* Despite overseeing drastic cuts at the Pentagon, Defense Secretary Gates is supported by many US defense industry execs, who do not want to see his early departure.
* Watching the Watchdog: US Sen Grassley (R-IA) issues scathing report [PDF] charging that the DoD Inspector General’s Office is dropping the ball on investigating defense waste and fraud.
* Big War Chest: L-3 says it has $1 billion in cash to spend on acquisitions targeted at intelligence, cybersecurity, and defense services firms.
* A quarter of Lockheed Martin’s executives, more than 600, have accepted early retirement packages offered by the defense firm.
* BAE Systems plans to cut 740 jobs at the UK division supplying parts for military aircraft such as Lockheed Martin’s F-35 Lightning II fighter; plants in Brough, Chadderton, Warton, Samlesbury in northern England, and Farnborough, west of London, could be affected.
* Russia plans to resume testing this month of its Bulava (SS-NX-30) 3-stage submarine-launched ballistic missile capable of carrying 10 nuclear warheads up to 5,000 miles; tests were put on hold after a series of failed launches in 2009.