Is Boeing’s KC-46 tanker program in trouble?

Michelle Dunlop Herald Writer

The Boeing Co.’s KC-46 refueling tanker program could face some tough times ahead.

After a prolonged battle to win a $35 billion deal supplying the U.S. Air Force with tankers, Boeing could see its tanker program axed by the government as part of spending cuts that will take place if Congress doesn’t act on a new budget before the year’s end. Politico outlined the government’s cuts, also referred to as sequestration, in this story from Friday, which also links to the White House report.

Former Defense Secretary Robert Gates called the cuts “managerial cowardice” in this Aviation Week post.

AOL Defense reported today that Boeing’s tanker program also is significantly burning through funding reserves.

In other Boeing news:

Last week, the Pentagon raised concerns over Boeing’s decision to move its Air Force One maintenance program from Wichita, Kan., to San Antonio, Texas. On Monday, the Wichita Eagle reported that Boeing plans again to offer workers at its defense site there jobs in San Antonio. Earlier this year, Boeing announced its intention to close the Wichita facility next year.