:

Air Force

Incentive Payments in New F-35 Sustainment Contract Contingent on LMT Meeting Goals

Frank Wolfe

Friday, September 17th, 2021

SHARE:

Incentive Payments in New F-35 Sustainment Contract Contingent on LMT Meeting Goals

A 33rd Fighter Wing F-35A Lightning II flies alongside a 6th Air Refueling Wing KC-135 stratotanker from MacDill AFB, Fla. after refueling at Eglin AFB, Fla. on June 7 (U.S. Air Force Photo)

Incentive payments for Lockheed Martin [LMT] in the new, possibly $6.6 billion, three-year sustainment contract to the company for its F-35 fighter are contingent upon the meeting of cost per flight hour (CPFH), parts availability, and aircraft full mission capable (FMC) rate goals for fiscal 2021, 2022, and 2023. The F-35 Joint Program Office (JPO) and Lockheed Martin have declined to release the cost per flight hour, parts availability, and FMC targets that Lockheed Martin is to meet for fiscal…

HASC Bill Funds Second Destroyer, Adds Several Multi-Ship Procurements, Puts Limits On Battleship

The House Armed Services Committee (HASC) chairman’s mark of the fiscal year 2027 defense authorization act, released May 26, largely approved the Navy’s shipbuilding request, but it added funds to […]

Congress

HASC’s FY ‘27 NDAA Adds More Black Hawks, Chinooks For Army, No Plus-Up For Apaches

The House Armed Services Committee’s (HASC) draft of the next defense policy bill supports hundreds of millions dollars for the Army to buy additional Black Hawk and Chinook helicopters in […]

Congress

HASC’s $1.15 Trillion FY ‘27 Draft NDAA Doesn’t Shift Items Over From Reconciliation Request

The House Armed Services Committee (HASC) on Tuesday unveiled its $1.15 trillion draft of the next defense policy bill, aligning with the White House’s requested discretionary topline while not including […]

Budget

DoD’s Equity Stake In L3Harris Rocket Motor Business Comes At Expense Of Other Suppliers, HASC Warns

A draft defense bill released by the House Armed Services Committee (HASC) on Tuesday says the committee is “concerned” with the Defense Department’s $1 billion equity investment this year in […]