Small US aviation firm withdraws from Air Force tanker bid

Oct 20, 2010, 18:26 GMT

Washington - US Aerospace Inc, a small aircraft manufacturer based in southern California, withdraw from the competition Wednesday to supply the US Air Force with its next generation of tanker refuellers.

US Aerospace, which had partnered with the Ukrainian firm Antonov to bid for the 35-billion-dollar contract to build 179 tankers, had been considered a long shot to win the lucrative deal against giants Boeing Co and the European Aeronautic Defence and Space Co (EADS).

The Air Force in June rejected US Aerospace's bid because it missed the July deadline my five minutes. The company's protest was not granted by a congressional oversight agency.

'America's service men and women have been forced to wait too long for new tankers,' US Aerospace CEO Jim Worsham said. We feel a deep responsibility for their safety and ability to fulfill the important missions our nation calls upon them to perform, they must always remain our top priority.'

The Pentagon has been trying to award the contract for years but has faced numerous delays. After awarding the deal to EADS, Boeing successfully protested the decision and the Air Force had to reopen the competition.

The winner is expected to be announced by the end of this year.