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Boeing may drop tanker plans on government decision: report

NEW YORK
Tue Jun 17, 2008 11:16pm EDT

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NEW YORK (Reuters) - Boeing Co (BA.N) may be forced to abandon its plans to sell its own tanker internationally if it loses its protest of the U.S. Air Force's decision to buy at least $40 billion worth of aerial refueling tankers from a competitor, the Wall Street Journal reported on Tuesday.

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The paper quoted Boeing's executive in charge of its tanker program Mark McGraw, saying that Boeing had counted on the Pentagon to provide enough production volume to make an international tanker business viable.

The Government Accountability Office is expected to decide on Boeing's protest as soon as Wednesday, the Journal said.

A Boeing spokesperson was not immediately available.

(Reporting by Yinka Adegoke, Editing by Jacqueline Wong)



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