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  • Northrop sells IT business to Veritas Capital for $3.4B

    December 9, 2020 | International, C4ISR, Security

    Northrop sells IT business to Veritas Capital for $3.4B

    WASHINGTON — Northrop Grumman has struck a $3.4 billion deal to sell its federal IT and mission support business to Veritas Capital. The agreement, announced Dec. 7, is expected to close by June 2021. At that point, Veritas plans to incorporate the Northrop business units with Peraton, a Veritas subsidiary that supports government customers and specializes in technology products for the space, defense and intelligence markets. Northrop is expected to generate $2.3 billion in revenue, which will be funneled into share repurchases and debt retirement, the company said in a news release. “This divesture allows us to drive value and reflects our strategy of focus on growing core businesses where technology and innovation are the key differentiators,” said Kathy Warden, Northrop's CEO and president. “We expect to create compelling value to our shareholders through this transaction and execution of our capital allocation strategy.” Reports of the sale first surfaced in October. Byron Callan, an analyst with Capital Alpha Partners, said that the sale shows there is still isn't consensus within the defense industry on how to organize IT and services businesses alongside more traditional hardware business units for products like aircraft, vehicles or other weapons. Callan pointed to Lockheed Martin's sale of its information and global services business to Leidos in 2016; L-3′s sale of its IT solutions division to CACI in 2015; and Harris' sale of its IT business to Veritas in 2017, which later became Peraton. However, other major companies have acquired government IT companies, such as General Dynamics's purchase of CSRA in 2018. “We have believed that as DoD spending flattens in the 2020s, primes could seek to jettison ‘non-core' businesses that will still be profitable, but face declining sales or more intense competition,” Callan wrote in an email to investors. https://www.c4isrnet.com/industry/2020/12/08/northrop-sells-it-business-to-veritas-capital-for-34b/

  • BAE Systems Receives Order for LRASM’s Advanced Seeker

    December 9, 2020 | International, Aerospace

    BAE Systems Receives Order for LRASM’s Advanced Seeker

    Posted on December 8, 2020 by Seapower Staff NASHUA, N.H. — BAE Systems has received a $60 million contract from Lockheed Martin to manufacture and deliver additional advanced missile seekers for the Long-Range Anti-Ship Missile (LRASM), BAE Systems announced in a Dec. 8 release. The seeker comprises long-range sensors and targeting technology that help the stealthy missile find and engage protected maritime targets in challenging electromagnetic environments. “Our warfighters need resilient, long-range precision strike capabilities to compete with modern adversaries,” said Bruce Konigsberg, Radio Frequency Sensors product area director at BAE Systems. “We're proud to partner with Lockheed Martin in delivering this distinct competitive advantage to U.S. warfighters.” LRASM combines extended range with increased survivability and lethality to deliver long-range precision strike capabilities. LRASM is designed to detect and destroy specific targets within groups of ships by employing advanced technologies that reduce dependence on intelligence, surveillance and reconnaissance platforms, network links, and GPS navigation in contested environments. This LRASM seeker contract continues the transition of the program from Accelerated Acquisition to Low-Rate Production. BAE Systems has delivered more than 50 systems to date that have demonstrated excellent technical performance over multiple test events. The company also is working to make the seeker system smaller, more capable, and more efficient to produce. The LRASM is being Deployed on Air Force B-1B bombers and Navy F/A-18E/F strike fighters. BAE Systems' LRASM seeker technology builds on the company's decades of experience designing and producing state-of-the-art electronic warfare technology, and its expertise in small form factor design, signal processing, target detection, and identification. Work on the LRASM sensor will be conducted at BAE Systems' facilities in Wayne, New Jersey; Greenlawn, New York; and Nashua, New Hampshire. https://seapowermagazine.org/bae-systems-receives-order-for-lrasms-advanced-seeker/

