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EADS vs. Boeing: Who's Got the Advantage?

Airbus countered Boeing's statement of triumph, saying that from what it gathered and confirmed from the WTO panel report, 70% of the U.S. claims against the European Union had been rejected; that the European reimbursable loan mechanism has been confirmed to be a legal and compliant instrument of partnership between government and industry; and that the panel refused the U.S. request for remedies as legally inappropriate. "These results are in stark contrast to Boeing's enthusiastic expectations announced only last night in a statement by the company," EADS stated.

EADS, enthusiastic about deepening its imprint in the U.S. market, looks like it's ready to proceed with a bid. The Pentagon has already granted the company prime-contractor status, and the company is close to receiving a 90-day extension for the company to have more time to prepare for a bid, according to Reuters.

"I believe that EADS sees a path where they could submit a bid with a reasonable chance of winning that Northrop did not see, and for different reasons," Leeham aerospace analyst Scott Hamilton told Reuters. According to the report, Hamilton also said that EADS had fewer qualms about fixed-price contracts than Northrop, given its know-how with commercial aircraft deals.

All of which begs the question: Looking at the past and current developments, what do you think are the odds of EADS winning the lucrative U.S. tanker deal?

Are the odds stacked against EADS winning the refueling plane contract?

Yes, Boeing has a clear advantage and will win the contract.
No, EADS still has a legitimate -- and fair -- shot at winning the bid.

-- Reported by Andrea Tse in New York


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