Northrop Threatening No Participation Over Cost Data
October 29, 2009 by Matthew Potter
Filed under: Alabama, Boeing, Department of Defense, EADS, KC-X, KC-X Tanker News, Northrop Grumman Corp., Proposal, Protest, Syndicated Industry News
Filed under: Alabama, Boeing, Department of Defense, EADS, KC-X, KC-X Tanker News, Northrop Grumman Corp., Proposal, Protest, Syndicated Industry News
Yesterday Northrop announced that it is considering not participating in thew new KC-X competition. They are concerned that the the way the price requirement is structured may not be fair to them. They are also pursuing the complaint that their cost data was provided to Boeing during the protest of the last award and want access to the same information.
If Northrop and EADS don’t submit a bid it will be hard to get actual competition on the contract. That would leave just one submission, Boeing, or perhaps two from them if they go the route of having a 777 as well as a 767 proposal. This situation would make it hard for the Air Force to proceed.
The chances of Northrop doing this is low and the Department of Defense realizes it. This is the largest procurement coming down the road and both EADS and Boeing need the work. Of course if there is really a belief that their bid cannot win no matter what then Northrop should just save the money and not prepare one. This is only the draft RFP so the next year or so should be interesting.
Read the original post here.
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