Monday, July 12, 2010

DTN News: U.S. Navy Awards $59 Million to Raytheon for Aegis Advanced Procurement

Defense News: DTN News: U.S. Navy Awards $59 Million to Raytheon for Aegis Advanced Procurement
Source: DTN News / Raytheon
(NSI News Source Info) TEWKSBURY, Mass., - July 13, 2010: The U.S. Navy awarded Raytheon Company (NYSE: RTN) $59.2 million for advanced procurement of critical components of the Aegis weapons system for the next two Arleigh Burke-class destroyers, DDG 114 and DDG 115.
The contract represents the latest chapter of the Navy and Raytheon's 30-year partnership on the Aegis program.
Under the contract, the Navy will receive advanced procurement materials and associated services for the AN/SPY-1D(V) transmitter group and MK99 Mod 8 Fire Control System. Raytheon's radar and fire control system equipment is key to the Aegis weapon system's ability to track and defend against multiple threats, including planes and missiles.
"For three decades, Raytheon has provided highly capable naval radar components and world-class support for Aegis-equipped ships worldwide," said Raytheon Integrated Defense Systems' (IDS) John Kelly, director of Sensor Systems. "This contract validates the quality and effectiveness of our systems and provides an opportunity for us to continue our long history of reliable performance."
Raytheon's AN/SPY-1 radar transmitters and MK99 Fire Control System have been in continual production for 30 years as part of the U.S. Navy's Aegis shipbuilding program. The AN/SPY-1 and the MK99 are currently installed in the U.S. Navy's fleet of Ticonderoga-class cruisers and Arleigh Burke-class destroyers, as well as Japanese Kongo-class destroyers and Spanish F100-class frigates.
This contract follows a recent Aegis program milestone, as Raytheon IDS completed the early delivery of the fourth and final shipset under a 2006 contract. The shipsets from the 2006 contract will support Australia's Hobart-class destroyer program (Air Warfare Destroyer) and Spain's F105-class frigates.
Work on the Aegis program is performed at Raytheon IDS' Surveillance and Sensors Center, Sudbury, Mass.; at the Seapower Capability Center, Portsmouth, R.I.; and at the Integrated Air Defense Center, Andover, Mass.
Raytheon Company, with 2009 sales of $25 billion, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 88 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 75,000 people worldwide.
Contact:
Carolyn Beaudry
401.842.3550

DTN News: Raytheon Receives $14 Million Ship Self Defense System Contract

Defense News: DTN News: Raytheon Receives $14 Million Ship Self Defense System Contract
Source: DTN News / Raytheon
(NSI News Source Info) TEWKSBURY, Mass., - July 13, 2010: Raytheon Company (NYSE: RTN) has been awarded a $14.2 million contract to deliver the Ship Self Defense System (SSDS Mk 2) Open Architecture for four U.S. Navy ships and one land-based test facility.
SSDS is an open, distributed combat management system for aircraft carriers and expeditionary warfare ships. It is designed to expedite the detect-to-engage sequence to defend against anti-ship cruise missiles. SSDS links and automates stand-alone sensors and weapon systems to provide the required combat reaction. With its open and modular design, SSDS can be modified to support additional domestic and international combatants.
Under the contract, Raytheon Integrated Defense Systems (IDS) will assemble, test and deliver upgraded hardware sets that will be integrated on board the Navy's amphibious assault ship LHA 7; aircraft carriers USS Truman (CVN 75) and USS Ford (CVN 78); the amphibious transport dock ship LPD 26; and the Naval Air Systems Command test facility.
"Raytheon's SSDS is the most sophisticated combat management system available, providing exceptional capabilities to ensure maximum protection for the ship and her crew," said Raytheon IDS' Dave Gray, director of Ship Defense Systems. "The system's open design and flexibility easily support upgrades to enhance and extend the ship's capabilities -- now and throughout the life of the ship."
This award follows a $7.5 million contract modification for platform system engineering agent services for SSDS. As PSEA, Raytheon integrates upgrades to existing combat systems on board amphibious ships and aircraft carriers.
Raytheon's SSDS Mk 2 has implemented an open architecture computing environment software that includes selected software components from the Total Ship Computing Environment Infrastructure developed for the DDG 1000 Zumwalt-class destroyer. The open architecture design adds a new level of flexibility and commercial standards to support the Navy's goal for open, modular and interoperable combat management systems for the fleet.
Work on SSDS is performed at Raytheon IDS' Expeditionary Warfare Center, San Diego, Calif., and at the Seapower Capability Center, Portsmouth, R.I.
Raytheon Company, with 2009 sales of $25 billion, is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. With a history of innovation spanning 88 years, Raytheon provides state-of-the-art electronics, mission systems integration and other capabilities in the areas of sensing; effects; and command, control, communications and intelligence systems, as well as a broad range of mission support services. With headquarters in Waltham, Mass., Raytheon employs 75,000 people worldwide.
Contact:
Carolyn Beaudry
401.842.3550

