The deal marks the first major purchase in a long-term, $23 billion program to update the Air Forces aging fleet of fighter jets and provides a competitive option for Lockheed Martins F-35 Joint Strike Fighter.
Under the terms of the deal, Boeing will build a new version of its F-15, an older fighter jet developed in the 1960s, with new automated flight controls and electronic warfare capabilities. The newer model, known as the F-15EX, will be designed to carry heavier weaponry than smaller, stealthier jets like the F-35.
The F-15EXs digital backbone, open mission systems, and generous payload capacity fit well with our vision for future net-enabled warfare, said Will Roper, assistant secretary of the Air Force for acquisition, technology and logistics.
A Boeing news release published Monday boasted that engineers would be able to adapt from older F-15 jets to the new F-15EX in a matter of days. Its larger payload capacity will allow it to carry hypersonic weapons, a major recent priority for the Defense Department.
We listened to our customer every step of the way when developing this exciting jet, said Prat Kumar, Boeing vice president and F-15 program manager. What we will soon deliver is a modern and robust aircraft that supports our nations defense by incorporating the latest systems, sensors and weapons.
Military-industrial complex finds a growth market in hypersonic weaponry
Although a purchase of this size was expected based on the Defense Departments recent budget requests, it nonetheless comes as a massive win for Boeing at a time of historic vulnerability.
Boeings commercial aircraft division, once a cash-generating machine that enabled the company to underbid its rivals on major defense competitions, has lost billions due to equipment flaws in its signature 737 Max jet. Global travel restrictions imposed to combat the coronavirus pandemic have led many of Boeings airline customer to cancel orders.
The turmoil in commercial aviation has upped the profile of Boeings military sales divisions, which are coordinated by the companys Arlington-based defense, space and security division. A majority of Boeings sales came from government contractors in the companys most recent quarter, a mark of how the companys dual crises have reshaped its business.
As it moves aggressively to restore confidence, Boeing flies into an uncertain future
That division has been bolstered by a series of high-profile wins in recent years, including a $9.2 billion contract for Air Force training jets and an $805 million contract to develop aerial refueling drones.
The F-15EX program gives Boeing a stable source of short-term cash and a seat at the table in a lucrative Pentagon fighter jet business dominated by Lockheed Martin. The contract announced Tuesday carries a ceiling of $23 billion, and Pentagon planning documents call for purchases of roughly 12 per year.
But analysts caution that the long-term value of the program could hinge on political factors. If the defense budget were restricted by new leadership in Congress or the White House, the F-15EX might be at risk.
Theres a very good chance that if the Trump administration ends, this program is going to end, said Richard Aboulafia, an aerospace analyst with Teal Group.
Dow Jones Futures: Stock Market Rally Still Fighting, But Bears Landing The Punches; Tesla Battery Day Key – Investor’s Business Daily
Dow Jones futures: The stock market rally is hanging on but bears are landing the punches. Here’s what investors should do. Tesla Battery Day is on tap.
Dow Jones futures won’t open until Sunday evening, along with S&P 500 futures and Nasdaq futures. The stock market rally suffered another losing week. A negative reversal, undercutting key support and bearish action by leaders such as Apple stock, Amazon.com (AMZN) and Netflix (NFLX) belie the major indexes’ mild weekly losses.
XTesla Battery Day headlines the week, with the late Tuesday news a big deal for Tesla stock, the EV industry and the broader market. Also Tuesday night, KB Home (KB…
2020 is ‘a perfect storm’ for substance abuse and ‘it’s really scary’ – Yahoo Finance
Public health experts worried that the pandemic “threatens to make the opioid crisis” substantially worse. Data shows they were right to be concerned.
Public health experts previously worried that the coronavirus pandemic threatens to make the opioid crisis substantially worse.
And data from the Wall Street Journal appears to be validating that concern, highlighting how counties across the U.S. reporting rises in fatal overdoses in 2020.
The opioid epidemic that we were already battling coupled with a health pandemic, it’s a perfect storm for an increase in the number of people who will develop a substance use disorder, Gina Carroll, direc…
Here’s What It Takes to Collect $3,790 Per Month in Social Security Benefits – The Motley Fool
If the program is going to be a major source of income in retirement, it pays to maximize your checks.
For millions of older Americans, Social Security benefits are a lifeline in retirement. Half of married couples depend on their benefits for at least 50% of their retirement income, and for nearly one-quarter of couples, Social Security makes up at least 90% of their income.
But the average beneficiary receives just $1,514 per month (roughly $18,000 per year), making it tough to survive primarily on Social Security.
Some retirees, though, collect significantly more. The maximum you can receive…
Sports17 hours ago
Nuggets vs. Lakers score, takeaways: LeBron James, Anthony Davis dominate paint; L.A. role players step up – CBSSports.com
Sports16 hours ago
Video: Bronny James Seen Smoking What Appears to Be Marijuana Blunt on Social… – Lakers Daily
Business17 hours ago
Huang’s Law Is the New Moore’s Law, and Explains Why Nvidia Wants Arm – The Wall Street Journal
Business22 hours ago
Whataburger employee shocks customer by flipping over order, but has a good excuse – Fox News
Business13 hours ago
Kmart best-selling food storage containers reduced to $1 – NEWS.com.au
Sports15 hours ago
NBA playoffs – Dwight Howard gives Lakers a Game 1 jolt – ESPN
Science21 hours ago
Stop Saying Isaac Newton Was an Overachiever in Lockdown. Here’s The Reality – ScienceAlert
Entertainment21 hours ago
Kate Middleton proves Meghan Markle’s huge paparazzi mistake – NEWS.com.au