19:27 GMT17 February 2020
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    The move comes as Boeing announced its withdrawal from the Ground-Based Strategic Deterrent programme this summer, citing concern with the bidding process.

    The US Air Force has suspended the funding for Boeing's $349 million bid to develop ballistic missiles, The Washington Post reported.

    The newspaper quoted a Pentagon spokesperson as saying the move, however, doesn't signify that the contract has been cancelled altogether.

    Reacting to the development, a Boeing representative said that the company was disappointed with the service's move, recalling that the manufacturer had adhered to all the deadlines and had been receiving positive performance feedback from the Air Force.

    The halt in the funding for Boeing could give a boost to Northrop Grumman to develop projectiles. In 2017, Boeing and Northrop Grumman each won individual contracts worth more than $677 million combined to develop the next generation nuclear-armed missile.

    Tags:
    Northrup Grumman, US Air Force, Boeing
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