Andrea's Feed
Jan 3, 2014

Exclusive: U.S. waived laws to keep F-35 on track with China-made parts

WASHINGTON (Reuters) – The Pentagon repeatedly waived laws banning Chinese-built components on U.S. weapons in order to keep the $392 billion Lockheed Martin Corp F-35 fighter program on track in 2012 and 2013, even as U.S. officials were voicing concern about China’s espionage and military buildup.

According to Pentagon documents reviewed by Reuters, chief U.S. arms buyer Frank Kendall allowed two F-35 suppliers, Northrop Grumman Corp and Honeywell International Inc, to use Chinese magnets for the new warplane’s radar system, landing gears and other hardware. Without the waivers, both companies could have faced sanctions for violating federal law and the F-35 program could have faced further delays.

Dec 24, 2013

Pentagon sees progress on cost of F-35, long way to go

WASHINGTON (Reuters) – The Pentagon’s recent focus on pricing has led to “remarkable progress” in cutting the cost of the Lockheed Martin Corp F-35 fighter program, but the plane still costs more than it should to build and operate, Director of Defense Pricing Shay Assad said.

“We’re making progress. We’re doing OK, but we have a long way to go to get to what a Joint Strike Fighter (JSF) should cost,” Assad said in an interview last week.

Dec 21, 2013

Analysis: Lost Brazil order raises threat to Boeing fighter jets

WASHINGTON (Reuters) – Brazil’s decision to buy Swedish fighter jets instead of F/A-18 Super Hornets from Boeing eliminates its most promising foreign-sales prospect just as the U.S. company faces critical decisions about extending the jet’s production line past 2016.

The loss of the $4.5 billion contract for 36 planes is the latest blow to Boeing’s defense division, whose F-15 fighter jet last month lost a potential 60-plane order from South Korea to Lockheed Martin Corp’s next-generation F-35 fighter.

Dec 21, 2013

S.Korea unlikely to finalize Lockheed F-35 order until summer ’14

WASHINGTON, Dec 20 (Reuters) – South Korea is unlikely to
finalize any orders for the Lockheed Martin Corp F-35
stealth fighter jet until the summer or fall of 2014, after it
redoes a complicated acquisition process, according to three
sources familiar with the issue.

South Korea’s military chiefs last month said Seoul would
buy 40 Lockheed F-35 fighters, with the first planes to be
delivered in 2018, despite the fact the only Boeing Co’s
F-15 fighter met the competition’s price target.

Dec 20, 2013

Pentagon, suppliers draft plan to lower F-35 cost: Pratt

WASHINGTON (Reuters) – The U.S. Defense Department and top suppliers on the $392 billion F-35 fighter program are developing a plan to drive down the cost of the Pentagon’s most expensive weapons program, the head of enginemaker Pratt & Whitney told Reuters.

The project uses an “innovative” new mechanism to encourage companies to invest their own funds to lower production costs, Dave Hess, president of Pratt & Whitney, told Reuters in an interview on Thursday, ahead of his retirement at the end of the month. Pratt is a unit of United Technologies Corp (UTX.N: Quote, Profile, Research, Stock Buzz)

Dec 19, 2013

Bell Helicopter sees new aircraft matching Asia pivot

FORT WORTH, Texas (Reuters) – The tilt-rotor aircraft that Textron Inc’s (TXT.N: Quote, Profile, Research, Stock Buzz) Bell Helicopter is designing for a U.S. Army competition would help troops travel longer distances as the military shifts focus to the Asia-Pacific region, a company official said.

Bell is trying to capitalize on its experience building the V-22 Osprey tilt-rotor plane together with Boeing Co (BA.N: Quote, Profile, Research, Stock Buzz) as it designs a lighter, cheaper and less complex aircraft, the V-280 Valor, that could eventually translate into billions of dollars of orders for the winner of the Army competition.

Dec 18, 2013

Boeing promotes defense chief to chief operating officer

WASHINGTON (Reuters) – Boeing Co (BA.N: Quote, Profile, Research, Stock Buzz) on Wednesday promoted Dennis Muilenburg, head of its defense division, to the post of president and chief operating officer, a move that company insiders and analysts said makes him “heir apparent” to Chief Executive Jim McNerney.

Muilenburg, 49, and Ray Conner, the 58-year old head of the Boeing Commercial Airplanes unit, were both named vice chairmen, Boeing said in a statement.

Dec 18, 2013

Boeing names defense chief as chief operating officer

WASHINGTON, Dec 18 (Reuters) – Boeing Co on Wednesday
named Dennis Muilenburg, head of its defense division, as
president and chief operating officer, a move that company
insiders and analysts said makes him the “heir apparent” to the
company’s chief executive, Jim McNerney.

Muilenburg, 49, and Ray Conner, the 58-year old head of
Boeing’s commercial business, were both appointed to new roles
as vice chairman of the company, Boeing said in a statement.

Dec 17, 2013

Analysis: Aerospace M&A likely to get boost from U.S. budget deal

WASHINGTON/LONDON (Reuters) – A U.S. budget agreement making its way through Congress could set off the most robust series of mergers and acquisitions in the aerospace and defense sectors in years, industry leaders and experts say.

The two-year agreement, which is likely to pass the Senate this week, is expected to reassure contractors on government spending and unleash pent-up demand for deals, according to analysts. The House of Representatives approved the budget plan last week.

Dec 17, 2013

Aerospace M&A likely to get boost from U.S. budget deal

WASHINGTON/LONDON (Reuters) – A U.S. budget agreement making its way through Congress could set off the most robust series of mergers and acquisitions in the aerospace and defence sectors in years, industry leaders and experts say.

The two-year agreement, which is likely to pass the Senate this week, is expected to reassure contractors on government spending and unleash pent-up demand for deals, according to analysts. The House of Representatives approved the budget plan last week.