Pacific Northwest Unless the Pentagon allows Boeing six months to prepare its entry for the renewed Air Force tanker contract, there's "a...

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Pacific Northwest


Unless the Pentagon allows Boeing six months to prepare its entry for the renewed Air Force tanker contract, there’s “a really high likelihood” the company will decide not to bid, Boeing defense chief James Albaugh told The Wall Street Journal.

The newspaper reported on its Web site Thursday that Boeing believes the latest Pentagon requirements for the aerial-refueling tanker call for a plane that can haul more fuel than the modified 767 originally pitched by Boeing. The Defense Department is considering giving Boeing and the rival Northrop Grumman-EADS joint venture a total of 60 days to submit new bids.

“I think the option we would have if we were not given the six months, there is a really high likelihood that we would no-bid the program,” Albaugh said.

Northrop-EADS won the $40 billion tanker job in February, but the Air Force decided to rebid the contract after the Government Accountability Office upheld Boeing’s protest in June.


Severance to cost Alaska Air millions

Alaska Air Group said it will take a charge of as much as $3 million this quarter for employee severance, and may have additional costs to retire aircraft as it struggles with elevated fuel prices.

Alaska Airlines, the company’s main unit, said last month it will cut 5 percent of management jobs, or about 80 positions. At least one CRJ-700 jet will be retired this quarter as the carrier phases out that aircraft type, and the amount of any charge isn’t yet known, the Seattle-based parent company said in a regulatory filing Thursday.

Alaska reiterated its plan to take a charge of $28 million to $30 million as it retires two MD-80 aircraft.


Workers at Todd reject “final” offer

Union workers at Todd Shipyards on Thursday rejected a “best and final” contract offer, setting up the potential for a showdown at the Seattle-based shipbuilding and repair company.

About 450 of the 800 or so workers eligible to vote on the proposal did so, said Robert Scott, a business representative for Northwest carpenters and president of the Puget Sound Metal Trades Council, which represents 11 unions at Todd. He did not disclose the vote margin.

Besides subcontracting language, Scott said, the major issue was “mistreatment and disrespect on a daily basis.”

A company spokesman was not available for comment Thursday night.

Compiled from Seattle Times staff and Bloomberg News