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Boeing | Scandals & Investigations | Space | Top Stories | USA

Boeing On Path to Reinstatement After Rocket Ban

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Los Angeles Times reports that the U.S. Air Force will reinstate Boeing as a "good corporate citizen" after an 18-month suspension, so it can once again bid for rocket orders that could be worth as much as $4 billion. In July 2003, the USAF imposed this suspension and took away about $1 billion of rocket orders after federal investigators found that two Boeing employees had stolen proprietary rocket documents from rival Lockheed Martin Corp. Sources said the suspension would be lifted after a 25-page administrative agreement was reached, including a financial settlement of up to $170M to cover the cost that the Air Force says it incurred as a result of the suspensions. Boeing could also wind up paying a portion of the $200M that the Air Force is paying Lockheed to build a West Coast launch pad for the rockets...

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