EADS threatens not to bid for U.S. tanker: report
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BERLIN (Reuters) - European aerospace group EADS is considering whether to bid in a U.S. air tanker competition after the United States cancelled it for now, Germany's Der Spiegel weekly reported on Saturday."We will only bid if we can be sure that we stand a fair chance," Spiegel quoted a senior EADS manager as saying, referring to the competition's future next year.Defense Secretary Robert Gates has canceled a $35 billion air tanker competition between Northrop Grumman Corp and Boeing Co , saying it was impossible to decide the bitterly fought contest before the administration of U.S. President George W. Bush leaves office in January.Northrop had bid for the huge contract alongside EADS, parent of Airbus. A decision to award them the deal this year was successfully challenged by Boeing, which has asked for more time before the contest is reopened.The Europeans' indirect threat not to bid was meant to put pressure on the new U.S. administration, Der Spiegel said, adding the United States needed at least two bidders to achieve a good price.(Reporting by Kerstin Gehmlich; editing by Michael Roddy) (c) Reuters 2008. All rights reserved. Republication or redistribution of Reuters content, including by caching, framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters and the Reuters sphere logo are registered trademarks and trademarks of the Reuters group of companies around the world.
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