Friday, April 17

EADS chief OK with split tanker buy

The chief executive of EADS, Louis Gallois, said his company and partner Northrop Grumman would probably bid on a $35 billion tankers project even if the Pentagon decided to buy from both Northrop/EADS and Boeing. His condition is his company would have to be able to build at least 12 planes a year. Secretary of Defense Robert Gates opposes a split buy, but there’s a move underway in Congress to buy from both aerospace giants. (Source: New York Times, 04/16/09) Gulf Coast note: EADS NA plans to assemble the planes in Mobile, Ala., at Brookley Industrial Complex. Northrop Grumman also plans to build a site next to EADS’ plant should the team win the contract. EADS has also expressed interest in building cargo planes at the site.

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