Boeing, Lockheed Martin protest Air Force bomber contract award

Boeing (NYSE: BA) and Lockheed Martin (NYSE: LMT) said they have filed a formal protest asking the US Government Accountability Office (GAO) to review the decision to award the Long Range Strike-Bomber (LRS-B) contract to Northrop Grumman.

The companies said they believe the selection process for the long range strike bomber was fundamentally flawed. The cost evaluation performed by the government did not properly reward the contractors´ proposals to break the upward-spiraling historical cost curves of defense acquisitions, or properly evaluate the relative or comparative risk of the competitors´ ability to perform, as required by the solicitation.