  • Secret Bomber Programs Set For Possible Rollouts In 2021

    December 9, 2020 | International, Aerospace

    Secret Bomber Programs Set For Possible Rollouts In 2021

    Steve Trimble December 09, 2020 Strategic bombers are enjoying a stealthy renaissance against a backdrop of renewed competition among “great power” states: namely, the U.S., China and Russia. For more than a decade, all three countries have labored to push a new generation of stealth bombers into service under programs cloaked in secrecy, while at the same time expanding the capacity and quality of an aging bomber fleet. The first fruits of the new stealth-bomber generation may become visibly tangible to the public in 2021. Although the U.S. Air Force has backed off from a schedule revealed in July 2018 to fly the Northrop Grumman B-21 Raider for the first time on Dec. 4, 2021, the first aircraft still may emerge from Building 401 on Site 4 at Plant 42 in Palmdale, California, during the next 12 months. The Air Force's new schedule calls for first flight of the B-21 in 2022. Given the traditional 6-9-month period of outdoor ground testing in advance of any first flight by a new aircraft, the updated schedule still implies a strong chance of a factory rollout during the second half of 2021. Less is known of the construction status of China's first stealthy, flying-wing bomber, probably named the H-20. Since 2018, the U.S. Defense Department has estimated in annual reports to Congress that the H-20 is likely to be a stealthy, subsonic bomber resembling the Northrop B-2 or X-47B, with a range of at least 4,590 nm (8,500 km) and payload capacity of conventional and nuclear munitions totaling at least 10 metric tons. In 2019, the department added that the H-20 could “debut” during the 2020s. If the Pentagon's range estimate for the H-20 is accurate, it falls well short of the U.S. West Coast but encompasses most of the northern Pacific Ocean, including Alaska and Hawaii. A rollout and first flight remain possible in 2021. A corporate video by the Aviation Industry Corp. of China, the H-20's corporate developer, released at the end of 2019 teased that the H-20's unveiling would come “shortly.” In Russia, the Prospective Aviation Complex for Long-Range Aviation (PAK DA) bomber likely transitioned into the production phase during 2020. Satellite photos in early spring revealed a large new factory being erected inside Tupolev's industrial complex in Kazan. By May, major structural assemblies for the first test aircraft had entered construction, according to a report by TASS. The same report, citing two anonymous sources inside Russia's defense industry, put the schedule for completing final assembly in 2021. All three programs represent the first new bomber designs initiated since the Cold War. Service-entry schedules for the three have not been announced but will be coming around 30 years after Northrop's first-generation stealth bomber—the flying-wing, four-engine B-2A—became operational in 1997. The impact on the defense industry could be profound as production ramps up over the next decade. For the B-21, low-rate initial production should begin in 2022, Northrop CEO Kathy Warden says. That timetable suggests production-aircraft deliveries beginning two years later. Due to the secretive nature of the program managed by the Air Force's Rapid Capabilities Office, precise B-21 production unit costs are unknown. At the time of contract award in October 2015, the Air Force estimated the average B-21 unit cost over a production run of 80-100 aircraft would be about $550 million in 2012 dollars. Adjusting for inflation, the average cost has increased to about $632 million. With Pentagon officials expecting budgets to remain flat or decline over the next several years, one of the Air Force's biggest challenges will be finding ways to reduce costs in other programs to accommodate the B-21 as production ramps up. With the ability to fly in proximity and even within defended airspace, a stealth bomber offers an ideal combination of survivability, range and weapons capacity. The aircraft's stealthiness adds substantially to the production cost, but the trade-off is an aircraft that can carry less expensive, short-range weapons such as glide bombs. None of the great powers, however, is willing to part completely with an existing bomber fleet, despite aircraft designs that date back to the late 1940s. Leveraging heavy investments in new propulsion, sensors and weapons, the U.S., China and Russia will breathe new life into their aging Cold War-era platforms. By June 2021, the U.S. Air Force expects to award a contract for delivery of 608 new jet engines for 76 Boeing B-52s, replacing a fleet of 60-year-old, 17,000-lb.-thrust Pratt & Whitney TF-33-P-3 turbofans. GE Aviation's Passport and CF34, Pratt's PW800 and Rolls-Royce's BR.725-based F130 are the Air Force's options, with each representing a multi-generational leap in fuel efficiency and reliability. The Air Force also will demonstrate that Cold War bombers can perform a new role in the 2020s. A pylon modification will allow the B-52 to carry up to 22,000 lb. on each external hard point, enabling the aircraft to carry three Lockheed Martin AGM-183A Air-Launched Rapid Response Weapons on either wing. Boeing upgraded both conventional rotary launchers inside the weapons bays to carry up to eight cruise missiles each. If a new generation of scramjet-powered hypersonic cruise missiles now in development matches the size and weight of the AGM-86s now carried by the rotary launchers, each B-52 would be able to carry 22 long-range hypersonic missiles. A similar transformation will be demonstrated by the B-1B. In mid November, Air Force Global Strike Command showed a B-1B could accommodate a subsonic Lockheed AGM-158 Joint Air-to-Surface Standoff Missile (Jassm) on an external pylon. By extension, each of the B-1B's six external pylons could be adapted to carry hypersonic missiles such as the AGM-183s. Another eight hypersonic cruise missiles could be fired from the conventional rotary launcher inside the B-1B's weapons bays. Draft appropriations bills for fiscal 2021 in Congress include the Air Force's request to retire 17 B-1s and funnel the operating-cost savings to modernize what would be the remaining 45 aircraft in the fleet. The bomber renaissance also is seeing transformation of the Cold War-era fleets of the Chinese and Russian air forces. In mid-November, the People's Liberation Army Navy for the first time deployed the Xian H-6J to Yongxing Island, also known as Woody Island, in the South China Sea. While still unmistakably a descendant of the first Tupolev Tu-16 Badger delivered to China in 1958, the H-6J remains a potent weapon system against the U.S. Navy's Pacific Fleet, especially while armed with YJ-12 anti-ship missiles. Likewise, the People's Liberation Army Air Force revealed the H-6N in October 2019, showing China's first nuclear-capable bomber with the ability to be refueled in flight. Government-owned magazine Modern Ships published photos a month later of the H-6N carrying an air-launched ballistic missile in a recessed cavity carved into the fuselage. The weapon could be a medium-range, anti-ship DF-21. More recently, photos appeared of the H-6N carrying a different air-launched missile with a payload bearing a profile similar to the DF-17 hypersonic glide vehicle. Russia's bomber fleet modernization also extends beyond development of the PAK DA. Over the past year, the first versions of Tu-160 and Tu-95 bombers fitted with new engines have entered flight testing. Meanwhile, a second Tu-22M3M prototype entered flight testing in 2020, joining the first prototype that entered testing in December 2018 with new engines, avionics and missiles, including supersonic air-launched Kh-32s. https://aviationweek.com/aerospace-defense-2021/defense-space/secret-bomber-programs-set-possible-rollouts-2021

