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Boeing's Rap Sheet

June 9, 2003 


In newspaper advertisements that ran in several newspapers today, The Boeing Company claims that employee misconduct is rare. This claim is not accurate: Boeing was a repeat offender with numerous instances of misconduct and alleged misconduct between 1990 and 2002, according to research by the Project On Government Oversight (POGO).

The POGO study documented 36 instances of misconduct or alleged misconduct by Boeing resulting in approximately $358 million in fines or penalties, restitution, and settlements during the 12-year period. The study is currently being updated and expanded to include violations since last year.

To learn more read POGO's report, "Federal Contractor Misconduct: Failures of the Suspension and Debarment System."

The letter advertisement that ran in the June 9, 2003 editions of The Washington Post, The New York Times, and Wall Street Journal, was signed by Boeing Chairman and Chief Executive Officer Phil Condit. In the ad, Condit said, "We will not tolerate unethical behavior. That is Boeing. We are proud of what we do, and even prouder of what we stand for."

However, POGO Executive Director Danielle Brian stated that Boeing's record actually makes the company a prime candidate to be debarred from doing business with the federal government.

"If Boeing doesn't tolerate such behavior, why then does it have such a long rap sheet?" Brian asked. "The federal government should only do business with contractors that have established a record of ethical business practices. It is deplorable that the Air Force now wants to hand out a $16 billion giveaway to lease Boeing tankers."

POGO is one of a diverse group of nonprofits that sent a letter to Congressional leaders this week urging that the Air Force not be permitted to lease 100 converted Boeing-767 tankers.

Founded in 1981, the Project On Government Oversight (POGO) is a nonpartisan independent watchdog that champions good government reforms. POGO's investigations into corruption, misconduct, and conflicts of interest achieve a more effective, accountable, open, and ethical federal government.

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