Andrea's Feed
Jan 22, 2014

General Dynamics shares rise on buyback pledge

WASHINGTON (Reuters) – General Dynamics Corp (GD.N: Quote, Profile, Research, Stock Buzz) shares rose more than 5 percent on Wednesday after the maker of Gulfstream business jets and Navy ships posted higher-than-expected quarterly results, and pledged to buy back 11.4 million shares in the first quarter.

Chief Executive Phebe Novakovic, marking her first year on the job, forecast lower earnings and revenues in 2014 but said there was more upside than downside on revenues and that the company would likely adjust its earnings guidance upward in the second quarter after the share repurchase.

Jan 22, 2014

U.S. firms eye $2.43 billion Singapore F-16 order

WASHINGTON (Reuters) – The U.S. Defense Department has notified Congress that it had approved the sale to Singapore of upgrades for 60 F-16 fighter jets, setting off a potential competition for an order valued at $2.43 billion.

The Pentagon’s Defense Security Cooperation Agency, or DSCA, said Singapore had requested an upgrade of 60 aging F-16 jets built by Lockheed Martin Corp (LMT.N: Quote, Profile, Research, Stock Buzz) to improve their reliability and effectiveness in combat.

Jan 22, 2014

Lockheed overstates F-35 jobs: think tank

WASHINGTON, Jan 22 (Reuters) – Lockheed Martin Corp’s
estimate that its F-35 fighter plane program supports
125,000 jobs in the United States is “greatly exaggerated” and
the real amount may be half that number, according to a new
think tank report issued Wednesday.

William Hartung, a longtime critic of the $392 billion F-35
program, argues in the report issued by the nonprofit Center for
International Policy that Lockheed is overstating the number of
F-35-related jobs to shore up support for the program.

Jan 12, 2014

Exclusive: U.S. investigating Honeywell over export, import controls

WASHINGTON (Reuters) – The U.S. Justice Department is investigating export and import procedures at Honeywell International Inc after the firm included Chinese parts in equipment it built for the F-35 fighter jet, three sources familiar with the matter said.

Reuters last week reported that the Pentagon twice waived laws banning Chinese-built components in U.S. weapons in 2012 and 2013 for parts supplied by Honeywell for the $392 billion Lockheed Martin Corp F-35 program.

Jan 10, 2014

Europe must step up on NATO defense burden -Norway defense chief

WASHINGTON, Jan 9 (Reuters) – European countries must
shoulder more of the political and economic responsiblity for
NATO’s common defense to ensure the continued relevance of the
alliance in coming years, Norwegian Defense Minister Ine Eriksen
Soreide said on Thursday.

Soreide, who met with an number of U.S. lawmakers this week
and is due to meet with U.S. Defense Secretary Chuck Hagel on
Friday, said the United States could not be expected to continue
paying for over 70 percent of NATO’s defense needs.

Jan 10, 2014

Norway says F-35 jet on track; keeping eye on costs

WASHINGTON (Reuters) – Norway’s defense minister on Thursday said the Lockheed Martin Corp F-35 fighter program is on the right track after a major restructuring in 2010, with the cost of the new stealth warplane coming down and most technical issues solved.

But Ine Eriksen Søreide, who became defense minister in October, told Reuters that Norway was keeping a close eye on the program’s costs, software development, prospects for industrial participation by Norwegian industry, and how the planes will be serviced once they are delivered to Europe.

Jan 7, 2014

U.S. outlook too uncertain for M&A rush: Airbus exec

WASHINGTON (Reuters) – Uncertainty about U.S. budget levels is limiting the prospects for increased merger and acquisition activity in the defense industry, Sean O’Keefe, chief executive officer of the U.S. operations of Europe’s Airbus, said on Tuesday.

“There’s lots of churn, but I don’t get the sense that there’s going to be a lot of immediate action,” O’Keefe told Reuters in an interview after announcing that he will resign, effective March 1, for health reasons.

Jan 7, 2014

McArtor named chairman, CEO of Airbus U.S. unit

WASHINGTON (Reuters) – Allan McArtor, who heads Airbus (AIR.PA: Quote, Profile, Research, Stock Buzz) U.S. commercial operations, will take over as chairman and chief executive of the overall U.S. unit of the European weapons and planemaker on March 1, replacing Sean O’Keefe, the company said Tuesday.

Airbus said O’Keefe, who turns 58 later this month, is resigning to focus on his continuing recovery after he survived a 2010 plane crash in Alaska that killed five people, including former U.S. Senator Ted Stevens.

Jan 6, 2014

U.S. acts to block Turkish firm from sending GE engines to Iran

WASHINGTON, Jan 6 (Reuters) – The U.S. Commerce Department
on Monday issued a rare emergency order aimed at blocking the
illegal re-export of two large, used U.S.-built commercial jet
engines to Iran by a company based in Turkey.

Assistant Commerce Secretary David Mills, who oversees
export enforcement, signed the order on Friday after learning
that Turkish-based 3K Aviation Consulting & Logistics planned to
re-export two engines built by General Electric Co to
Iran on Tuesday using Pouya Airline, an Iranian cargo airline.

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.