Boeing can once again bid for Air Force rocket launches, but the company doesn't know how that will affect employment at its Delta rocket plant in Decatur.
Company officials were elated to come off a 20-month suspension recently from bidding on military satellite launches. They suspended plans for more layoffs at the plant, which employs around 600 people.
But since the bidding suspension was lifted March 4 and the Air Force issued notice March 22 of plans to buy more rockets and launches, Boeing officials said they've not boosted employment in anticipation of winning a piece of the new contract.
"We continue rocket production for upcoming Delta II and Delta IV missions, and we expect our employment levels to remain stable for the foreseeable future," said Doug Shores, spokesman for the Decatur plant.
"From what I understand, they're still working with the Air Force to see what this all means or will mean as far as our employment here."
Competition questions
Boeing officials said questions remain about the upcoming Air Force competition. Boeing's Delta IV will compete against Lockheed Martin's Atlas V for the Air Force's Evolved Expendable Launch Vehicle contract to carry spy, communications, weather and navigation satellites into space.
Although an Air Force general recently mentioned a need for 23 launches, an Air Force spokesman noted that the number could range from 18 to 24.
Air Force officials said they intend to allocate enough launches to both aerospace giants to keep competition in the domestic military launch business.
Last week, Air Force officials announced a business plan that requires each contractor to be able to build and launch four rockets annually through 2011, with one of those to be launched from Vandenberg Air Force Base in California.
But Boeing officials don't know what minimum number the service intends to give to the contractor with the less attractive vehicle and pricing, Boeing spokesman Robert Villanueva said.
In a previous Air Force competition, Boeing won the lion's share of the launches but lost many to Lockheed as a result of the suspension.
Launch solicitations
The Air Force also issued separate industry solicitations for "launch capability" and "launch services."
Capability includes launch and range operations, engineering and other services for launches already under contract and the planned new purchase.
Services include the core vehicle, instrumentation and other hardware for the upcoming rocket purchase.
But service spokesman Joe Davidson said that how or whether capability and services would be paired for specific launches was confidential to the service's selection process.
During a recent speech in Huntsville, the Air Force's top space general, Lance Lord, commander of Air Force Space Command, said the service has no pressing operational need to sign contracts for new launches before fiscal 2006, which begins in October.
Referring to Boeing and Lockheed, Lord noted that the service has "two great organizations working hard to provide launch capability." He said Boeing had made all the changes necessary to be reinstated to bid for future launches.
'Assured access'
The Air Force is committed to what it calls "assured access" to space, and that means keeping both Boeing and Lockheed in the launch business, Lord said.
With 12 other countries in the commercial launch business and able to undercut the American firms, Lord acknowledged that the necessary support to keep both companies in business rests with the military and other government agencies.
Villanueva said the company has a demonstrated rocket engine that has flown four times and undergone ground tests. Its heavy-lift Delta IV flew successfully in December.
It has launch capability ready on both East and West coasts. Every version of the Delta is based on a common booster, which helps keep costs down.
"From our perspective, if we were to compete today, we would fulfill all the Air Force requirements," he said.
"We're very proud of what we've developed here. Our guys are waiting for more direction on how to execute the next phase."
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