Boeing reaffirmed for Stratotanker

SAN ANTONIO -- The Air Force has reaffirmed its decision to award The Boeing Co. a 10-year, $1.1 billion contract to maintain the KC-135 Stratotanker. Boeing said it would need 200 extra people to do that work.

The contract has been on hold since September, when the losing bidder for it, Pemco Aviation Group Inc. of Alabama, filed a formal protest against the award. It still could protest this latest decision. Officials with Pemco -- which now goes by Alabama Aircraft Industries Inc. -- did not return calls for comment.

The protest forced Boeing to shelve its hiring plans while the Air Force reviewed the bids. Another protest would mean another hiring delay.

"We're pleased that the Air Force has reaffirmed the choice of The Boeing Co. to perform the KC-135 programmed depot maintenance contract," said Forrest Gossett, spokesman for Boeing Integrated Defense Systems. "The Boeing offering is the best value in terms of cost, capability and low risk. It's time to execute the contract and make sure there are no gaps in supporting the war fighter" -- a military term that refers to a combat service vehicle.

About 300 people in San Antonio work on the program that keeps the Air Force's main refueling jet in the air. Boeing Support Systems also has 80 people in Oklahoma and 75 in Missouri who are part of the project team.

Boeing will perform scheduled maintenance on the planes, which is needed every five years. Scheduled services include inspections, repairs, modifications and repainting. Unscheduled maintenance -- about half the work -- also will be performed whenever needed.

It takes Boeing 180 to 190 days to turn around one plane, and San Antonio works on as many as 25 planes a year at Port San Antonio. About a third of the KC-135s come to San Antonio for scheduled maintenance, while the rest go to Tinker AFB in Oklahoma.

The plane has been in service for 50 years and is due to be replaced by the new KC-45.

Boeing lost the bid to build that plane for the Air Force, which announced Friday that it was going with a partnership of EADS and Northrop Grumman. The maintenance contract for the KC-45 has not been put out for bid.

Boeing has had the maintenance contract on the KC-135 since 1998. The San Antonio facility has completed work on 170 planes.