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Rapid Fire May 16, 2012: SASC Greenlights Kendall

Under Secretary of Defense for Acquisition, Technology and Logistics Frank Kendall

Frank Kendall has been confirmed by the US Senate Armed Services Committee as the Pentagon acquisition chief, alongside 6 other nominees including Heidi Shyu at Army acquisition. Back in March SASC Ranking Member Senator McCain had held up their confirmation. A full Senate vote is still needed to finalize the process [May 24 update: done]. The chief and principal deputy acquisition jobs in the Air Force are vacant since David Van Buren’s departure for L-3 Communications.

In other news:

* The GAO’s assessment of the US Army’s Reset process follows the usual pattern: “[subject of report] has taken steps towards [elusive long term goal that will never be met] but more [mind-numbing bureaucratic reporting] is needed.” Someone must write a GAO Headline Generator. They note that the Cost Analysis and Program Evaluation (CAPE) OSD office estimated the Army’s multiyear reset liability at $24B two years ago (an updated number is due soon) but that the Army itself doesn’t give such projections to Congress in its ongoing reporting.

* Italy is struggling to maintain defense investment at sufficient levels. Like Spain, its personnel spending accounts for 70+% of the budget. The Navy and Air Force may have to pool resources such as JSFs. AviationWeek | DefenseNews.

* Russia is to buy licensed Camcopter S-100 unmanned reconnaissance helos according to Interfax via Rusnavy.

* Dennis Muilenburg, the head of Boeing’s defense business, told investors that:

“A $1 trillion defense-budget reduction in the U.S. over the next 10 years is a distinct possibility, and we are sizing our cost structure actively to prepare ourselves for such a scenario.”

* EADS Q1 2012: 11.4 billion euros in revenue (about $14.5B, +16%). Defense sales grew by 18% and saw 5 orders for C295s. Airbus Military’s order book is stable at 21.3 billion euros.

* Elbit’s sales grew by 11% in Q1 to $691M. Its backlog decreased slightly though, to %5.4B.

* The US Central Contractor Registration (CCR) is about to be closed with the migration to the System for Award Management (SAM) federal procurement consolidation effort. SAM Phase 1 is scheduled to be available at the end of the month but this is just the start of a long and arduous process.

* The US Air Force Network Integration Center is divesting cyberspace command functions to Air Force Space Command.