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Gates urges no delays as Boeing battles EADS plane deal

by Staff Writers
Washington (AFP) April 21, 2008
US Defense Secretary Robert Gates said Monday it would be "a real shame" if delivery of a new air refueling plane was delayed by Boeing's challenge of a huge deal awarded its European rival EADS.

Speaking at an air force university in Alabama, Gates said Boeing had a right to challenge the 35-billion dollar contract to build up to 179 tanker planes as a replacement for US Air Force's KC-135.

"All I can say is that I think it would be a real shame if the tankers were to get delayed," Gates said. "We are long past due in terms of getting on with this program."

He said the Defense Department by law could consider only technology, capability and the costs of the two competing bids.

Congressional critics have attacked the Pentagon for awarding the contract to Northrop Grumman Corporation and the European Aeronautic Defence and Space Company (EADS), parent of Airbus, and the arch rival of US company Boeing.

"Based on everything I've seen this was a fair process but we'll wait and see what the GAO report says," Gates said, referring to the Government Accountability Office, which is reviewing the Boeing challenge.

"But I think that some things unrelated to what the law says we can consider are being thrown into the mix at least on Capitol Hill and that's a concern," he said.

The filing of Boeing's protest in mid-March effectively froze the contract and started a 100-day period for the GAO to announce its findings.

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Chinese ship with arms for Zimbabwe headed to Angola: CNN
Washington (AFP) April 19, 2008
A Chinese ship carrying arms destined for Zimbabwe headed to Angola after a South African court barred its cargo from being transported overland to the border, CNN reported Saturday.







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