Related articles, concerning the F/A-22 developement:
Pentagon backs next phase of F/A-22 fighter tests
(Reuters) Top U.S. defense officials on Monday approved the start of operational testing of Lockheed Martin Corp.'s (nyse: LMT - news - people) F/A-22 fighter beginning the end of April, citing progress in resolving software and avionics problems, people familiar with the decision said.
The testing begins a month later than recently planned, but the stealthy, next-generation fighter program -- currently valued at more the $70 billion -- could still be on track for a December review on whether to proceed to full production levels, these people said.
"There appears to be no significant problems with the aircraft, " said Loren Thompson, director of the Virginia-based Lexington Institute.
Thompson, who consults for Lockheed, said the delay was due to an issue involving the number of support flights by transport aircraft required to maintain the aircraft at bases outside the United States.
Critics have blasted the F/A-22 as expensive Cold War relic initially designed for air-to-air combat with Soviet MiGs. Some lawmakers and defense officials have suggested the Air Force will have to further trim the total number it plans to buy.
A General Accounting Office report issued earlier this month said the Air Force could afford to buy only 218 aircraft if a congressional cost cap stays in place, down from 277 based on last year's program costs.
Nevertheless, the program has broad support in Congress with subcontractors in 44 states.
Officials at Lockheed and the Air Force had no immediate comment on the testing decision.
Source: Forbes
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U.S. Air Force, Lockheed agree terms for more F/A-22s
(Reuters) The U.S. Air Force has agreed to buy 22 more F/A-22 fighter jets from Lockheed Martin Corp. for less than $110 million per plane, Air Force acquisition chief Marvin Sambur told Reuters on Tuesday.
Sambur told Reuters in an interview that the terms agreed by the Air Force and Lockheed were "exactly on the target price curve" and would allow the Air Force to buy a total of 277 F/A-22s by 2013 -- and possibly more.
He also confirmed that top Pentagon officials approved the start of operational testing of the F/A-22 at the end of April after the Air Force and Lockheed showed they had resolved problems linked to the plane's avionics and software.
"We've turned this program around," he said of the $72 billion radar-evading multirole F/A-22, which was designed to replace the F-15C as the top U.S. air-superiority fighter.
Critics decry the F/A-22 as a Cold War relic and say it should be trimmed back significantly.
Sambur said he still expected the Pentagon to decide in December on whether to move into full production of the F/A-22s from the current low-rate initial production schedule, despite a month-long delay in the start of operational testing.
"We're still on track for that," he said.
Sambur did not specify the total price tag for the 22 "Raptor" jets, which were approved by Congress in the 2004 defense budget, but said the two sides negotiated a price of just under $110 million per plane.
That price excludes $28.7 billion the Air Force has already spent on research and development, as well as maintenance, training and logistical support for the new planes.
The Air Force earmarked $4.2 billion for F/A-22 procurement in the budget for fiscal 2004, which began Oct. 1, 2003, including $3.7 billion for up to the 22 aircraft, and $500 million to buy certain manufacturing items for the next batch.
The Pentagon in November gave the Air Force the go-ahead to start negotiations with Lockheed for the next order of 22 warplanes, but the discussions dragged on for months while the two sides haggled about the price, defense sources said.
"These were tough negotiations," said one source.
Sambur said the Air Force and Lockheed were able to lower the per-unit cost of the next batch of planes because of increased stability in the program and hard work by both sides to trim production and development costs.
"We're getting production costs under control and we're certainly getting control of development," he said.
Lockheed officials had no immediate comment.
Loren Thompson at the Virginia-based Lexington Institute, said the F/A-22 was now meeting or exceeding performance standards, and at the current price the Air Force could afford nearly 300 aircraft under a 1998 congressional cost cap.
But Keith Ashdown of Taxpayers for Common Sense, said the Air Force was being "hopelessly optimistic" about the costs of the program, noting the General Accounting Office just this month predicted total program costs could reach $80 billion.
However, he conceded Congress was unlikely to make major changes to the program -- which has parts made by more than 1,400 suppliers in 46 U.S. states -- before the 2004 election.
The Raptor is built by Lockheed in partnership with Boeing Co., and is powered by engines made by Pratt & Whitney, a United Technologies Corp. unit.
Source: Reuters