Lockheed Martin reported success in its strategic efforts to “expand our footprint overseas” in a conference call discussing its third quarter earnings report with reporters Tuesday. CEO Marillyn Hewson said international demand is “growing faster than the DOD budget” and currently makes up 30 percent of the company’s total annual sales. She said that France and Germany are interested in buying more C-130Js, Poland is interested in a helicopter program, and allies in Europe, the Asia-Pacific, and the Middle East are buying missile defense systems. The company’s international sales in 2015 totaled $9.6 billion. By way of contrast, she warned that the US continuing resolution to fund the federal government, which freezes spending at previous-year levels, would certainly have “some level of impact” on Lockheed Martin sales. While she said this impact would be “minimal” as long as a budget deal was achieved by the end of December, Hewson expressed concern about uncertainty over the levels and sources of defense funding in the various congressional budget proposals.
Amid NATO’s continued push to ramp up air defenses in Eastern Europe, Secretary of the Air Force Frank Kendall swung by seven allied countries to boost relations last week, including those on Russia’s and Ukraine’s doorstep.