DTN News: U.S. Department of Defense Contracts Dated July 12, 2010

Defense News: DTN News: U.S. Department of Defense Contracts Dated July 12, 2010 ws:
Source: U.S. DoD issued July 12, 2010
(NSI News Source Info) WASHINGTON - July 13, 2010: U.S. Department of Defense, Office of the Assistant Secretary of Defense (Public Affairs) Contracts issued July 12, 2010 are undermentioned;<>
CONTRACTS
NAVY
~CH2M Hill, Inc., Virginia Beach, Va.,
is being awarded a maximum amount $75,000,000 indefinite-delivery/indefinite-quantity architect-engineering contract for multimedia environmental compliance engineering support for Navy and other Department of Defense (DoD) installations within the Naval Facilities Engineering Command (NAVFAC) Atlantic area of responsibility (AOR), primarily including the Midwest, Northwest and Southwest continental United States. The work to be performed provides for preparation of studies, plans, specifications, design, reports, cost estimates, and all associated engineering services in support of the Navy and other DoD installations’ various environmental compliance programs, including Clean Air Act compliance; Safe Drinking Water Act compliance; Stormwater Pollution Prevention Plans; Clean Water Act compliance studies; wastewater plans and compliance studies; laboratory services; petroleum storage tank; oil spill preparedness and planning; waste management; environmental condition of property programs; pesticide management; radon and related products; and sustainability services. No task orders are being issued at this time. Work will be performed within the NAVFAC Atlantic AOR including, but not limited to, southern California (25 percent); Texas (15 percent); Diego Garcia (13 percent); Mariana Islands (7 percent); Alaska (5 percent); Mississippi (5 percent); Arizona (2 percent); Hawaii (2 percent); Idaho (2 percent); Illinois (2 percent); Indiana (2 percent); Japan (2 percent); Louisiana (2 percent); Minnesota (2 percent); Montana (2 percent); New Mexico (2 percent); Nevada (2 percent); Ohio (2 percent); Oregon (2 percent); Tennessee (2 percent); and Utah (2 percent). Work is expected to be completed by July 2015. Contract funds will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online Web site, with three proposals received. The Naval Facilities Engineering Command, Atlantic, Norfolk, Va., is the contracting activity (N62470-10-D-3009).
~L-3 Communications, Nova Engineering, Inc., Cincinnati, Ohio, is being awarded a maximum value $52,781,000 indefinite-delivery/indefinite-quantity contract for equipment systems, equipment upgrades and repairs, and program management for the Tactical Remote Sensor System (TRSS) System of Systems (SoS). The TRSS SoS provides the capability for all-weather remote monitoring of activity within and near a given objective area. This contract announcement includes the first delivery order, which is expected to be $10,854,132 and includes both 2009 and 2010 procurement Marine Corps funds. This is a dollar-based contract and not quantity-based. Work will be performed in Cincinnati, Ohio, and is expected to be completed by July 2015. The contract was not competitively procured. Contract funds will not expire at the end of the current fiscal year. The Marine Corps Systems Command, Quantico, Va., is the contracting activity (M67854-10-D-7018).
~Rockwell Collins, Inc., Cedar Rapids, Iowa, is being awarded a $43,647,533 modification to definitize a previously awarded undefinitized contract action (N00019-09-C-0056) to a cost-plus-fixed-fee contract. In addition, this modification provides for the design, development, integration, installation, and test and support of prototype upgraded systems in the government’s E-6 systems integration laboratory and on pre-production Block I modification aircraft. Work will be performed in Richardson, Texas (75 percent), and Patuxent River, Md. (25 percent), and is expected to be completed in September 2013. Contract funds will not expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
~SKANSKA USA Civil Southeast, Inc., Virginia Beach, Va., is being awarded a $43,472,470 firm-fixed-price contract for construction of the new base entry point and road at Marine Corps Base Camp Lejeune, N.C. The work to be performed provides for the construction of approximately one-and-a-half miles of four-lane divided highway, and the construction and reworking of approximately one mile of a two-lane roadway. The project includes the widening of approximately two miles of road from a two-lane to a four-lane road, including relocation of utilities. The work includes the construction of a 2000-foot-long bridge crossing Northeast Creek, including adjacent wet lands. Work will be performed in Jacksonville, N.C., and is expected to be completed by December 2013. Contract funds will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online Web site, with seven proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Va. is the contracting activity (N40085-10-C-5318).
