Antonov in the race for U.S. tanker planes

LOS ANGELES, July 12 (UPI) -- The former Soviet aircraft manufacturer Antonov is in a $29.5 billion race to become a supplier of refueling tanker aircraft for the U.S. Air Force, which would make military and political history if implemented.

Boeing and European Aeronautic Defense and Space Co. are already in the contest for the giant contract. In 2008, EADS and Northrop Grumman won the contract to build the tankers but, after Boeing protested, the military began the bidding process all over again.

News of Antonov's potential participation in the venture came after U.S. Aerospace, Inc., a U.S. aerospace and defense contractor, announced that it has submitted a bid to the Air Force to supply 179 aerial refueling tankers at $150 million per plane, with a total bid package of $29.55 billion. That amount includes research and development costs.

The aircraft components will be built by Antonov in Ukraine with final assembly of the planes by U.S. Aerospace, Inc. in the United States, the company said.

Antonov, formerly a Russian enterprise under the Union of Soviet Socialistic Republics, is now a wholly Ukrainian company, Charles Arnold, a senior adviser to the company's board, told United Press International. The Soviet Union collapsed in 1991, leading to its breakup and rise of independent states, including Ukraine.

"We are proud to be participating in the largest military contract bid in history," said U.S. Aerospace, Inc. Director Michael L. Goldberg.

"We are pleased to be executing on our aerospace business plan focusing on expanding our company's sales and manufacturing capabilities."

Arnold said the joint bidders were well-placed to compete against Boeing and EADS.

He said Antonov winning the bid would go some way toward helping Ukraine reduce its dependence on Russia while giving U.S. taxpayers value for their money.

Arnold said there were no security issues involved with Antonov manufacturing the Air Force plane because, once the heavy components were built in the Ukraine, the aircraft would be fully assembled on U.S. soil under U.S. supervision.

Antonov is the designer and maker of the world's first and second largest aircraft, the AN-225 Mriya and AN-124 Condor strategic airlifter, and the AN-148 and AN-158 commercial airliners.

U.S. Aerospace, Inc. is a publicly traded aerospace and defense contractor with headquarters in Southern California and an emerging supplier on projects for the U.S. Department of Defense, the Air Force, Lockheed Martin Corporation, L-3 Communications Holdings, Inc., the Middle River Aircraft Systems subsidiary of General Electric Company, and other aerospace companies.

Meanwhile, EADS launched a counter-campaign in its bid to win the refueling tanker contract, promising to build a "real American tanker" and create "real American jobs."

Campaigning in Mobile, Ala., EADS North America Chairman Ralph Crosby called his company's tanker "the best thing for our men and women in uniform."

Crosby told a cheering crowd that Boeing's tanker is only on paper but his company's tanker is already flying in other countries, WKRG.com reported.

Alabama Gov. Bob Riley told the crowd the U.S. Gulf Coast needs the contract now more than ever. "We have as much need for economic stability here on the Gulf Coast as any other area," said Riley.

Boeing Co. and EADS submitted their bids earlier. The Air Force is expected to render its final decision this fall.