Sunday, March 2, 2008
Hard times ahead
The air tanker deal Boeing was expecting is not going to happen. Many are shocked that the deal went to Air bus. I wasn't totally surprised given the background of the whole process. When the request for new tankers first came out it was to be a lease agreement until someone realized that it would be cheaper to buy the aircraft. Then a Boeing exec got into a bit of trouble for some unethical practices with the Air Force procurement office. I don't remember whether that was during the lease phase or just prior to its' change to a sales agreeement. That must have given EAD enough time to get its' act together.
It's always nice to have a large company in your backyard and have them get a fat government contract, but the loss of this one may be a real blow to our area here as well as Kansas and Texas and several other areas around the country. The 737's that are built here were dropped from the line and the 767's ( the base ariframe for the tankers) will be shut down in 4 years. The end result:
There used to be a sign here back in the late 70's that read: " Will the last person leaving Seattle please turn out the lights."
Only problem now is where would anyone go? Manufacturing has been beaten to death in this country. Service jobs have moved to India. Banks are on shakey ground. Health care is being insourced. What does that leave us with?