Senate Armed Services Committee Chairman John Warner (R-Va.) asked Deputy Defense Secretary Gordon England an obvious question during the committee’s second hearing on the plan to eliminate the alternate engine for the F-35 Joint Strike Fighter. Warner wanted to know how the Pentagon could issue a $2.5 billion long-term production contract just last August, then decide a few months later to cancel it. England called the decision the “leading edge” of some hard budget choices for DOD. He claimed that, unlike the “great engine war” of the 1980s, this new arrangement would yield no competition savings and only some production savings in the year 2025. It would, maintained England, lead to procurement delays. He added, “I do not believe that is beneficial for any of the countries involved.”
The Air Force and Boeing agreed to a nearly $2.4 billion contract for a new lot of KC-46 aerial tankers on Nov. 21. The deal, announced by the Pentagon, is for 15 new aircraft in Lot 11 at a cost of $2.389 billion—some $159 million per tail.