Shock over Boeing's loss spreads across state, nation

Shock over Boeing's loss spreads across state, nation »Play Video
Boeing union workers protest the U.S. Air Force's decision to award a tanker contract to Airbus-Northrop Grumman in Everett.
WASHINGTON - Shock and outrage spread nationwide over the Air Force's decision to award its next-generation refueling tanker to a foreign contractor instead of U.S.-based Boeing Co.

The contract, worth at least $35 billion and possibly much more, was awarded Friday to European Aeronautic Defence and Space Co., the maker of Airbus planes, and Northrop Grumman, rather than Boeing.

In a joint statement, the state's two senators and six of its nine House members said they were outraged by the choice of a European company "and its foreign workers" to provide a tanker to the U.S. military.

"This is a blow to the American aerospace industry, American workers and America's men and women in uniform," said the statement, which was issued by U.S. Rep. Norm Dicks, Sens. Patty Murray and Maria Cantwell, and Reps. Rick Larsen, Jay Inslee, Adam Smith, Jim McDermott and Dave Reichert.

"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."

But the outrage wasn't confined to Washington state, and much of it reflected a deep concern among some that a U.S. military contract had been issued to a foreign contractor.

"I am deeply troubled by the Air Force's decision to award the KC-X tanker to a French company that has never built a tanker in its history.

"We should have an American tanker built by an American company with American workers. I cannot believe we would create French jobs in place of Kansas jobs," said Rep. Todd Tiahrt, R-Kan., who represents the district in Wichita where Boeing would have performed much of the tanker work.

"We should have an American tanker built by an American company with American workers," he said.

Dicks, a senior member of the House panel that oversees military spending, also hinted that Congress might take some kind of action.

He said many lawmakers "don't want Airbus building this plane."

And Tiahrt vowed to seek a review of the decision "at the highest levels of the Pentagon and Congress" in hopes of reversing it.

Some political bloggers suggested that the contract award could even become an issue on the campaign trail.

Both Hillary Clinton and Barack Obama have made preservation of American jobs a key cornerstone of their campaigns, although neither has directly addressed the Air Force contract issue yet.

Labor unions and organizations across the country were also quick to denounce the Air Force decision.

"Today's decision is a serious blow to a key American industry," said Rich Michalski, general vice president of the International Association of Machinists. "President Bush and his administration have denied real economic stimulus to the American people and chosen instead to create jobs in Toulouse, France."

"The Air Force has made the wrong decision by choosing the EADS/Northrop plane over the U.S.-made, Boeing KC-767 aerial refueling tanker," said a statement issued by Labor Council for Latin American Advancement, which supports Hispanic workers.

"The Boeing KC-767 tanker would have supported more than 44,000 American jobs in over 40 states, while EADS/Northrop will take a large percentage of those same jobs overseas," the statement said.

Tom Wroblewski, president of Machinists Union District 751, called the Air Force decision ill-considered.

"Airbus does not even currently build a tanker," he said. "It is a paper airplane only, and they do not even have a factory built in the U.S. at this time. Our members could have started building the tanker today, and we have a superior product that has already been delivered to customers."

Because of the Air Force decision, "America has to rely on a foreign country to defend our nation. This is wrong. And we will not stand silent on this issue," he said.

However, there were pockets of support for the Air Force decision in some quarters.

The EADS/Northrop Grumman team plans to perform its final assembly work in Mobile, Ala., although the underlying plane would mostly be built in Europe. And it would use General Electric engines built in North Carolina and Ohio.

Northrop Grumman, which is based in Los Angeles, estimates a Northrop/EADS win would produce 2,000 new jobs in Mobile and support 25,000 jobs at suppliers nationwide.

"I've never seen anything excite the people of Mobile like this competition," Sen. Jeff Sessions, R-Ala., said. "We're talking about billions of dollars over many years so this is just a huge announcement."