Pentagon may budge on fixed-price

The Air Force chief of staff, Gen. Norton Schwartz, says changes to the request for proposals for the aerial tanker will “lessen the financial risk” for bidders. But he characterizes the changes as “modest.” Schwartz says the final RFP will be issued within a month of the fiscal 2011 budget release scheduled for Feb. 1. Boeing and the Northrop Grumman/EADS team are expected to bid for the work, though Northrop has threatened not to bid if the RFP is not changed. (Source: Aviation Week, 01/20/10) Gulf Coast note: The Northrop/EADS team wants to assemble tankers in Mobile, Ala.