~BAE Systems Technology Solutions & Services, Inc., Rockville, Md., is being awarded a $30,910,129 modification to a previously awarded cost-plus-fixed-fee contract (N00421-09-C-0102) to exercise an option for technical services and supplies for the rapid design; development; customization; manufacturing; fabrication; integration; test and evaluation; installation; certification; maintenance and upgrade; logistics and life cycle support of new and/or existing communication-electronic platform; and equipment, systems and subsystems in support of the Naval Air Warfare Center Aircraft Division’s Special Communications Requirements Division. The estimated level of effort for this option is 359,000 man-hours. Work will be performed in California, Md. (60 percent); Chesapeake, Va. (10 percent); San Diego, Calif. (10 percent); Spring Lake, N.C. (10 percent); and Fort Walton Beach, Fla. (10 percent). Work is expected to be completed in July 2011. Contract funds will not expire at the end of the current fiscal year. The Naval Air Warfare Center Aircraft Division, Saint Inigoes, Md., is the contracting activity.
~Whiting-Turner Contracting Co., Towson, Md., is being awarded a $16,000,000 firm-fixed-price modification to previously awarded contract (N40080-09-C-0018) to exercise Option 1 for delivery and installation of furniture, fixture and equipment described as Category G for the Walter Reed National Naval Medical Center, Support Facilities for the Warrior Transition Unit, at National Naval Medical Center, Bethesda, Md. The total contract amount after exercise of this option will be $201,185,777. Work will be performed in Bethesda, Md., and is expected to be completed by August 2011. Contract funds will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Washington, Officer in Charge of Construction, Bethesda, Md., is the contracting activity.
~Detyens Shipyards, Inc., North Charleston, S.C., is being awarded a $6,849,591 firm-fixed-price contract for a 55-calendar day regular drydock and overhaul of Military Sealift Command fleet replenishment oiler USNS Patuxent. Work to be performed will include preservation of ballast and potable water tanks; propeller maintenance; and main engine overall. The ship’s primary mission is to provide fuel to Navy ships at sea and jet fuel to aircraft assigned to aircraft carriers. This contract includes options which, if exercised, would bring the cumulative value of this contract to $7,952,431. Work will be performed in North Charleston, S.C., and is expected to be completed by September 2010. Contract funds will not expire at the end of the fiscal year. This contract was competitively procured via an unrestricted solicitation posted to the Military Sealift Command, Navy Electronic Commerce Online, and Federal Business Opportunities Web sites, with three offers received. The U.S. Navy’s Military Sealift Fleet Support Command is the contracting authority (N40442-10-C-1006).
~P&S Construction, Inc.*, Lowell, Mass., is being awarded $6,607,000 for firm-fixed-price task order #0002 under a previously awarded multiple-award construction contract (N40192-10-D-2804) for the design and construction of a Navy Exchange Minimart and gas station at Naval Base Guam. The facility is to consist of a large Minimart facility with retail sales; customer service; receiving and storage; public toilets; and employee facilities with a separate “white box” fast food franchise with public toilets. The gas station is to consist of at least six double sided fuel dispensing islands for three grades of gasoline and diesel, under a full canopy; sales point inside the minimart; tire refill and auto vacuum stations; and a propane tank refill station for small consumer propane tanks. The facility will replace the existing Minimart and Subway franchise in Dorm 20; existing Building 526, Bee Quick Minimart; and existing gas station/auto port Building 7012. The task order also contains four unexercised options which, if exercised, would increase the cumulative task order value to $7,057,000. Work will be performed in Santa Rita, Guam, and is expected to be completed by December 2011. Contract funds will not expire at the end of the current fiscal year. Five proposals were received for this task order. The Naval Facilities Engineering Command, Marianas, Guam, is the contracting activity.
~Maron Construction Co., Inc.*, Providence, R.I., is being awarded a $5,569,500 firm-fixed-price contract for construction of an unmanned anti-submarine warfare system support facility by demolishing and rebuilding a center section of Building 119. A new structure will be built in its place with second and third floors, adjoining and accessible on each floor level to the two existing portions of Building 119. This contract also contains an unexercised option which, if exercised, would increase cumulative contract value to $5,689,950. Work will be performed in Newport, R.I., and is expected to be completed by February 2012. Contract funds will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online Web site, with seven proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Va., is the contracting activity (N40085-10-C-9425).
DEFENSE LOGISTICS AGENCY
~Burlington Apparel Fabrics, Greensboro, N.C.,
is being awarded a maximum $9,804,630 fixed-price with economic price adjustment, total set-aside, indefinite-delivery/indefinite-quantity contract for poly/wool cloth. Other locations of performance are Raeford, N.C.; Cordova, N.C.; and Hurt, Va. Using service is Navy. The original proposal was solicited on Dibbs with one response. This contract is exercising the first option year period. The date of performance completion is July 10, 2011. The Defense Supply Center Philadelphia, Philadelphia, Pa., is the contracting activity (SPM1C1-09-D-0030).
*Small business

