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Northrop’s $80 Billion Bomber Win Spelled Out in U.S. Ruling

  • GAO releases declassified version of a ruling upholding award
  • Boeing-Lockheed team had challenged the Air Force’s choice
Updated on

Northrop Grumman Corp.’s winning bid to develop and build the U.S. Air Force’s new $80 billion bomber held “significant structural advantages” over the competing proposal by Boeing Co. and Lockheed Martin Corp., according to the Government Accountability Office.

The “significantly lower proposed prices” for initial production “created a near-insurmountable obstacle” to Boeing “demonstrating prejudice” in the Air Force’s calculation of realistic costs, the watchdog agency said in a declassified version made public Tuesday of a February ruling that upheld the award and rejected a challenge from Boeing.