In awarding the contract for refueling planes, the Air Force told Boeing one thing, then did another, and made crucial math errors, an auditor's report saysA new, fuller account of the June 18 auditor's ruling that gives Boeing (BA) another shot at a $35 billion contract for refueling tanker planes details numerous instances of "prejudicial" bungling by the U.S. Air Force as it weighed Boeing's bid against the chosen manufacturer, Northrop Grumman (NOC) and European partner European Aeronautic Defence & Space (EAD.PA), the parent of Airbus.
The Air Force made mistakes in math and procedure, failed to consider all information it was given, underestimated costs by hundreds of millions of dollars, changed specifications and ratings but only notified Northrop of the changes, and failed to check that the tankers could refuel all planes in the fleet, according to the 67-page Government Accountability Office ruling made public June 25.
If not for the mistakes, said the GAO, "we believe that Boeing would have had a substantial chance of being selected for award."
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