South Korea turned down a bid on Tuesday from Boeing Co. to build the country 60 new fighter jets, suggesting the company’s technology on its proffered planes was old and out-of-date.
For Boeing, the rejection means a loss of $7.7 billion in new business — a slap in the face, given that no other companies were currently taking place in the bidding.
Defense Ministry spokesman Kim Min-seok said the country is going to delay its bidding process, The Associated Press reported.
Boeing tried to sell its F-15 Silent Eagle to South Korea. But critics in the country said the model is no longer top-of-the-line in terms of stealth technology, and it wouldn’t suit for detecting and staving off nuclear threats.
Lockheed Martin and EAD had previously competed for the contract. But the price for their crafts was deemed too expensive, AP reported.