ORAC
19th Apr 2005, 11:14
WASHINGTON (MarketWatch) -- The Pentagon on Monday announced it has approved full-rate production for the F/A-22 Raptor stealth fighter.
The decision, which was widely expected, clears the way for Lockheed Martin Corp. (LMT) to continue with its production schedule. Michael Wynne, the Pentagon's chief weapons buyer, approved the milestone in an acquisition decision memorandum signed on Friday.
The F/A-22 has received rave reviews in its initial testing. However, the program also has been threatened by budget cuts. The Air Force has said it needs 381 of the airplanes, but the Bush administration's latest budget calls for ending production in 2008 after buying only 179 fighters.
Lockheed Martin currently is making about two dozen F/A-22s per year. It's not clear whether the move to full rate production will lead to an immediate production increase, since that depends on the congressional budget process and Defense Department spending priorities. New aircraft currently have a flyaway price tag of about $130 million, although the per-plane cost doubles if development spending is taken into account.
The decision, which was widely expected, clears the way for Lockheed Martin Corp. (LMT) to continue with its production schedule. Michael Wynne, the Pentagon's chief weapons buyer, approved the milestone in an acquisition decision memorandum signed on Friday.
The F/A-22 has received rave reviews in its initial testing. However, the program also has been threatened by budget cuts. The Air Force has said it needs 381 of the airplanes, but the Bush administration's latest budget calls for ending production in 2008 after buying only 179 fighters.
Lockheed Martin currently is making about two dozen F/A-22s per year. It's not clear whether the move to full rate production will lead to an immediate production increase, since that depends on the congressional budget process and Defense Department spending priorities. New aircraft currently have a flyaway price tag of about $130 million, although the per-plane cost doubles if development spending is taken into account.