DTN News: Boeing Unveils Unmanned Phantom Eye Demonstrator

Defense News: DTN News: Boeing Unveils Unmanned Phantom Eye Demonstrator
Source: DTN News / Boeing
(NSI News Source Info) ST. LOUIS, - July 13, 2010: The Boeing Company [NYSE: BA] today unveiled the hydrogen-powered Phantom Eye unmanned airborne system, a demonstrator that will stay aloft at 65,000 feet for up to four days.
"Phantom Eye is the first of its kind and could open up a whole new market in collecting data and communications," Darryl Davis, president of Boeing Phantom Works, said today at the unveiling ceremony in St. Louis. "It is a perfect example of turning an idea into a reality. It defines our rapid prototyping efforts and will demonstrate the art-of-the-possible when it comes to persistent intelligence, surveillance and reconnaissance. The capabilities inherent in Phantom Eye's design will offer game-changing opportunities for our military, civil and commercial customers."
Later this summer, Phantom Eye will be shipped to NASA’s Dryden Flight Research Center at Edwards Air Force Base, Calif., to begin a series of ground and taxi tests in preparation for its first flight in early 2011. That debut flight is expected to last between four and eight hours.
"The program is moving quickly, and it’s exciting to be part of such a unique aircraft," said Drew Mallow, Phantom Eye program manager for Boeing. "The hydrogen propulsion system will be the key to Phantom Eye's success. It is very efficient and offers great fuel economy, and its only byproduct is water, so it's also a 'green' aircraft."
Phantom Eye is powered by two 2.3-liter, four-cylinder engines that provide 150 horsepower each. It has a 150-foot wingspan, will cruise at approximately 150 knots and can carry up to a 450-pound payload.
Key Phantom Eye suppliers and partners include Ford Motor Company (engines); Aurora Flight Sciences (wing); Mahle Powertrain (propulsion controls); Ball Aerospace (fuel tanks); Turbosolutions Engineering (turbochargers); the Defense Advanced Research Projects Agency; and NASA.
A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world's largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $34 billion business with 68,000 employees worldwide.
Contact:
Chris Haddox
Boeing Phantom Works
Office: 314-234-6447
Mobile: 314-707-8891
chris.d.haddox@boeing.com
Deborah VanNierop
Boeing Phantom Works
Mobile: 210-454-2656

