. Here's what Northrop says:

- The Northrop KC-45A tanker program will create a new aerospace manufacturing corridor in the southeastern United States.

- The KC-45A program helps return competitiveness to the U.S. aerospace industry.

- The Northrop KC-45A tanker program does not transfer any jobs from the United States to France or any other foreign country.

- The KC-45A tanker will support more than 25,000 jobs in the United States.

- The KC-45A U.S. supplier base will include 230 companies in 49 states.

- Assembly and militarization of the KC-45A tanker will take place in Mobile, Ala., resulting in the in-sourcing of approximately 2,000 jobs from Europe to the United States.

- The KC-45A competition underwent the most rigorous, transparent acquisition process in U.S. Department of Defense history.

- Throughout the process, both competitors in the KC-45A acquisition hailed the Air Force for conducting a fair and open competition.

- All modern jetliners are built from a global supplier base and the two entrants in the KC-45A competition are no exception. The Boeing tanker includes parts manufactured in Japan, United Kingdom, Canada and Italy.

- The Northrop tanker includes parts built in the United Kingdom, Germany, Spain and France.

- The Northrop KC-45A will include approximately 60 percent U.S. content. It is America’s tanker.

- There are numerous examples of transatlantic cooperation on vital U.S. military programs. Foreign suppliers currently play essential roles in the F-35 Joint Strike Fighter and the VH-71 Presidential Helicopter. In fact, on the C-27J Joint Cargo Aircraft program, Boeing is responsible for producing the Alenia Aeronautica (Italy) aircraft in Jacksonville, Fla.

- No sensitive military technology will be exported to Europe. For the KC-45A program, a commercial A330 jetliner will be assembled by American workers in EADS’s facility in Mobile. The aircraft will then undergo military conversion in an adjacent Northrop facility. All of the KC-45A’s critical military technology will be added by an American company, Northrop, in America, in Mobile Ala.

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This page contains a single entry by Muhammed El-Hasan published on March 6, 2008 10:30 AM.

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Biz Waves is a one-stop Web hub for business news and content from the South Bay region of Los Angeles County and beyond.

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Muhammed El-Hasan, a business reporter at the Daily Breeze since 2000, covers aerospace and everything else about business in the South Bay. Muhammed previously reported at the San Bernardino Sun and the community news division of The Orange County Register. He also worked as a researcher in the Jerusalem bureau of the Los Angeles Times in 1996-97. But his career highlight as a young man was driving a forklift at a Gardena company near Hawthorne, where he grew up.

You can email Muhammed at muhammad.el-hasan@dailybreeze.com

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