Defense Secretary Chuck Hagel’s strategic review, likely to produce some heavy program decisions and organizational streamlining in the next few months, is a good development for industry, said Lockheed Martin President and CEO Marilyn Hewson on Tuesday. “What [Pentagon officials] communicated to me is, they’re not changing the strategy. They’re making choices around the national security strategy,” Hewson told reporters after a May 14 talk at the company’s offices in Crystal City, Va. Making definitive choices—Hagel has said the goal is not to waste money by kicking decisions down the road—”in a constrained budget environment . . . I think that’s positive,” remarked Hewson. She also said Hagel, in a recent meeting with some 37 industry CEOs, said the right things. “I thought the dialog was very good,” said Hewson. “All of us are trying to sell more internationally as we see a flattening or declining in our domestic defense business,” she added. By keeping production lines open, increasing volume and interoperability with allies, “it’s a win-win,” she said, noting that the CEOs asked for Hagel’s support “with US advocacy . . . and he agreed.” The discussion also revolved around workforce and “how we address engineering atrophy” as companies have fewer new starts to work on, she said.
Pentagon Releases Cost of Living, BAH Rates for 2026
Dec. 30, 2025
The Pentagon will pay cost of living allowances to 127,000 service members in the continental U.S. in 2026, an increase of 66,000 members in 2025. Airmen and Guardians across the U.S. will also receive an average increase of 4.2 percent for their Basic Housing Allowance, compared to the 5.4 percent…