DTN News: Boeing Completes Initial Tests for Army Brigade Combat Team Modernization Increment 1

Defense News: DTN News: Boeing Completes Initial Tests for Army Brigade Combat Team Modernization Increment 1
Source: DTN News / Boeing
(NSI News Source Info) ST. LOUIS, - July 13, 2010: The Boeing Company [NYSE: BA] announced July 12, that Increment 1 of the Brigade Combat Team Modernization (BCTM) program has completed its Technical Tests, the first key milestone in the 2010 testing cycle.
"While this is just the first step in the 2010 test and evaluation process, we are encouraged by the performance of the Increment 1 capabilities," said Derek McLuckey, BCTM Increment 1 program manager for Boeing. "As we enter the next phase of testing, we will continue to show increased system reliability and performance for all Increment 1 capabilities."The tests evaluated aspects of Increment 1's capabilities and performance. Data and soldier feedback from these tests will lead to additional improvements in Increment 1 capabilities as the program prepares for the Force Development Test and Evaluation and the Limited User Test in September.
The monthlong tests, which ended July 1, involved Army engineers, Boeing, industry partners, and soldiers from the Army Evaluation Task Force at White Sands Missile Range, N.M. The tests were conducted in an operationally relevant environment designed to mimic conditions found in Afghanistan, and involved both day and night operations across a variety of terrain.
The Increment 1 capabilities that were evaluated included the Network Integration Kit, the Small Unmanned Ground Vehicle, the Class 1 Unmanned Air Vehicle, and Unattended Ground Sensors. Together, these capabilities will provide soldiers with increased intelligence, surveillance, and reconnaissance capabilities.
In addition to supporting the BCTM 2010 testing cycle, a team led by Boeing with support from Science Applications International Corp. (SAIC) [NYSE: SAI] is executing its initial production contract for the first set of BCTM Increment 1 capabilities, which will be delivered to the 3rd Brigade Combat Team of the 1st Armored Division for initial operational testing and evaluation in 2011.
SAIC is a FORTUNE 500® scientific, engineering, and technology applications company that uses its deep domain knowledge to solve problems of vital importance to the nation and the world, in national security, energy and the environment, critical infrastructure, and health. The company's approximately 45,000 employees serve customers in the U.S. Department of Defense, the intelligence community, the U.S. Department of Homeland Security, other U.S. government civil agencies and selected commercial markets. Headquartered in McLean, Va., SAIC had annual revenues of $10.8 billion for its fiscal year ended Jan. 31, 2010. For more information, visit http://www.saic.com/. SAIC: From Science to Solutions®
A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world’s largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $34 billion business with 68,000 employees worldwide.
Contact:
Erik Simonsen
Network & Tactical Systems Communications
Office: 714-896-2133
Mobile: 562-234-1498
Public Affairs ManagerLandforce Systems Operations
SAIC
Office: 202-246-3011

