From CNN:
The U.S. Air Force on Friday announced one of the largest military acquisition programs in U.S. history, saying the service had chosen Northrop Grumman over Boeing to replace its aging air refueling tanker fleet.
Why is this important? Because it shows our Federal Government under the Bush administration doesn't give a SHIT about our falling dollar. Boeing, an American aviation company based in Washington, was competing with Northrop Grumman, for a $40B defense contract. Northrop Grumman will use Airbus, a European company, to construct the frames for the aircraft. Our federal government, even at this critical juncture in our economic history, is resorting to massive outsourcing to service its needs.
A statement was released by Washington Sens. Patty Murray and Maria Cantwell, and Reps. Norm Dicks, Rick Larsen, Jay Inslee, Adam Smith (again), Jim McDermott and Dave Reichert.
"We are outraged that this decision taps European Airbus and its foreign workers to provide a tanker to our American military.
"This is a blow to the American aerospace industry, American workers and America's men and women in uniform.
"Boeing has 75 years of experience in building the tankers our military flies. Washington state's workers are second to none and so is their product.
"At a time when our economy is hurting, this is a blow not only to our state, but the more than 40 states across the country who would help build this national plane.
"We will be asking tough questions about the decision to outsource this contract. We look forward to hearing the Air Force's justification."
The Air Force released a statement defending its decision:
"We had two very competitive offers in this competition," said Sue Payton, assistant secretary of the Air Force for acquisition, briefing reporters after Wynne made the announcement. "Northrop Grumman clearly provided the best value to the government."
What about the best value to our country? It should be an easy fucking choice. Spend $40B improving our own manufacturing base, or blow the money overseas as our dollar continues to fall? Even if Northrop Grumman was slightly cheaper, isn't it prudent to invest in our own country so that we're competitive in the future? Are we the only country in the fucking world that doesn't get we have to practice economic nationalism if we don't want to continue falling further and further behind in the global economy? Relative to the dollar, the Euro has tripled in value over the past 8 years alone, so I can only assume that Republicans WANT the nation to become poor! I mean what the fuck!
Link to the original story.
Update - It seems Boeing may have made its own bed:
This contract was originally given to Boeing.
By a Defense Department official who had been recruited for a job at Boeing afterwards.
Who went to jail for that bit of corruption.
Which also forced the resignation of Boeing's CEO.
Following Boeing's attempt to bribe the decision-make to throw the deal their way, the Defense Department was forced to use an open bidding process.
In that process Boeing lost.
--From Elwood Dowd in the comments, who clearly knows way more about local Washington politics than me. Thanks for setting me straight.
Another update from Ralphdog:
Boeing has repeatedly screwed the pooch under its current corrupt and incompetent management. Several high executives were fired and may do jail time over an earlier scam involving obscenely profitable "lease terms" for these same tankers; the deal was quashed when its sleazy details were uncovered.
Then there's the multi-billion dollar advanced spy satellite contract; Boeing pulled strings and low-balled the bid, stealing the business from Lockheed which had decades of experience in this area. Boeing's team utterly botched the project, wasting billions of dollars before the plug was finally pulled as it became obvious that it would never work.
Then there's Boeing's failed entry in the JSF fighter competition; it was grossly overweight and aerodynamically deficient, requiring total redesign before any production decision.
In my opinion, the military side of Boeing has been so incompetently managed that the Pentagon is making the prudent choice here.