Boeing says will forego further challenges to Northrop bomber deal

Reuters News
Posted: Feb 26, 2016 2:01 PM

WASHINGTON (Reuters) - Boeing Co on Friday said it would forego any further challenges to an estimated $80 billion U.S. Air Force bomber contract awarded to Northrop Grumman Corp last year.

The decision came after the U.S. Government Accountability Office last week rejected a formal protest filed by Boeing and its key supplier, Lockheed Martin Corp.

"While we remain firmly convinced of the validity of the issues raised in our protest to the Government Accountability Office of the Long Range Strike-Bomber contract award to Northrop Grumman, the Boeing-Lockheed Martin team has decided not to pursue further challenges to that award, either through the GAO or in federal court," the company said in a statement.

(Reporting by Andrea Shalal; Editing by Tom Brown)