  • MD helicopters secures $34 Million Army contract

    December 9, 2020 | International, Aerospace

    MD helicopters secures $34 Million Army contract

    Mesa, Ariz., December 3, 2020 - MD Helicopters, Inc. (MDHI) announces an agreement with the U.S. Army worth about $34 million to provide logistics support for the Afghanistan Air Force MD 530F Cayuse Warrior light attack and reconnaissance helicopter fleet. The deal is a continuation of MDHI's contractor logistics support (CLS) with the U.S. Army and Multi-National Aviation Special Project Office (MASPO) for the fleet. Under the terms of the contract, MDHI will provide maintenance, repairs, updates, and overhauls of the aircraft in Mesa, Arizona, and Kabul, Afghanistan. The estimated completion date for all work is May 31, 2021. “This contract illustrates the Army's and MASPO's continued confidence in MD Helicopters' ability to successfully manage our CLS contract,” says Nick Nenadovic, Vice President of Aftermarket and Customer Support for MD Helicopters, Inc. “We have delivered 60 aircraft to the Afghan Air Force and we maintain a vested interest in ensuring the highest level of support to keep the entire fleet mission ready.” The enhanced MD 530F Cayuse Warrior is a light armed attack helicopter revered for its power, safety, speed, agility, and unparalleled confined area capabilities. The aircraft supports a wide range of training and operational missions, providing safe, efficient multi-mission support with an increased performance profile. View source version on MD Helicopters, Inc. : https://www.mdhelicopters.com/md-helicopters-secures-$34-million-army-contract.html

