Top USAF general urges support for Next-Gen fighter - Skies Mag

On the same subject

• 

  April 27, 2021 | International, Aerospace, Naval, Land, C4ISR, Security

  The world spent almost $2 trillion on defense in 2020

  The U.S. and China made up more than half of all military spending in 2020.

• 

  March 30, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

  COVID-19 Stimulus Includes Aerospace And Defense Industry Assistance

  Jen DiMascio President Donald Trump signed a $2.2 trillion stimulus bill into law March 27, aimed at shielding the U.S. economy from damage done by COVID-19-related closures, and that will also provide assistance to the aerospace and defense industry. In addition to giving businesses numerous incentives to retain employees, the act offers $17 billion in loans and loan guarantees to national security contractors such as Boeing, which had appealed to Congress for $60 billion in relief for itself and its suppliers. The Coronavirus Aid, Relief and Economic Security Act does attach strings to the loans, restricting companies that accept the money from share buybacks, making increases to executive compensation and instituting layoffs. In a statement issued March 26, Boeing said its CEO and board chairman are giving up their pay, and that the company is extending its dividend and will pause share repurchasing “until further notice.” The law also provides $10.5 billion in new defense spending – primarily for personnel and operations – along with $2.5 billion aimed at maintaining the industrial base. The act “confirms that there is no risk that fiscal 2020 and prior appropriations would be raided to pay for pandemic response costs,” said Byron Callan of Capital Alpha Partners in a note to investors. But he cautioned that analysts and planners have to factor the changes made by the new law when looking toward budgets for fiscal 2021 and beyond. Another stimulus package is likely to follow in April or May, which may include additional funding for defense, Callan added. Industry groups cheered passage of the act. “We encourage federal government officials and lawmakers to continue to support the aerospace and defense industry through the duration of the pandemic and to ensure sector stability during the economic recovery phase,” said the American Institute of Aeronautics and Astronautics. “The aerospace and defense contribution to the economy on the other side of the COVID-19 crisis will be crucial for restarting and building the economic engine to its pre-crisis momentum.” The legislation offers “tools and incentives” that will provide support to many small businesses and the supply chain, said Eric Fanning, president and CEO of the Aerospace Industries Association. And David Berteau, president of the Professional Services Council, which represents federal government contractors, is looking to the future, saying that as the impact of the pandemic continues, the council will focus on keeping the government working, keeping contractors working and ensuring that contractors and their employees are paid. Lockheed Martin President and CEO Marillyn Hewson made a related announcement about the company's plan to help with COVID-19 relief, saying it will advance $50 million to small- and medium-sized suppliers, donate $10 million to non-profit COVID-19 relief organizations and set aside a $6.5 million relief fund for its own employees. The company will also offer engineering and technical assistance to government officials, and donate corporate aircraft and vehicles for logistical support, facilities for medical supply storage, distribution and COVID-19 testing. “Finally, during this time of economic uncertainty, we will continue our planned recruiting and hiring,” Hewson said. “Given the requirement for social distancing, Lockheed Martin will deploy virtual technology and other techniques to sustain our hiring activity during this crisis period.” https://aviationweek.com/aerospace/covid-19-stimulus-includes-aerospace-defense-industry-assistance

• 

  June 10, 2019 | International, Aerospace

  German spat over Airbus could spoil fighter fest at Paris Air Show

  By: Sebastian Sprenger COLOGNE, Germany — A lingering dispute between German lawmakers and Airbus could nix immediate plans to move forward with a future Franco-German-Spanish fighter aircraft, Defense News has learned. The kerfuffle goes back to a February request for information by members of the Bundestag's Budget Committee. Citing the government's role as a major shareholder in the company, lawmakers called on the administration to provide in-depth information about Airbus locations, programs and management equities throughout Europe. Airbus is one of two prime contractors for the Future Combat Air System, an ambitious project to field a sixth-generation fighter aircraft by 2040. The envisioned weapon also includes new sensors, drones and a complex data infrastructure, making it Europe's preeminent industrial project for decades to come. Lawmakers in Berlin are worried that German defense-industry interests, presumably channeled through Airbus, could get the short shrift once substantial contracts are up for grabs amid French competition, led by Dassault. The Budget Committee reiterated its request for the company deep dive on June 5, when members approved the initial batch of funds for the FCAS program: $37 million for a study on propulsion options. Lawmakers inserted a note into their approval text that makes answering the February request a condition for entering into follow-on agreements with France. Meanwhile, officials in Paris and Berlin have been planning signing ceremonies for such pacts with Ursula von der Leyen and Florence Parly, the German and French defense ministers, respectively, at the Paris Air Show in mid-June. It's expected the pair will ink the concept study plan and a key governance document called the framework agreement. Meanwhile, the Spanish defense minister, Margarita Robles, is expected to be on hand to sign the program's memorandum of understanding, a more high-level, vague text beginning Madrid's road to full participation. As of Friday, lawmakers had yet to receive the requested information on Airbus, which is to include an analysis of management personnel down to the third tier throughout different locations, separated by programs and individual job functions. As June 10 is federal holiday in Germany, that leaves four business days next week before the Paris Air Show begins. An Airbus spokesman told Defense News on Friday the company is working to resolve the issue and is coordinating with the government. A Defence Ministry spokesman did not immediately return an emailed request for comment. Documents obtained by Defense News suggest that a previous back-and-forth between the Budget Committee and Airbus, through the Ministry for Economic Affairs and Energy, left a bit of bad blood, raising the question of whether the company will comply at all. While executives provided some information — forwarded in a confidential letter to the Bundestag by the ministry on April 26 — Airbus largely claims the detailed data demanded by the committee would needlessly reveal competitive secrets. “Airbus, in return, asks for information about the background of the request,” the company's written response states. “The question must be raised whether other companies where the German government is a shareholder, like Deutsche Bahn [the German rail service], is subject to similar requests.” The company claims to have given the administration a detailed personnel breakdown by subsidiary and nationalities in 2018, which was also offered to committee members. According to Airbus, no lawmakers were interested. Airbus Defence and Space, which would lead the conglomerate's work on FCAS, is based in Ottobrunn near Munich, Germany. As of December 2018, roughly 40 percent of the subsidiary's employees were based in Germany, around 22 percent in France, 27 percent in Spain and 12 percent in the United Kingdom, the company wrote to lawmakers in April. As the FCAS program progresses, Budget Committee members want the government in Berlin to safeguard a 50-50 cost and workshare plan with France. https://www.defensenews.com/global/europe/2019/06/07/german-spat-over-airbus-could-foil-fighter-fest-at-paris-air-show/