• Entertainment
  • Finance
  • Marketing
  • Real Estate
  • Technology
  • Social
National Journal Community Of e-Experts
Finance 0

Lockheed Martin In Focus After Pentagon Again Halts F-35 Deliveries

By Kurt Osterberg · On April 12, 2018

Shares of Lockheed Martin (LMT) are in focus after a report that the U.S. Department of Defense has again stopped accepting deliveries of the company’s F-35 jets.

PENTAGON HALTS F-35 DELIVERIES: The Pentagon has stopped accepting most deliveries of F-35 jets from Lockheed Martin due to a fight over who will cover costs for fixing a production error found last year on over 200 of the jets, Reuters reported Wednesday. “Production on the F-35 program continues and we are confident we will meet our delivery target of 91 aircraft for 2018,” a Lockheed spokeswoman said. “While all work in our factories remains active, the F-35 Joint Program Office has temporarily suspended accepting aircraft until we reach an agreement on a contractual issue and we expect this to be resolved soon.” The move comes after the Department of Defense stopped accepting deliveries for 30 days in 2017 after finding corrosion where the carbon fiber exterior panels were fastened to the airframe. Deliveries resumed after a fix had been developed and Lockheed achieved its target aircraft delivery numbers for 2017. Deliveries have been halted again due to an argument over who will pay for the likely complex logistical fix that may require technicians to travel widely to fix the aircraft based around the world. In addition, the weapons program experienced a slowdown of deliveries in 2016 as a fix was necessary for insulation problems in the fuel tanks and lines of the jets.

WHAT’S NOTABLE: The latest annual program review published by the U.S. Department of Defense has called on Lockheed Martin to reduce the current forecast of $1.1T to maintain the F-35 jetfighter program through 2077, Bloomberg reported on April 5. The document demanded that the company “embrace much-needed supply chain management affordability initiatives” in order to decrease costs on the next-generation stealth fighter. The $1.1T estimate to sustain the U.S. fleet was compiled in 2015 by the Pentagon’s independent cost assessment office but has not yet been updated. It is expected to be updated next year prior to a meeting of acquisition officials to decide whether the program should enter full production. The report said that under current estimates, “the projected F-35 sustainment outlays are too costly” and “given planned fleet growth, future U.S. service operations and support budgets will be strained.”

Print Friendly, PDF & Email

Share Tweet

Kurt Osterberg

You Might Also Like

  • Finance

    STEPN Sneaker NFTs Sell For $100, Previously Worth $1200

  • Finance

    NFT Prices in Free Fall – 5 NFT Collections to Start Buying Today

  • Finance

    5 NFTs Trending on Twitter Going Cheap to Invest in Now

No Comments

Leave a reply Cancel reply

Top Finance

  • 3 Best Large-Cap Blend Mutual Funds For Enticing Returns 3 Best Large-Cap Blend Mutual Funds For Enticing Returns
  • What is Value Chain Analysis? How to Deliver Value & Gain a Competitive Advantage What is Value Chain Analysis? How to Deliver Value & Gain a Competitive Advantage
  • Hedge Funds In The US Hedge Funds In The US
  • 5 Ridiculously Useful Non-Monetary Reward Examples that Improve Employee Engagement 5 Ridiculously Useful Non-Monetary Reward Examples that Improve Employee Engagement
  • Chart: Amazon’s Dominance In Ecommerce Chart: Amazon’s Dominance In Ecommerce

New Posts

  • STEPN Sneaker NFTs Sell For $100, Previously Worth $1200

    STEPN Sneaker NFTs Sell For $100, Previously Worth $1200

    June 20, 2022
  • NFT Prices in Free Fall – 5 NFT Collections to Start Buying Today

    NFT Prices in Free Fall – 5 NFT Collections to Start Buying Today

    June 20, 2022
  • 5 NFTs Trending on Twitter Going Cheap to Invest in Now

    5 NFTs Trending on Twitter Going Cheap to Invest in Now

    June 20, 2022
  • Bill Gates – ‘NFTs & Crypto Based on Greater Fool Theory’

    Bill Gates – ‘NFTs & Crypto Based on Greater Fool Theory’

    June 20, 2022
  • Actor Seth Green Pays $300,000 to Recover his Stolen BAYC NFT

    Actor Seth Green Pays $300,000 to Recover his Stolen BAYC NFT

    June 20, 2022
  • About
  • Contact Us
  • Privacy & Policy
  • Sitemap
  • Terms of use

Copyright © 2018-2021 NJCEE. All Rights Reserved.