  • Advanced seeker production for next-generation precision-guided missile

    December 9, 2020 | International, Aerospace

    Advanced seeker production for next-generation precision-guided missile

    December 8, 2020 - BAE Systems received a $60 million contract from Lockheed Martin to manufacture and deliver additional advanced missile seekers for the Long Range Anti-Ship Missile (LRASM). The seeker comprises long-range sensors and targeting technology that help the stealthy missile find and engage protected maritime targets in challenging electromagnetic environments. “Our warfighters need resilient, long-range precision strike capabilities to compete with modern adversaries,” said Bruce Konigsberg, Radio Frequency Sensors product area director at BAE Systems. “We're proud to partner with Lockheed Martin in delivering this distinct competitive advantage to U.S. warfighters.” LRASM combines extended range with increased survivability and lethality to deliver long-range precision strike capabilities. LRASM is designed to detect and destroy specific targets within groups of ships by employing advanced technologies that reduce dependence on intelligence, surveillance and reconnaissance platforms, network links, and GPS navigation in contested environments. This LRASM seeker contract continues the transition of the program from Accelerated Acquisition to Low Rate Production. BAE Systems has delivered more than 50 systems to date that have demonstrated excellent technical performance over multiple test events. The company also is working to make the seeker system smaller, more capable, and more efficient to produce. BAE Systems' LRASM seeker technology builds on the company's decades of experience designing and producing state-of-the-art electronic warfare technology, and its expertise in small form factor design, signal processing, target detection, and identification. Work on the LRASM sensor will be conducted at BAE Systems' facilities in Wayne, New Jersey; Greenlawn, New York; and Nashua, New Hampshire. For additional information, visit: www.baesystems.com/lrasm Contact Nicole GableNicole Gable Media Relations Electronic Systems View source version on BAE Systems: https://www.baesystems.com/en/article/advanced-seeker-production-for-next-generation-precision-guided-missile

  • Kratos Receives $37.7 Million Skyborg Program Contract Award from USAF Advanced Aircraft Office

    December 9, 2020 | International, Aerospace

    Kratos Receives $37.7 Million Skyborg Program Contract Award from USAF Advanced Aircraft Office

    San Diego, December 8, 2020 (GLOBE NEWSWIRE) -- Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS), a leading National Security Solutions provider and industry-leading provider of high-performance, jet-powered unmanned aerial systems, announced today that Kratos has received a $37,771,577 award from the AFLCMC/WA Advanced Aircraft Program Executive Office for the Skyborg Delivery Order (DO) 2 contract to integrate, test, and deliver XQ-58A Valkyrie aircraft. Steve Fendley, President of Kratos Unmanned Systems Division, said, “Kratos is excited to announce the receipt of the Skyborg DO 2 contract, meeting a long-term strategic objective. The Skyborg Program, one of three USAF Vanguard Programs, is focused on expanding the envelope of the application of unmanned aircraft use, particularly with respect to Artificial Intelligence. Kratos XQ-58A has been flying since March of 2019, approximately 30 months after aircraft conception, and was designed specifically for these applications and the ability to support missions from ISR to Strike in manned-unmanned teaming scenarios or in unmanned only mission sets. These capabilities are intended to substantially increase the effectiveness of our country's military mission sets, while at the same time reducing risk to the exquisite assets and manned elements—saving resources and, most importantly, lives.” The contract includes three phases of design, integration, and flight testing of the Kratos XQ-58A Valkyrie system, integrating multiple customer-defined mission payloads and customer-defined autonomy in coordination/cooperation with the Skyborg System Design Agent company, Leidos. Kratos currently works in partnership with Leidos' Dynetics on the Gremlins Program. About Kratos Defense & Security Solutions Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) develops and fields transformative, affordable technology, platforms and systems for United States National Security related customers, allies and commercial enterprises. Kratos is changing the way breakthrough technology for these industries are rapidly brought to market through proven commercial and venture capital backed approaches, including proactive research and streamlined development processes. At Kratos, affordability is a technology, and we specialize in unmanned systems, satellite communications, cyber security/warfare, microwave electronics, missile defense, hypersonic systems, training, combat systems and next generation turbo jet and turbo fan engine development. For more information, please visit www.KratosDefense.com. Notice Regarding Forward-Looking Statements Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended December 29, 2019, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the SEC by Kratos. Press Contact: Yolanda White 858-812-7302 Direct Investor Information: 877-934-4687 investor@kratosdefense.com View source version on Kratos Defense & Security Solutions, Inc.: https://ir.kratosdefense.com/news-releases/news-release-details/kratos-receives-377-million-skyborg-program-contract-award-usaf

