By Theo Frei: Subscribe to Theo's RSS feed
August 13, 2010 12:03 PM EDT
The battle for an enormous $35-billion government defense contract took an unusual and unexpected twist when the head of one of the competing firms. Sean O'Keefe of aircraft conglomerate Challenger EADS North America, almost died in a plane crash in Alaska.
Washington D.C. will decide in November about the gigantic contract to deliver aerial refueling airplanes to the U.S. Air Force. The battle of lobbyists is just warming up at the moment, but O'Keefe is now out of action.
O'Keefe and eight other persons, including former Alaska Republican Senator Ted Stevens, were aboard the 60-year-old single-engine, propeller plane, that crashed about 16 kilometers northwest of Aleknagik, Alaska, coming back from a fishing trip.
Stevens, 86, the longest serving Republican Senator in history with 40 years of service in Washington, died in the crash.The cause of the crash is still being investigated, although officials noted that flying in that mountainous region is often perilous because of the weather.
Like us on Facebook
The tragedy is relevant for many people in Washington D.C. where the battle between the two contestants Boeing (NYSE: BA) and EADS for the epic $35-billion military contract to replace 415 aging KC-150 refueling tanker planes is in full gear. Numerous lobbyists and partisan politicians are involved in the issue, which also represents a competition between their respective home states -- Boeing is manufacturing its planes in Washington State and Kansas, while EADS has a factory in Alabama.
Each of the companies will employ about 50.000 American workers for the mammoth contract.
For EADS, it is also a crucial step to get a foot into the world's largest defense market. For this purpose, the Europeans hired O'Keefe, 54, who was working for General Electric Co. (NYSE: GE) until last November.
O'Keefe was a former head of NASA, also was appointed Secretary of the Navy in July 1992 by President George Bush, and later managed the budget for the Pentagon. As such an insider who knows many decision-makers within the government, and also as the key person to hold together around 200 U.S. companies cooperating with EADS, he was needed more than ever.
Diet Soda: Research Sparks Debate on Risks of Heart Disease, StrokePut down your diet soda and listen up. The bubbly zero calorie drink may increase your risk of heart disease, according to new research.
First Photos of Beyonce’s Baby Blue Ivy Carter Reignite Surrogacy Rumors [PHOTOS]The first photos of Beyonce's baby Blue Ivy Carter were released to the world on Friday by Beyonce and husband Jay-Z. The couple posted five photos one the Tumblr page "Hello Blue Ivy Carter.
Greece in Turmoil as EU Austerity Package Put on HoldGreece’s financial future in doubt after ministers look again at strict terms of European rescue package.
We value your privacy. Your email address will not be shared.
