EADS North America Prepares to Build KC-45 Tanker Production Facility in Mobile, Ala.

MOBILE, AL -- 12/08/10 -- EADS North America today announced that it is soliciting bids through its recently selected program management firm for design and construction of the Mobile Conversion Center where KC-45 aerial refueling tanker aircraft will be militarized for the United States Air Force. Preparation for construction of the facility began in November with the selection of Hoar Program Management to oversee the project.

The selection of a program manager and initiation of work on the Mobile Conversion Center reflects EADS North America's commitment to produce the KC-45 in the U.S. and put Americans on the job as soon as possible.

The conversion center is one part of a large aircraft production facility that EADS North America will construct in Mobile, Alabama, to build the KC-45 in the United States if the Air Force selects it as its new aerial refueler. The KC-45 will create or support 48,000 American jobs across the country, and create more than 1,500 direct positions in Mobile. Construction of the production facilities also will create thousands of related jobs in the Gulf Coast area.

EADS North America has also committed to build commercial A330 freighter aircraft at the same site, resulting in the capability to produce more than twice as many aircraft annually in the U.S. than required to support the U.S. tanker program.

EADS North America already has begun work related to the KC-45 in Alabama. Earlier this year, the company began its transfer of the KC-45 program management team -- nearly 200 employees -- to new offices in Mobile.

"The Air Force has had to wait far too long for a new tanker, and the 48,000 Americans who will build the KC-45 have had to wait far too long for the jobs," said Ralph D. Crosby Jr., EADS North America Chairman. "If our tanker is selected by the Air Force, we are well positioned to hit the ground running on day one."

"All of us at Hoar were thrilled and humbled to be selected for a project that is so vitally needed by our nation and our state," said Mike Lanier, Principal with Hoar Program Management. "This selection was a testimony to all of the great work our people do for our clients each and every day, and we are eager to begin work at once."

Hoar Program Management will begin Advertisements for Qualifications effective December 12, 2010 and will begin issuance of Request for Qualification packages effective December 13, 2010. All interested parties, represented by one primary point of contact, may submit their information electronically via the web at http://www.hoarpm.com.

The KC-45 is the U.S. configuration of the Airbus Military A330 Multi Role Tanker Transport, which is in production for four U.S. allies who selected it over Boeing tankers in four straight competitions. The KC-45 is the only tanker offered to the U.S. Air Force that is flying and refueling today, with more than 1,300 aerial refueling contacts and 1.2 million pounds of fuel transferred.

Hoar Program Management was established in 1998 and is headquartered in Birmingham, with a regional office in Mobile, Alabama. The firm is a leading national and regional provider of construction management, program management, pre-construction, and design management services. The firm manages in excess of $300 million in capital projects annually. Hoar is Alabama's largest Program Manager and consistently lands among the Top 50 Program Managers in the nation as ranked by Engineering News-Record magazine, a leading industry publication.

EADS North America is the North American operation of EADS, a global leader in aerospace, defense and related services. As a leader in all sectors of defense and homeland security, EADS North America and its parent company, EADS, contribute over $11 billion to the U.S. economy annually and support more than 200,000 American jobs through its network of suppliers and services. Operating in 17 states, EADS North America offers a broad array of advanced solutions to its customers in the commercial, homeland security, aerospace and defense markets.

EADS is a global leader in aerospace, defense and related services. In 2009, the Group - comprising Airbus, Astrium, Cassidian and Eurocopter -- generated revenues of EUR 42.8 billion and employed a workforce of more than 119,000.

Here at FR are a lot of people, that don’t want to see these jobs created in the US.

Yeah, they want the vast majority of them created in Europe, and still grotesquely exaggerate their purported U.S. employment. Northup Grumman got out because it decided it wasn't worth being a front for such a scam. But such deceit is common for EADs which is the most corrupt foreign state-run entity our free enterprise companies are up against. As Human Events reported:

EADS/Airbus Corruption: A Bad Gamble for the Tanker
by George Landrith
HUMAN EVENTS, 12/17/2009

The European Aeronautic Defense and Space Company (EADS) and its subsidiary Airbus recently threatened to withdraw from the Pentagon competition to design and build the next-generation fleet of refueling-tanker aircraft. The question is, should anyone care? When one examines Airbus’s shady corporate dealings over the past couple of decades, their exiting the competition may actually be a blessing in disguise.
In the earlier phases of the tanker competition, Congressman Todd Tiahrt of Kansas said that Airbus sought and was given an exemption to the Foreign Corrupt Practices Act, a law that prohibits companies doing business in the U.S. from engaging in corruption such as bribery and kickbacks. Why would a company that intends to follow the law and deal honestly seek an exception from a law prohibiting corruption and bribes? And even more troubling, why would the Pentagon grant such a request?
Former CIA Director R. James Woolsey said almost ten years ago that Airbus regularly bribes foreign officials in an attempt to sell more of its planes.
EADS and its subsidiaries have been the subject of bribery scandals in Canada, India, Belgium, Kuwait, Switzerland and Austria. In Austria, an EADS/Airbus lobbyist was accused of paying 87,000 Euros ($117,00) to the wife of an Austrian official in charge of the almost $3 billion contract aircraft contract.
Airbus is also center stage in another corruption scandal in which it is alleged that a specially equipped Airbus A-340 was gifted to an influential Saudi prince to sweeten the deal on a massive arms deal with Saudi Arabia. Additionally, $2 billion were allegedly deposited into Saudi accounts to help close the deal.
But the culture of corruption doesn’t stop with bribery. More than 1,200 employees allegedly engaged in an insider-trading scheme, dumping shares of Airbus stock before bad news about the A380 and A350 leaked out to the general public. Such a large-scale case of widespread insider trading, combined with a consistent pattern of bribery reveals a troubling corporate culture of corruption at Airbus.
And, back in 2004, EADs was involved in an ugly political scandal in France in which it was not only accused of paying kickbacks and bribes, but also trying to frame certain presidential candidates in an attempt to influence the election outcome. We’ve never seen a scandal of this magnitude or implication in the United States. But it shows a brazen disregard for law and stunning willingness to play illegal politics.
Technology transfer is also a problem with EADS, which has also been trying to sell military helicopters to Iran -- a nation that is recklessly pursuing nuclear weapons and stands at odds to the rest of the civilized world. When caught red-handed, Airbus didn’t even offer an apology. It seems clear that Airbus has no allegiance or loyalty to the United States of America, and will be only too happy to sell sensitive technology developed at our expense to the highest bidder.
EADS/Airbus simply has too many skeletons in the closet to make them trustworthy partners in a sensitive military contract that will be in place for up to forty years. The Airbus tanker is second rate. It did not meet all the requirements established by the war fighters. It is less survivable for the crew in the event of attack. It is less capable. It cost more to buy and to maintain. And Airbus has a track record of corruption. But it all makes sense. If you were committed to selling second rate products at inflated prices, wouldn’t bribery and corruption have to part of your business plan?
It is time to say no to Airbus and all its baggage. It is simply too risky.
George Landrith is the President of the Frontiers of Freedom Institute and a graduate of the University of Virginia School of Law, where he was Business Editor of the Virginia Journal of Law and Politics. As an adjunct professor at the George Mason School of Law, Mr. Landrith has taught constitutional law, appellate advocacy, and legal writing.

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