Northrop will not protest Lockheed satellite win

WASHINGTON, Dec 19 (Reuters) - Northrop Grumman Corp (NOC.N) said on Friday it would not follow Boeing Co's (BA.N) lead in filing a protest against a $1.1 billion contract for next-generation weather satellites won by Lockheed Martin Corp (LMT.N) on Dec. 2.

Boeing filed a protest on Monday with the nonpartisan Government Accountability Office against a decision by NASA to award the Geostationary Operational Environmental Satellite R-Series (GOES-R) contract to Lockheed, saying it remained convinced it had submitted a superior offer.

Northrop had also bid for the program, but opted against a protest, said spokesman Randy Belote.

"Northrop Grumman believes it submitted a competitive proposal that met the requirements of the GOES-R solicitation and is disappointed that it was not selected, however, Northrop Grumman will not protest the contract award," he said.

The contract calls for Lockheed to build two new satellites and includes options for two additional spacecraft.

The GAO has the authority to review government acquisition decisions and recommend corrective actions, including termination of contracts if they are deemed improper.

Protests have become far more common in recent years as the number of defense deals available to bidders has declined and their relative size has increased.

For instance, Boeing prevailed in its protest against a $35 billion aerial refueling tanker contract won by Northrop Grumman Corp (NOC.N) and its European subcontractor EADS (EAD.PA) and the Pentagon in September announced it would redo the entire competition.

Northrop is also no stranger to protests. Last month, it filed a protest against a set of U.S. Army contracts for vehicles prototypes that could replace the U.S. Humvee fleet in a deal valued at up to $40 billion. (Editing by Andre Grenon)