01 November 2012

News Story: Airbus Wins India’s Tanker Rebid

Royal Australian Air Force A330 MRTT (KC-30A) Tanker

By VIVEK RAGHUVANSHI

NEW DELHI — Airbus has been selected as the preferred vendor over Russia’s Ilyushin to supply six aerial tankers for the Indian Air Force in a $1 billion tender, according to Indian Defence Ministry officials.

After the commercial bids were opened earlier this month, the base price of the Russian Il-78 tanker was quoted as lower than that of the A330, but when factoring in maintenance and fuel costs, the Airbus was the better value, said a Defence Ministry official. The official refused to provide the exact quotes of the bids, and said the Russian government-owned company had not yet been officially informed about the decision.

Russian diplomats confirmed they had not been informed of the Airbus selection.

Boeing withdrew from the competition in 2010, leaving only the A330 and Il-78 in competition. The tender in 2010 also was sent to EADS, Lockheed Martin and Antonov of Ukraine. Antonov did not qualify, and Lockheed and Boeing did not participate.

Read the full story at DefenseNews