Pentagon Said to Propose Ending $6.8 Billion Missile, Northrop Satellite
By Tony Capaccio - Fri Jan 20 05:01:00 GMT 2012
The Pentagon will propose canceling a potential $6.8 billion Army missile program that pits Lockheed Martin Corp. (LMT) against Raytheon Co. (RTN), a Northrop Grumman Corp. (NOC) weather satellite, and an Air Force light-attack aircraft, according to a government official.
The Joint Air-to-Ground Missile, the Defense Weather Satellite System, and the plane are included on a list of weapons programs that would be terminated under the fiscal 2013 defense budget to be sent to Congress next month, according to the official, who spoke yesterday on condition of anonymity before Defense Secretary Leon Panetta releases some budget details on Jan. 26.
The three programs would be ended along with a 10-year-old initiative costing about $4 billion under which Boeing Co. (BA) is upgrading C-130 Hercules transports with modern cockpit electronics.
The satellite for environmental monitoring is in the initial stages so there’s no specific dollar value for savings from calling it off. The Air Force planned to buy two satellites. Northrop Grumman said in May it received authorization and funding to proceed with development for a projected initial launch in 2018. The Pentagon requested $445 million in fiscal 2012.
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http://www.bloomberg.com/news/2012-01-20/pentagon-said-to-propose-canceling-weather-satellite-missile.html