  • Saab to equip Bulgarian Navy’s new patrol vessels

    December 9, 2020 | International, Naval

    Saab to equip Bulgarian Navy’s new patrol vessels

    December 8, 2020 - Saab has signed a contract with the German shipbuilding company Lürssen and received an order to provide and integrate the combat system for the Bulgarian Navy's new Multipurpose Modular Patrol Vessels, MMPV. Lürssen is the prime contractor to the Bulgarian Ministry of Defence, and will build the two new patrol vessels at the Bulgarian shipyard MTG Dolphin JSC. The vessels are scheduled to be delivered to the end customer between 2025 and 2026. “We are proud to continue our successful cooperation with Lürssen. We look forward to contributing to strengthen Bulgaria's defence and national security for years to come with our proven technology and solid naval combat system expertise”, says Anders Carp, deputy CEO of Saab and head of business area Surveillance. Saab will carry out the work at its premises in Sweden, Denmark, Australia and South Africa. For further information, please contact: Saab Press Centre, +46 (0)734 180 018 presscentre@saabgroup.com www.saabgroup.com Twitter: @Saab Saab serves the global market with world-leading products, services and solutions within military defence and civil security. Saab has operations and employees on all continents around the world. Through innovative, collaborative and pragmatic thinking, Saab develops, adopts and improves new technology to meet customers' changing needs. View source version on Saab: https://www.saab.com/newsroom/press-releases/2020/saab-to-equip-bulgarian-navys-new-patrol-vessels

  • GKN Aerospace, SAMC and AVIC Supply sign JV Agreement for Advanced Aerostructures

    December 9, 2020 | International, Aerospace

    GKN Aerospace, SAMC and AVIC Supply sign JV Agreement for Advanced Aerostructures

    December 8, 2020 - COMAC subsidiary SAMC (Shanghai Aircraft Manufacturing Company), AVIC Supply and GKN Aerospace have signed a joint venture (JV) agreement for the manufacture of Composite and Metallic Aerostructures in Jingjiang, Jiangsu Province, China. This represents a significant milestone in GKN Aerospace's long-stated ambition to grow within the commercial aerospace market within China. The state-of-the-art, 80,000m2 facility in Jingjiang will be GKN Aerospace's first aerostructures JV in China. It will offer COMAC, AVIC and Western customers the opportunity to access an important local supply of advanced aerostructures in the country. The JV builds on COMAC, AVIC and GKN Aerospace's proven track record in the global commercial aviation industry. Production is scheduled to begin in Q4 2021 and, by the mid-2020s, the workforce is expected to grow to 1,000 people. In addition to the JV facility, GKN Aerospace is in final preparations to open (April 2021) a separate 20,000 m2 site in Jingjiang, focusing on the manufacture of transparencies for the commercial market. Both endeavours will help meet China's national industrial strategy of “made in China 2025”. John Pritchard, President Civil Aerospace at GKN Aerospace said: “The establishment of the first aerostructures JV and the upcoming opening of the transparencies facility in Jingjiang, Jiangsu Province, China are exciting milestones. We are proud to extend our footprint in China by working together with our committed partners COMAC, SAMC and AVIC Supply. The collaboration with the local authorities and support of the regional government has been vital. I am sure the combination of our dedicated teams, technology leadership and extensive aerospace experience will lead to exciting growth opportunities. We are excited to be part of the growth of the commercial aerospace industry in China.” GKN Aerospace has a strong three-continent footprint, supporting customers in the Americas, Europe and in Asia. In recent years, growth in Asia has included opening a new wiring systems plant in Pune, India in Q4 2019, as well as unveiling a new aero-engine repair and research plant in Johor, Malaysia, in October 2018. With two new sites in China, GKN Aerospace will be delivering aerostructures, wiring systems and transparencies for the commercial aerospace market from seven sites across China, India, Malaysia and Turkey. View source version on GKN Aerospace: https://www.gknaerospace.com/en/newsroom/news-releases/2020/gkn-aerospace-samc-and-avic-supply-sign-jv-agreement-for-advanced-aerostructures/

