WEATHERSFIELD RMI blasts Boeing plan to buy Russian



RMI says it's 'making noise' to assure that Congress won't allow Boeing to use foreign suppliers for future defense projects.
By CYNTHIA VINARSKY
VINDICATOR BUSINESS WRITER
WEATHERSFIELD -- The war of words is continuing between RMI Titanium and Seattle-based Boeing Co. over the aircraft maker's plan to use Russian titanium in its production of 100 new tanker planes for the U.S. Air Force.
Boeing issued a statement Thursday promising to follow all applicable laws pertaining to use of foreign titanium in military aircraft, but RMI officials say they're not impressed.
"That's mindless pabulum," said Larry Jacobs, chief financial officer for the Weathersfield-based titanium-maker.
"Sure they'll follow the law because they're trying to get the law changed. Boeing went to Congress to get an exemption added to the appropriations bill so they could exclude domestic titanium producers from supplying titanium for these tankers."
Congress will vote, probably in the next month, on an appropriations bill that includes a lease agreement between the U.S. Air Force and Boeing. Under the plan, the Air Force would lease up to 100 commercial Boeing 767 jets that would be modified for use as aerial refueling tankers.
Exemption clause
Jacobs said the appropriations bill includes a clause that would exempt Boeing from a long-standing Buy America law, the Berry Amendment, which generally requires that American materials be used in aircraft, ships and weaponry made for the United States. The clause would allow Boeing to use Russian-made titanium in the planes.
RMI is campaigning against the plan with its two largest competitors, TIMET and Allegheny Technologies, and the United Steelworkers of America.
Members of USW Local 2155 and 2155-7, which represent RMI employees, are conducting a letter and telephone campaign to make lawmakers aware of the issue, and RMI officials have visited some legislators in Washington to discuss the matter.
"Even if, for one reason or another, this appropriations bill becomes law, at least we've put Boeing on notice," Jacobs said. "I can guarantee you that Boeing will not be able to sell Congress on this again in the future, because we've made too much noise."
Boeing statement
Boeing's official statement said the company gets 85 percent of its titanium from American suppliers. Besides, the company argued, the 767 aircraft contains a small percentage of titanium, only 1.5 percent of its total weight.
But Richard Leone, an RMI spokesman, said Boeing would have to buy 40,000 pounds of titanium for each 767, a total of 4 million pounds for 100 planes. That's about 10 percent of the domestic titanium production this year, which RMI officials estimate at between 42 million and 34 million pounds.
Boeing also argued in its statement that Airbus, its European competitor, would likely have procured all its titanium from foreign suppliers, had it received the Air Force lease agreement instead of Boeing. Not necessarily so, said Leone, noting that Airbus now buys more RMI titanium than Boeing, which was once the company's biggest customer.
vinarsky@vindy.com