Rapid Fire 2010-02-01: QDR 2010

* In the Quadrennial Defense Review 2010 the Pentagon seeks to rebalance the US military and to institutionalize DoD reforms. * President Obama FY 2011 budget contains a record $708 billion in defense spending, including a 3.4% increase in the Pentagon’s base budget and $159 billion to fund US military missions in Iraq, Afghanistan and Pakistan, Reuters reports. At the same time, the Pentagon may be targeting at least 7 programs for cancellation. * US defense firms felt the economic pressure this quarter, as Rockwell Collins’ profits fell 20% and Lockheed Martin’s earnings were flat, notes the Wall Street Journal. Bucking the trend, Raytheon’s profit rose 20% for the quarter. * Morgan Keegan analyst Brian Ruttenbur predicts a wave of cyber security firm acquisitions by big defense companies in the next 12 – 24 months, because more federal money is going into that area. * Research and Markets: The market for military tactical radio systems is predicted to grow substantially in the coming years. Also, technical issues with JTRS are driving the need for more legacy radios. * Boeing unveils plans to provide up to $2 billion in subcontracting work to Canadian companies for in-service support for 15 CH-47F Chinook […]