The services and industry need to take the Defense Department’s drive for efficiency seriously, warned Ash Carter, Pentagon acquisition czar. He told attendees at AFA’s Air & Space Conference on Wednesday that the drive to find $100 billion in savings is solely focused on having “growth in that part of the budget that really matters”—recapitalizing worn-out systems and providing new cutting-edge technologies. The alternative, he said, is “broken and canceled programs” and “erosion of the taxpayer’s confidence” in DOD’s capacity to spend tax dollars wisely, which is “not good for us.”
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.