douwd20
Posts: 107
Joined: Fri May 13, 2005 3:45 am

Northrop, Eads To Link Up For Bid

Wed Jun 08, 2005 2:18 pm

Wall Street Journal is reporting that EADS and Northrop will link up.

Trans-Atlantic Team Seeks To Break Boeing Monopoly On Aerial-Refueling Jets. The partnership is to be announced in July. Somewhat unprecedented I would venture.
 
cairo
Posts: 889
Joined: Mon Jun 06, 2005 2:41 pm

RE: Northrop, Eads To Link Up For Bid

Wed Jun 08, 2005 2:33 pm

This is a smart move for EADS. If they can get bids submitted under the Northrop name, even if EADS does 90% of the work, it will be a great help to their chances of winning US defense contracts. It's good to give Boeing some competition, and it's good for the taxpayer who might actually get a lower priced option for once.


Cairo
 
douwd20
Posts: 107
Joined: Fri May 13, 2005 3:45 am

RE: Northrop, Eads To Link Up For Bid

Wed Jun 08, 2005 2:50 pm

The article says EADS is planning to announce on June 22 where it will build a U.S. factory if it wins work on the Pentagon tanker and that the hope is the Pentagon will split the deal between Boeing and Airbus.....

Northrop is drawn to the tanker program, betting that the Air Force will divide its tanker purchases between Boeing and EADS. That foothold ultimately could lead to additional Pentagon work, using Airbus planes not only as tankers but also for transport and surveillance missions
 
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RE: Northrop, Eads To Link Up For Bid

Wed Jun 08, 2005 2:58 pm

The Lockheed Martin US101 would seem to offer encouragement to this venture. On the other hand, the backlash from that may work against EADS/Northrop Grumman.
 
douwd20
Posts: 107
Joined: Fri May 13, 2005 3:45 am

RE: Northrop, Eads To Link Up For Bid

Wed Jun 08, 2005 3:09 pm

But the backlash would be muted by the fact that Airbus is building in the US? Can't argue against jobs.

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