DTN News: Twin Bomb Blasts In Uganda Kill 64

Defense News: DTN News: Twin Bomb Blasts In Uganda Kill 64
Source: DTN News / AFP - Ben Simon
(NSI News Source Info) KAMPALA, Uganda - July 12, 2010: Twin bombs tore into crowds watching the World Cup final in the Uganda capital, killing 64 including an American and wounding scores in one of the deadliest attacks to hit the city, officials said Monday.
The country's police chief said the blasts at an Ethiopian-owned restaurant and a rugby club in Kampala late Sunday were a terrorist attack that may be linked to threats from Al Qaeda-inspired Islamist Shebab rebels in Somalia.
Security officers deployed to the scene blocked roads and cordoned off the damaged buildings, keeping journalists out as the injured were ferried to hospitals.
"We have 64 dead and 65 injured. The nationalities of all the fatalities will be released later," national police spokeswoman Judith Nabakooba said.
Earlier police said at least 23 people had been killed.
An American citizen was among the dead, a US embassy spokeswoman in Kampala said.
An AFP correspondent saw three wounded US citizens at the city's main Mulago hospital where dozens other injured people had been taken for treatment.
"We just wanted to watch the World Cup. Unfortunately we went to the Ethiopian village," said US national 18-year-old Chris Sledge who suffered serious injuries to his legs and a bruised eye.
"I feel OK. Am gonna need surgery," he said.
US President Barack Obama called the explosions "deplorable and cowardly", National Security Council spokesman Mike Hammer said in a statement.
"The United States is ready to provide any assistance requested by the Ugandan government," he said.
A senior administration official said the United States was in contact with its embassy in Kampala and the Federal Bureau of Investigation regarding the Uganda's government requests for assistance.
It was not immediately clear who was behind the explosions or the motive but national police chief Kale Kayihura told reporters the attack may be linked to the Shebab militants in nearby Somalia.
"Obviously this is terrorism. That one is clear," he said.
"You know there have been declarations from Shebab and Al-Qaeda. Terrorism is a modern-day threat. You know the region we are in and our commitment in Somalia," Kayihura said.
The Shebab last week urged Somalis to join the war against the African Union (AU) peacekeeping force in Somalia which includes Ugandan and Burundian forces, blaming them for civilians death in Mogadishu.
The police chief added, however: "At this stage we can't rule out anything."
Uganda became the first country to send troops to Somalia in early 2007 to prop up the war-torn country's transitional government. They were later joined by Burundian forces.
The hardline Shebab militia has repeatedly attacked the AU peacekeepers, killing scores and shrivelling the fragile government's control of Mogadishu to just a few blocks.
Last week a regional bloc pledged to send additional 2,000 soldiers to Somalia to boost the peacekeepers' strength to the required 8,100 troops, sparking belligerent reaction from the radical Islamist groups.
On Saturday the leaders of Somalia's two Islamist movements met for talks aimed at joining forces against the Western-backed government of President Sharif Sheikh Ahmed which they are fighting to overthrow.
The police chief urged residents to avoid huge gatherings until it was clear who was responsible for the rare bomb attacks in the east African country.
"As we grapple to find out what could have caused this, I would appeal to members of the public to avoid big gatherings," Kayihura said.

DTN News: France To Delay Air Programs - Due To "Zero Value" Increase In Defense Budget