  • DoD and Australia ink first-ever cyber training partnership

    December 9, 2020 | International, C4ISR, Security

    DoD and Australia ink first-ever cyber training partnership

    Mark Pomerleau WASHINGTON — The U.S. military and Australia announced a first-of-its-kind agreement to develop a virtual cyber training range together. U.S. Cyber Command will incorporate Australian Defence Force feedback into the Persistent Cyber Training Environment (PCTE), per a Cyber Training Capabilities Project Arrangement signed Nov. 3. This agreement is valued at $215.19 million over six years and provides the flexibility to develop cyber training capabilities for the future, Cyber Command said in a release Dec. 4. PCTE is an online client that allows Cyber Command's warriors to log on from anywhere in the world to conduct individual or collective cyber training and mission rehearsal. In the physical world, military forces regularly go to a training facility, such as the National Training Center at Fort Irwin, to work on particular concepts or rehearse before deploying. But a robust environment has not existed for the Department of Defense's cyber warriors, creating readiness gaps. The program is run by the Army on behalf of the joint cyber force. “Australia and the U.S. have a strong history of working together to develop our cyber capabilities and train our people to fight and win in cyberspace,” said Australian Army Maj. Gen. Marcus Thompson, the Australian signatory and head of Information Warfare for the Australian Defence Force. “This arrangement will be an important part of the ADF's training program, and we look forward to the mutual benefits it will bring.” In the past, the two countries created cyber training ranges separately, which could take months and stymied cooperation efforts, Cyber Command noted. U.S. officials have long held that the military will never fight alone, and this extends to cyberspace. “This project arrangement is a milestone for U.S.-Australian cooperation. It is the first cyber-only arrangement established between the U.S. Army and an allied nation, which highlights the value of Australia's partnership in the simulated training domain,” said Elizabeth Wilson, U.S. signatory and Deputy Assistant Secretary of the Army for Defense Exports and Cooperation. “To counter known and potential adversarial threats, the Army has recalibrated our strategic thinking; we've made smart decisions to refocus our efforts to invest in the new, emerging and smart technologies that will strengthen our ability to fight and win our nation's wars.” Gen. Paul Nakasone, head of Cyber Command and the National Security Agency, has made partnerships — with other nations, private sector actors and academia — a key pillar of his tenure. Cyber Command has deployed personnel to other nations to conduct what it calls hunt forward missions, which serve the dual role of helping shore up defenses of partners while allowing U.S. cyber personnel to potentially uncover tools used by adversaries to better understand their techniques. Congress, in the annual defense policy bill for fiscal 2021, also authorized a pilot program with Vietnam — which many cyber experts assert is rapidly growing its cyber capabilities — Thailand and Indonesia to enhance their cybersecurity, resilience and readiness of military forces. https://www.c4isrnet.com/cyber/2020/12/04/dod-and-australia-ink-first-ever-cyber-training-partnership/

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