Lockheed eyes 2-4 pct cost reduction in next F-35 contract

[unhappycamper]

http://www.reuters.com/article/2014/09/18/lockheed-fighter-idUSL1N0RJ2O320140918



Lockheed eyes 2-4 pct cost reduction in next F-35 contract
By Andrea Shalal
WASHINGTON, Sept 18

(Reuters) - Lockheed Martin Corp is close to signing a roughly $4 billion deal with the U.S. Defense Department for 43 more F-35 fighter jets that will lower the cost of the jet's airframe by 2 to 4 percent, sources familiar with the program said.

The reduction is part of a drive by the company and other key F-35 suppliers to slash the projected $400 billion cost of developing and building 2,457 U.S. jets in coming years - and the $1 trillion in additional costs to operate and maintain them over 50 years.

Lockheed's F-35 program manager Lorraine Martin and Air Force Lieutenant General Chis Bogdan this week both said the two sides were "close" to agreement for an eighth batch of F-35s. Neither disclosed details.

~snip~

The companies say they can lower the plane costs to under $80 million, including the engine, per jet by 2019.

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http://www.flightglobal.com/news/articles/lockheed-outlines-cost-saving-design-tweaks-for-f-35-403787/

Lockheed outlines cost-saving design tweaks for F-35
By: Dan Parsons
Washington DC

Lockheed Martin and its programme partners are putting up millions in investment dollars to redesign manufacturing methods for components of the F-35 Lightning II, in the hope of bringing the per-aircraft cost in line with existing fighters within five years.

Lorraine Martin, who leads Lockheed’s F-35 programme, outlined on 16 September a handful of the several hundred potential manufacturing and materials changes that seek to cut $10 million per year from the aircraft’s unit cost up to 2019. The company has promised that by then, the F-35A will cost $80 million or less.

To accomplish that goal, Lockheed, and engine manufacturing partners Pratt & Whitney and Rolls-Royce have committed to investing a combined $170 million over the next two years on affordability initiatives.

Martin says 600 projects “across the entire supply base” are in the works to streamline production and reduce manufacturing costs. At least 66 projects were determined to have sufficient return value and are under way, she says.

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$80 million a copy??? Uuuuh --> http://www.democraticunderground.com/11785030

[intaglio]

1. It could cost 2 cents and it still would not be a good aircraft

There is a saying, "Horses for courses," meaning you would not use a flat race thoroughbred on a steeplechase.