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Posted: 1/27/2021 4:16:07 PM EDT


https://www.defensenews.com/industry/2021/01/27/boeings-cost-overruns-on-kc-46-now-exceed-its-initial-contract-with-the-air-force/#.YBHEQzTamxQ.twitter


Edited on 1/27/21 at 1:44 p.m. to provide more details on the cost overrun.

WASHINGTON — With the Jan. 27 announcement of a new $275 million charge on the KC-46, Boeing has now paid as much in cost overruns for the troubled program as the U.S. Air Force invested in the tanker’s development.

The new charge, which the company reported as part of fourth-quarter 2020 earnings, means Boeing has now paid more than $5.0 billion out of pocket to pay for the myriad technical problems and production issues that have cropped up since the company won the program in 2011. Under the firm, fixed-price contract signed then, Boeing is responsible for paying for any costs in excess of the contract’s $4.9 billion ceiling.

The latest KC-46 overrun occurred “primarily due to production inefficiencies including impacts of COVID-19 disruption,” the company said.

Steve Trimble of Aviation Week put together a list of KC-46 charges by year, finding that the program documented its largest overrun in 2020 despite seeing charges decrease to only $148 million in 2019.

continued at link...

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Link Posted: 1/27/2021 4:18:21 PM EDT
[#1]
Link Posted: 1/27/2021 4:19:39 PM EDT
[#2]
Link Posted: 1/27/2021 4:19:59 PM EDT
[#3]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Was this the contract that sent Darleen Druyun to prison?
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I think so
Link Posted: 1/27/2021 4:20:59 PM EDT
[#4]
Let Space X start competing.  They could probably deliver a working tanker for less than the original contract amout.

I'm saying that partly in jest, but Boeing has really been a clusterfuck lately....
Link Posted: 1/27/2021 4:22:05 PM EDT
[#5]
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

Link Posted: 1/27/2021 4:27:49 PM EDT
[#6]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large
View Quote

"Pull up! PULL UP!!"
Link Posted: 1/27/2021 4:29:56 PM EDT
[#7]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large
View Quote

What software is that?
Link Posted: 1/27/2021 4:32:09 PM EDT
[#8]
why can't gov contractors do anything right
Link Posted: 1/27/2021 4:32:33 PM EDT
[#9]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large
View Quote


Lies.  We just need more mandatory meetings, powerpoints, and synergy.

Also inspirational quotes from

https://blog.hubspot.com/sales/famous-quotes
Link Posted: 1/27/2021 4:32:57 PM EDT
[#10]
Discussion ForumsJump to Quoted PostQuote History
Quoted:

"Pull up! PULL UP!!"
View Quote View All Quotes
View All Quotes
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large

"Pull up! PULL UP!!"

MCAS says no.
Link Posted: 1/27/2021 4:41:10 PM EDT
[#11]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
why can't gov contractors do anything right
View Quote

Campaign donations trump incompetence when it comes to politicians.  They don’t care what the contract calls for or how it’s executed.  Airbus was going to build a manufacturing site in Mobile if they won that contract.  They won it in initially then the AF rebid it with multiple spec changes during the bidding process.  Classic bid rigging, Boeing knowing ahead of time what the next change would be.
Link Posted: 1/27/2021 4:46:08 PM EDT
[#12]
Boeings down almost 5% before close. Not like the .Gov has any other domestic choice but to use them anyway for aircraft like that. DJIA down almost 800 points before close overall.
Link Posted: 1/27/2021 4:47:40 PM EDT
[#13]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Boeings down almost 5% before close. Not like the .Gov has any other domestic choice but to use them anyway for aircraft like that. DJIA down almost 800 points before close overall.
View Quote


They know the gov will make it rain on them
Link Posted: 1/27/2021 4:48:16 PM EDT
[#14]
Discussion ForumsJump to Quoted PostQuote History
Quoted:

MCAS says no.
View Quote View All Quotes
View All Quotes
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Quoted:
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large

"Pull up! PULL UP!!"

MCAS says no.

"Wait a...this isn't a business plan; it's an escape plan!"
Link Posted: 1/27/2021 4:48:19 PM EDT
[#15]
Discussion ForumsJump to Quoted PostQuote History
Quoted:


Lies.  We just need more mandatory meetings, powerpoints, and synergy.

Also inspirational quotes from

https://blog.hubspot.com/sales/famous-quotes
View Quote View All Quotes
View All Quotes
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large


Lies.  We just need more mandatory meetings, powerpoints, and synergy.

Also inspirational quotes from

https://blog.hubspot.com/sales/famous-quotes


Don't forget diversity and outsourcing.

