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Boeing Won't Make Changes To Air Force Tanker

Exec says Air Force will get the tanker it ordered, but won't be able to make expensive changes that might have been common in past defense contracts.

WASHINGTON (AP) -- A Boeing executive says the U.S. Air Force will get the tanker it ordered, but won't be able to make expensive changes that might have been common in past defense contracts.

Boeing Co. won the competition to build 179 planes under a contract worth $35 billion. Most of the Pentagon's costs will be fixed, rather than traditional defense contracts in which companies pass along unexpected costs. Critics said that lead to gouging. Defense companies said it protects them from unforeseen expenses on complex projects.

Boeing chief financial officer James Bell told analysts on Wednesday that Boeing will strictly adhere to the requirements in the bid -- and nothing more.

He says Boeing will make a profit on the tankers.