Defense News: DTN News: France To Delay Air Programs - Due To "Zero Value" Increase In Defense Budget
* France will postpone program contracts worth some 5.4 billion euros ($6.8 bil) - Mirage Jets, Tankers, C2 Hit by Cuts
Source: DTN News / Defense News By PIERRE TRAN PARIS
(NSI News Source Info) PARIS, France - July 12, 2010: A sketchy outline of affected programs emerged during a July 7 hearing in which Defense Minister Hervé Morin appeared before the parliamentary defense committee. Morin said the government plans to postpone orders for a new fleet of multirole tanker and transport (MRTT) aircraft to replace the C-135 fleet and the 700 million euro ($888 million) upgrade of Mirage 2000D aircraft, according to Jean-Claude Viollet, a member of Parliament who attended the hearing.
Other programs to be pushed back include an upgrade to level four of the SCCOA national air command-and-control system, worth some 500 million euros to Thales in new radars, and elements of the Scorpion land systems modernization program, Viollet said.
Defense sources said Morin told lawmakers that the Barracuda nuclear attack submarine, Félin infantry gear, FREMM multimission frigate, Rafale fighter and VBCI armored vehicle would escape the budget cuts.
Defense Ministry spokesman Laurent Teisseire declined to confirm which programs would be affected, saying anything that had "not been signed or put under contract" could be delayed.
But he told journalists on July 8 that the budget reduction would not affect staff numbers. And he said the intended cut of 3.5 billion euros was significant but would leave intact the main operational capabilities outlined by France's military budget law.
One defense official said that even after the cuts, revised budget figures show the Defense Ministry getting an average annual raise of 3 percent. That's far better than the "zero value" increase set by the prime minister's office for other government departments. Such a scenario for the Defense Ministry would have meant cutting 4.8 billion euros.
Another defense official said studies are now being done on how to implement the delays to mitigate the effects. Ministry staffers were looking to get a 50-50 split between equipment and administrative costs.
Morin told lawmakers that the reduction allows maintenance of the broad balance in capabilities.
"The concern is how to succeed in the reforms for defense and the consequences of the cuts on the contract for operations," Viollet said.
He said the Defense Ministry needed to lay all the cards on the table, giving details of the different budgetary scenarios and the effect the cuts will have on the price of equipment.
Invalidated White Paper?
But at least one analyst said the cuts push the military off the track laid down by the government's most recent broad strategic guidance.
"The budget announcement renders invalid the defense white paper," said Loic Tribot La Spiere, chief executive of think tank Centre d'Etude et Prospective Stratégique.
The white paper set out objectives for an operational contract for the armed forces, notably deployment of 30,000 troops within six months for a year, backed by 70 combat aircraft for high intensity operations, and air assets projecting 1,500 soldiers out to 8,000 kilometers, with full autonomy in command and control, air detection and air traffic control.
But key to that vision are the MRTT aircraft now slated for delay. The biggest item in the budget - an order for 14 aircraft - could cost around 4.2 billion euros, based on one market analyst's estimate of 300 million euros per militarized Airbus A330 MRTT.
The expected delays on upgrading the Mirage 2000D and the SCCOA air command-and-control system would hit Thales, which stood to sell equipment on both programs.
Work on converting the Mirage 2000D fighter bomber to an air defense variant was worth about 700 million euros, Viollet said.
An Air Force spokesman confirmed the figure.
The upgrade of some 70 Mirage 2000Ds, expected this year, is essential to meeting the operational contract, the Air Force spokesman said.
Under the planned delivery rate of 11 Rafales a year, the service would have a fleet of 130 of the multirole aircraft by 2020. That is when the Mirage 2000D would be retired from service, leaving insufficient fighters to meet the operational contract.
The upgrade, however, would extend the operational life of the Mirage 2000D to 2025 and give additional air-to-air capabilities to the aircraft, which is equipped as a strike fighter.
"This is a big operational requirement," an Air Force officer said. "This is a complete mission change."
Gen. Jean-Paul Palomeros, the Air Force chief of staff, told the defense committee on Oct. 7 that he looked to the 2010 budget to "allow us to start the process of upgrading our Mirage 2000D, which will allow us to extend our fleet to 2025." He added, "guaranteeing the life of our combat aircraft remains a challenge of the absolute first order."
For the Mirage upgrade, Thales stood to have signed a contract to swap out the present terrain-following radar and install the RDY 3 radar and a fire-control system for the infrared-guided Mica air-to-air missiles needed to boost the Mirage's self-protection. The refit would also include integrating the Astac radar reconnaissance pod and changing the man/machine interface.
Technical studies, worth 36 million euros, have been done on the conversion, but the delay means less revenue for Thales.
On the SCCOA command-and-control system, Thales had expected to sell some 500 million euros of new GroundMaster radars in the next three to four years in the upgrade to level four.
EADS and Thales have a 50-50 joint venture company dubbed MOSS SAS, which acts as prime contractor for the SCCOA program.
Other Programs in Limbo
Among other measures, an option to buy a small number of Dassault Falcon 2000 executive jets, to replace the Falcon 700, for the government falls due in the next few months and is under review. A second Falcon 7X was bought in March but has not yet been delivered.
The purchase of A400M airlifters will go ahead without any change in numbers, although there are questions about whether Germany will buy all planned 60 units.
The revised defense budget for 2011 will be 30.15 billion euros, 30.5 billion in 2012, and 31 billion in 2013, Morin told the parliamentary committee.
Those figures compare with those published in the 2009-14 military budget law: 29.65 billion for 2011, 30.32 billion for 2012, and 30.73 billion for 2013. Those figures were at 2008 prices.
On that basis, the 2011 equipment spending would be about 15 billion euros, 2 billion less than the 17.02 billion budgeted for 2010.
A projected 1.9 billion euros in "extra-budgetary revenues" has been revised upward to 2.3 billion euros because the digital frequencies to be sold, along with buildings, and sale and leaseback of the Syracuse military telecommunications satellite, had been undervalued.
A decision to postpone programs is "just smoke and mirrors," Tribot La Spiere said. Given the size of the reduction, real decisions need to be made on which programs to cut. "This is a no-decision decision."
He said the delay would simply put off a decision to someone else.
Cooperative Tanker?
Given the planned cuts in Britain, France, Germany and Italy, decisions need to be made on pooling capabilities and a specialization of defense tasks, he said. Given the lack of money to perform the full range of missions, governments should think about which ones to opt for, he said.
Senior Air Force officers had been hoping an order of 14 air tankers will be placed next year to replace the aging fleet of 14 C-135 FR aircraft by 2015.
The parliamentary committee asked Morin if the British Future Strategic Tanker Aircraft fleet might be shared as a stopgap measure.
The MRTT is to refuel nuclear-armed strike aircraft, and also carry cargo long distances.