We are for to be writing the autopilot code that makes the aeroplane do the needful.
Link Posted: 1/27/2021 4:48:47 PM EDT
[#16]
[MyShockedFace]
Link Posted: 1/27/2021 4:53:30 PM EDT
[#17]
Maybe I'm ignorant, but I don't see how it costs even a fraction of that to put a big add fuel cell and a boom into an existing platform.  Although I guess that the only 2 truly infinite things in existence are the outer reaches of space and the depth of the American taxpayer's pocket.
Link Posted: 1/27/2021 4:55:27 PM EDT
[#18]
Boeing 4th Quarter earnings are out ... its ugly, very ugly

And they deserve every bit of it
Link Posted: 1/27/2021 5:16:38 PM EDT
[#19]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Maybe I'm ignorant, but I don't see how it costs even a fraction of that to put a big add fuel cell and a boom into an existing platform.  Although I guess that the only 2 truly infinite things in existence are the outer reaches of space and the depth of the American taxpayer's pocket.
View Quote


You would think so but with military procurement programs forget it.

The AF kept adding on changes and adding mission stuff. People bitch about the 46 but if AB had won, the AF would be doing the same shit and we would be talking about cost overruns with the KC-45 instead.

Boeing had issues with boom which was a big $ development disaster to the point of switching to MD type. That was %100 Boeing .

They will get the issues worked out like pretty much every airplane.
Link Posted: 1/27/2021 5:44:20 PM EDT
[#20]
Discussion ForumsJump to Quoted PostQuote History
Quoted:


I think so
View Quote View All Quotes
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Discussion ForumsJump to Quoted PostQuote History
Quoted:
Quoted:
Was this the contract that sent Darleen Druyun to prison?


I think so

It was the previous tanker contract where the USAF was to lease a bunch of 767 tankers:  https://en.wikipedia.org/wiki/Darleen_Druyun

A Boeing executive was sent to prison as well and it led to the resignation of Phil Condit, the CEO at the time.  Who was replaced with another POS Harry Stonecipher.

Both her daughter and her Son-in-Law got a job at Boeing in St. Louis.  Her daughter subsequently left Boeing, but the SIL was still at Boeing when I retired in late 2012.  He had a good reputation by all accounts that I heard.

That bitch is still getting a Federal pension - paid for by You-Know-Who.  
Link Posted: 1/27/2021 5:48:41 PM EDT
[#21]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
why can't gov contractors do anything right
View Quote


They are. The government keeps giving them more money.
Link Posted: 1/27/2021 5:53:56 PM EDT
[#22]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Was this the contract that sent Darleen Druyun to prison?
View Quote

I believe that was the lease deal.  Two programs back trying to field the same capability.  
Link Posted: 1/27/2021 5:56:24 PM EDT
[#23]
Can someone explain to me what the problem is here?  It seems to me that the Boeing 367-80 and the DC-10 were adapted to the refueling role with a minimum of drama.  What is different this time?

@AeroE
Link Posted: 1/27/2021 5:58:39 PM EDT
[#24]
Link Posted: 1/27/2021 6:00:33 PM EDT
[#25]
How can they botch something like this THAT badly? It's a flying gas tank based on an existing airframe.  It's not like they are building the F22
Link Posted: 1/27/2021 6:03:09 PM EDT
[#26]
Link Posted: 1/27/2021 6:04:33 PM EDT
[#27]
I was told that the Boeing problems began when professional business men instead of people who build airplanes started running the company.
Link Posted: 1/27/2021 6:16:21 PM EDT
[#28]
Link Posted: 1/27/2021 6:39:36 PM EDT
[#29]
There is a lot of blame to be laid on Boeing, but, the real problem is the way government contracts are written. The incompetent military and civilian bureaucrats can screw up anything!
Link Posted: 1/27/2021 6:44:04 PM EDT
[#30]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
why can't gov contractors do anything right
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Because the alternative pays more.
Link Posted: 1/27/2021 6:49:51 PM EDT
[#31]
Saw one in person a year or so ago. Pretty cool.
It has some interesting features, not sure what's public or not so I'll not mention them.
Link Posted: 1/27/2021 7:44:34 PM EDT
[#32]
Sales is sales.  Overrun counts as sales, too.  Behind closed doors, our friends at BA are laughing.
Link Posted: 1/27/2021 7:53:41 PM EDT
[#33]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
How can they botch something like this THAT badly? It's a flying gas tank based on an existing airframe.  It's not like they are building the F22
View Quote


The defense side was so far apart from the commercial side, that the engineers missed very basic commercial certification design rules early on.
Link Posted: 1/27/2021 7:57:37 PM EDT
[#34]
This... Thing has caused me a great deal of pain.

