Daryl Hunt
Your Worst Nightmare
- Banned
- #921
Exclusive: Pentagon, Lockheed near deal on $9 billion F-35 contract - sources
The U.S. Department of Defense and Lockheed Martin Corp (LMT.N) are close to deal for a contract worth almost $9 billion as negotiations are poised to bring the price per F-35 below $100 million for the first time, people familiar with the talks said Wednesday. The F-35, the Pentagon's costliest arms program, has drawn fire from U.S. President-elect Donald Trump who has made lowering prices for military equipment a pillar of his transition into office. Talks are still ongoing for the tenth batch of stealthy fighter jets with a deal for 90 planes expected to be announced by the end of the month, three people said on condition of anonymity. A Lockheed representative declined to comment and a representative for the fighter program said negotiations are ongoing.
A new F-15 costs 110 mil. The intent was to get it down to 85 mil (the A model) all along. And even without trump meddling, it will still happen. A block of 90 costs less per plane than when you are buying blocks of 10 or less.