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Commercialization

McCain Calls B.S. on ULA Decision Not to Bid

By Keith Cowing
NASA Watch
December 11, 2015
Filed under , , , ,
McCain Calls B.S. on ULA Decision Not to Bid

Sen. McCain blasts Lockheed Martin-Boeing joint venture for dropping out of launch competition, Washington Post
“In a statement last month, ULA said “it wants nothing more to compete,” but was prevented from doing so because of the lack of engines, and because it could not comply with the accounting structures required under the contract. It also said that the Air Force used a procurement process that would give a lot of weight to the prices companies bid and not their experience and past performance, which could have given ULA an edge. But McCain said the assertion that it’s a “low-price” contract “is erroneous.” Rather the contract is a “best value” source selection that calls for “a careful evaluation of performance, launch operations, schedule and price,” he wrote.”
Suddenly, SpaceX Is the Only Game in Town, Motley Fool
“Turns out Tory Bruno wasn’t just whistling Dixie. At a hearing before the U.S. House Armed Services Committee in March, United Launch Alliance CEO Salvatore “Tory” Bruno issued an ultimatum: Congress must either lift its ban on the purchase of new RD-180 Russian rocket motors for use in America’s space program or resign itself to letting one single space provider dictate prices to the government on all future satellite launches. Turns out, it’s going to be Door No. 2.”
John McCain wants ULA audited, blasts Colorado space company, Denver Business Journal
“McCain, whom President Barack Obama defeated in the 2008 presidential election, also called for a report on whether ULA’s decision to use its dwindling supply of Russian-made rocket engines on non-military launches was an attempt to “subvert” the will of Congress.”
ULA Passes on GPS Launch – SpaceX Wins By Default, earlier post
DoD Denies RD-180 Waiver For ULA, earlier post
The Four Amigos and The Future of Competition in Space Commerce, earlier post
LockMart Sort Of Threatens to Kill ULA Over RD-180 Imports, earlier post
Earlier posts

NASA Watch founder, Explorers Club Fellow, ex-NASA, Away Teams, Journalist, Space & Astrobiology, Lapsed climber.

11 responses to “McCain Calls B.S. on ULA Decision Not to Bid”

  1. savuporo says:
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    McCain keeps asking tough questions, but is he actually getting any answers ever, or is it just a merry go-around ? Did he ever get answers to his last letter, where he was asking about details of who is profiting from RD-AMROSS ?

    • Daniel Woodard says:
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      UTC? Energomash? It was good deal for UTC/Pratt & Whitney, they got a 100% markup and never had to set up US production. Which, since they have sold Pratt & Whitney Rocketdyne, they apparently don’t plan to do.

      • savuporo says:
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        http://www.reuters.com/arti

        RD Amross buys the engines from Energomash for $20.2 million each on average +

        Amross adds $3.2 million to each engine, a 15 percent markup. It then sells them to ULA for $23.4 million. +

        Amross and its five full-time employees
        occupy a small suite in a beige stucco building just off the white sands
        of Cocoa Beach, Florida.”

        Nice business, no ?

        • Daniel Woodard says:
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          Interesting that ULA is not interested in buying directly from the manufacturer…

        • Ball Peen Hammer ✓ᵛᵉʳᶦᶠᶦᵉᵈ says:
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          Definitely low overhead.

          I just looked at their web site for the first time – rdamross.com. Web hosting and likely template by Yahoo! The address they list is The Resort on Cocoa Beach, a condo complex with pool, hot tub, tennis courts and direct beach access.

          Nice work, if you can get it.

  2. Jeff Havens says:
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    “Russia is ready to continue deliveries of RD-180 engines to the US only under the guarantee that they won’t be used in the interests of the Pentagon,” Rogozin said via Twitter May 13 (2014).

    So.. this was Russian hot-air rather than policy (yeah, yeah, I know this guy is replete with these kinda statements)? In a way, a shame.. would have made ULA’s decision not to go after a Pentagon contract easier.

    Or maybe they know something we don’t… like it isn’t hot air after all?

    • Jeff2Space says:
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      Russia is hurting for cash since petroleum is at record lows. For all their bluster, my guess is they’d quietly take the cash.

    • Ball Peen Hammer ✓ᵛᵉʳᶦᶠᶦᵉᵈ says:
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      That was Rogozin on Twitter, and has not been issued as policy of state by Russia.

      Rogozin also tweeted “After analyzing the sanctions against our space industry, I suggest to the USA to bring their astronauts to the International Space Station using a trampoline,” but NASA is still using Soyuz capsules instead of trampolines.

  3. RocketScientist327 says:
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    I am kind of chuckling at this… ULA is taking their Atlas V and going home. This move has enormous risk but if SpaceX fails, which is not out of the realm of impossibility, ULA will be there to pick up the pieces.

    • Vladislaw says:
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      they won’t be picking up many pieces without any engines. As long as the ban holds they are years away from anything.

  4. jski says:
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    It’s a BIG opportunity for SpaceX. It also is a BIG risk for SpaceX.

    If they pull it off, they win BIG. If not, they loose BIG.