May 20, 2013

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Reporter: AP posted by Carissa Fox

Disputed Air Force Contract Back In Court

WICHITA, Kan. (AP) _ The legal wrangling for a disputed $354 million contract to build a light air support plane to help security efforts in Afghanistan has returned to the courtroom.

Sierra Nevada Corp. sued Tuesday in the U.S. Court of Federal Claims seeking reinstatement of the $345 million contract.

The move comes after the U.S. Air Force announced earlier this year it was rescinding the contract and opening an investigation. Wichita-based Hawker Beechcraft Corp. had challenged the award.

SNC says cancellation of the contract was an extreme response to paperwork errors by the Air Force. It also contends the revised bid proposal is tilted in favor of the competition.

Hawker Beechcraft declined comment on the filing.

At stake is a contract that ultimately could be worth nearly $1 billion, depending on future orders.


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