![]()
- Dubai Debt Delay Rattles Stock, Bond Markets
- Fannie Mae to Tighten Lending Standards: Report
- China Overcapacity Worsening, EU Chamber Warns
- Investing in Good Karma – and Making a Profit
- Black Friday to Avoid Red Ink; Greenback Gets the Blues
- Wal-Mart Price Pressure Hurts China Workers: Report
- Bankruptcies Jump, Hitting Highest Level in Four Years
- Steepest Black Friday Discounts, Revealed
- Where Do Pardoned Turkeys Go?
- 4 Thanksgiving Week Buys For Your Portfolio: Market Pros
- There's a 'Great Chance' For a Double-Dip Recession: Strategist
- Revenge of the Gangsta Nerds
- Will TCU See The "Flutie Effect?"
- Retail Earnings and Sales to Improve in Q4: Analyst
- Consumers Catching the Holiday Spirit
- It's Beginning To Look A Lot More Riskless
- Crescenzi: Claims Level Suggests End to Job Losses
- Hedge Funds Take Early Lead in Warren Buffett's 'Big Bet'
MOST SHARED
- The Executive Job Search
- Chinese Overcapacity is Worsening, EU Chamber Warns
- US Mint to Suspend American Eagle Gold 1-Ounce Coins
- Judge Erases Couple's $525,000 Mortgage Payment
- Salvation Army's Kettles Now Credit Card-Ready
- Topless Business Is Taking Off
- Wal-Mart Price Pressure Hurts China Workers: Report
- Black Friday: Bargain or Bust?
- The 'Real' Jobless Rate: 17.5% Of Workers Are Unemployed
Correspondent
Secretary of Defense Robert Gates announced that he is returning the authority to choose the next Air Force refueling tanker back to the Air Force.
![]() |
CNBC.com Defense Secretary Robert Gates |
That authority was taken away from the Air Force after last year's successful challenge by Boeing [BA
Loading...
()
] of the win by Northrop Grumman [NOC
Loading...
()
] and Airbus.
"The Air Force is pleased at today's announcement and the confidence Secretary Gates is placing in the Air Force," the military branch said in a statement. "Tanker recapitalization remains the Air Force's number one acquisition priority."
The Air Force said it will soon release a draft of new proposed rules for competitors who want to bid to build the new tanker, in a process that has lasted nearly a decade for a contract that could total over $100 billion. A formal set of rules is scheduled to be released later this year "with contract award slated for 2010."
The military has continued to say it wants only one winner, as pressure has mounted for a split buy.
"We're looking forward to working with the U.S. Air Force on this very critical effort to replace America's KC-135 refueling fleet," Boeing said in a statement. The aircraft giant indicated it may offer up another version of its original tanker entry, depending on the new rules.
"Whether it's the agile, wide-body 767-based tanker or a superb large tanker in the 777, Boeing's tanker options feature maximum capability at a lower cost than our Airbus competitor."
One reason the Air Force originally chose the Northrop Grumman/Airbus tanker was because of its larger size.
Northrop Grumman released a short statement saying it is "pleased that a decision has been made and we are looking forward to competing and winning the tanker contract again."
Northrop expects the proposed rules for bidding to come out by the end of the month, likening the restart of the competition to the movie "Groundhog Day".
Boeing supporters have been pressing the Pentagon to disqualify Airbus from entering the competition, after the World Trade Organization ruled preliminarily that European subsidies to Airbus are illegal.
- For nearly three decades, these on-call experts have been dishing advice on how to – and not to – cook turkey.
- Eric Schmidt pledges to create a virtual copy of the Iraq National Museum at Google’s expense.
- Bill Griffeth is taking a leave of absence from CNBC and Power Lunch for a year. Here's a message from Bill.
- More shoppers than ever plan to comparison-shop this season. Who will benefit?
- It may be the most unusual guide to business you'll read.
- How can you get out of debt and back on the road to recovery? Follow these ten steps.