DTN News: India-US Begin Price Negotiations On Boeing C-17 Airlifter For Indian Air Force (IAF)

Defense News: DTN News: India-US Begin Price Negotiations On Boeing C-17 Airlifter For Indian Air Force (IAF)
Source: DTN News - compiled by Roger Smith from reliable sources
(NSI News Source Info) NEW DELHI, India - July 12, 2010: India and the United States have begun talks here on the price and onboard equipment for the 10 Boeing C- 17 military transport aircraft that the Indian Air Force (IAF) wants.
According to reliable sources quoted by India Strategic defence magazine, the validation trials of the aircraft were complete and that one United States Air Force (USAF) C-17 which had come to India in this regard last month had met the IAF specifications. The aircraft was tested in short and high altitude runways.
As India is buying the aircraft from the US government under its Foreign Military Sales (FMS) programme, the US Department of Defense (DOD) and USAF are leading the discussions from the supplier side and the Indian Ministry of Defence and the IAF are negotiating from the buyer side. DOD has set the maximum price at $5.8 billion for the aircraft and various systems but the actual price would depend upon what equipment and onboard options the IAF finally selects. The US government will issue a Letter of Acceptance (LOA) after these discussions are finalized, indicating the equipment, services, and lifecycle support and their costs. There would be a 3.8 per cent administrative fee that the US government now charges on all FMS deals. (This fee varies periodically between 2.5 to 5 per cent).
India Strategic quoted Boeing's Vice President for Global Mobility Systems Tommy Dunehew, who was here recently, as saying that Boeing has offered assured maintenance and supply of spares for the lifetime of the aircraft - say 40 years - and serviceability.
The aircraft is manufactured by Boeing at its Los Angeles facility.
According to an official Boeing statement, the latest large T-tailed C-17 Globemaster-III, which India is seeking, can carry a maximum payload of 74,797 kilograms for 2,400 nautical miles without refueling and 45,495 kilograms for 4,000 nautical miles without refueling.
The aircraft can also be refueled midair to extend its range to carry equipment and humanitarian aid across international distances.
The statement said that the C-17 can operate from "a small, austere airfield in 3,000 feet or less" with full payload. "The C-17 is equipped with an externally blown flap system that allows a steep, low-speed final approach and low-landing speeds for routine short-field landings."
Boeing has delivered 199 C-17s to the USAF. There are 19 C-17 aircraft with other international customers.