If I were president the first thing I might do would be to kill this thing and give the name Pegasus to a more deserving aircraft.
Link Posted: 1/27/2021 8:01:17 PM EDT
[#35]
It's neat when you drive past BFI, you see how big the KC-46s look next to the P-8s.  Then a little ways down the road you see how small everything looks next to the 777X
Link Posted: 1/27/2021 8:02:35 PM EDT
[#36]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
How can they botch something like this THAT badly? It's a flying gas tank based on an existing airframe.  It's not like they are building the F22
View Quote


The airframe itself is not the problem. They ignored 65 years of data from the KC-135/KC-10 which showed what worked and what doesn't. They re-engineered everything and are finding out now shit sucks....
Link Posted: 1/27/2021 8:03:42 PM EDT
[#37]
Is this the same tanker where airbus won the contract Ike 10 years ago then Boeing cried and protested and got it overturned? If so I’m torn. Fuck Boeing for screwing my town and Alabama  (temporarily). On the other hand, I bought Boeing low last yr so it needs to go up so I can cash out with a tidy profit.
Link Posted: 1/27/2021 8:08:58 PM EDT
[#38]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Maybe I'm ignorant, but I don't see how it costs even a fraction of that to put a big add fuel cell and a boom into an existing platform.  Although I guess that the only 2 truly infinite things in existence are the outer reaches of space and the depth of the American taxpayer's pocket.
View Quote
Someones bright idea to change how teh boom is 'flown' is really the root of all the bs surrounding this thing.
Link Posted: 1/27/2021 8:10:12 PM EDT
[#39]
Discussion ForumsJump to Quoted PostQuote History
Quoted:

MCAS says no.
View Quote View All Quotes
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Discussion ForumsJump to Quoted PostQuote History
Quoted:
Quoted:
Quoted:
All of the Welch acolytes ruining American industrial firms need to be sent to a prison camp.

https://pbs.twimg.com/media/EsvaGLqVkAE3uzy?format=jpg&name=large

"Pull up! PULL UP!!"

MCAS says no.



Airbus say “retard”
Link Posted: 1/27/2021 8:17:51 PM EDT
[#40]
Don't forget, the KC-46 doesn't even have thrust reversers
Link Posted: 1/27/2021 8:21:47 PM EDT
[#41]
there is no way in hell my projects at the chemical plants could double the initial contract with cost overruns.  

I eat cost over runs

These contracts need to be fixed lump sum.
Link Posted: 1/27/2021 8:23:51 PM EDT
[#42]
Coulda just made an F-35D, the tanker version.  Would have a 20-foot extension to the fuselage for fuel, and a spot for the guy running the boom at the back, just over the afterburner. Would have been just as over budget, but would have shared at least 3 parts with the other variants, so basically cheap to build and run, right?
Link Posted: 1/27/2021 8:28:01 PM EDT
[#43]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Sales is sales.  Overrun counts as sales, too.  Behind closed doors, our friends at BA are laughing.
View Quote

Not when the company has to pay for those overruns.
Link Posted: 1/27/2021 8:29:18 PM EDT
[#44]
Its not like Boeing has any experience with 737s......
Link Posted: 1/27/2021 8:31:29 PM EDT
[#45]
[Eisenhower]... something something Military Industrial Complex... [/Eisenhower]

And now we have the Big Brother/Big Tech monster to worry about too...
Link Posted: 1/27/2021 8:36:16 PM EDT
[#46]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
[Eisenhower]... something something Military Industrial Complex... [/Eisenhower]

And now we have the Big Brother/Big Tech monster to worry about too...
View Quote


I think Eisenhower said “naaaahhh, don’t worry about the Military Industrial Complex”.

Yeah, that was it!
Link Posted: 1/27/2021 8:57:42 PM EDT
[#47]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
why can't gov contractors do anything right
View Quote

The government literally won't let us
Link Posted: 1/27/2021 9:03:27 PM EDT
[#48]
Link Posted: 1/27/2021 9:10:25 PM EDT
[#49]
Discussion ForumsJump to Quoted PostQuote History
Quoted:


Watch defense contracts, you'll find the contract that everyone believes they know about and understand, then lift the corner of the rug to find the "little" contracts for CRAD, modifications, different and new equipment, support, repair manuals and tech orders, spares, life extension, and on and on.
_
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Discussion ForumsJump to Quoted PostQuote History
Quoted:
Quoted:
there is no way in hell my projects at the chemical plants could double the initial contract with cost overruns.  

I eat cost over runs

These contracts need to be fixed lump sum.


Watch defense contracts, you'll find the contract that everyone believes they know about and understand, then lift the corner of the rug to find the "little" contracts for CRAD, modifications, different and new equipment, support, repair manuals and tech orders, spares, life extension, and on and on.
_


And then they’ll change the requirements AFTER a prototype has been built.
Link Posted: 1/27/2021 9:21:15 PM EDT
[#50]
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