A consortium led by U.S. military contractor Northrop Grumman dropped out of the competition to build the Air Force’s next-generation refueling plane, effectively awarding the contract to Boeing, the only other bidder. The move climaxes a convoluted battle for the
$35 billion contract.
Boeing was tapped to build the tanker plane in 2003, but the Air Force canceled the deal amid charges of corruption. Northrop won the contract in 2008, but the Air Force reopened the bidding after Boeing complained that the contract’s specifications favored the Northrop group. Northrop has made a similar complaint about the new contract, but dropped out to avoid further delays in the program.
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