The Pentagon is launching a preferred supplier program. Companies who receive high marks in the Defense Department’s performance-tracking system may see better performance payments and other rewards. The Pentagon will also encourage more use of contract provisions that provide companies a share of any savings they produce on existing programs, under its broader “Better Buying Power Initiative.” If they have not yet taken an in-depth look at Chrysler’s 1990s supplier initiatives, they ought to.
Lockheed Martin’s net income fell slightly to $530 million for the first quarter of 2011, despite a 3% increase in sales.
April 25/11: Raytheon in Tucson, AZ receives an $8.3 million firm-fixed-price contract from Canada for its GPS-guided M982 Excalibur Block LA-2 155mm artillery shells. Canada has been using earlier Excalibur versions in Afghanistan, firing them from its new ultra-lightweight M777 155mm howitzers. Their $100,000+ cost per shell has attracted some criticism, but the reality is that current Rules of Engagement leave almost no other options for artillery support of troops in contact. That becomes even more important for a country like Canada, with no armed airpower in theater other than its CH-146 twin-Huey helicopters, and no movement on its expression of interest in other options like MLRS rocket launchers.
Work will be performed in Tucson, AZ; McAlester, OK; Farmington, NM; Niceville, FL; Healdsburg, CA; Anniston, AL; Cincinnati, OH; Anaheim, CA; Williamsport, PA; Joplin, MO; Lowell, MA; Baltimore, MD; Kariskoga, Sweden; and the United Kingdom, with an estimated completion date of March 31/13. One bid was solicited with one bid received. by the U.S. Army’s Contracting Command in Picatinny Arsenal, NJ, on behalf of its foreign customer (W15QKN-07-C-0100).
Latest updates: OC2 upgrades: good news, bad news?
In 2006, Great Britain signed a GBP 450 million contract to buy another 28 advanced Hawk trainers, as the first step toward a public-private partnership that would provide military flight training to the RAF, Army Air Corps, and Royal Navy for the next 25 years.
Britain already had plenty of trainers designed to train pilots, and many of them are earlier version of the successful Hawk jet trainer that also serves with at least 14 other countries around the globe. So what makes this contract significant, and why are Hawk LIFT aircraft different?