Wednesday, September 21, 2016

How desperate is the F-35 program? They're begging allies to do a 450 plane block buy!

via Breaking Defense.
Perhaps the biggest Joint Strike Fighter news in the long term was Bogdan’s estimate today that a block buy by allies and JSF partners of 450 aircraft would “conservatively” save $2 billion, including money saved by buying advanced parts for US jets. For readers not familiar with this approach, a block buy is not a multiyear purchase, which requires congressional approval. The block buy would occur over three years. Any partner buying planes in the lots covered by that sale would benefit from the savings starting with LRIP lot 12 and including lots 13 and 14. Bogdan is still hammering out prices with Lockheed for lots 9 and 10. He predicted a deal before the end of the year.
Wow.  This is craziness!  Do you see the trick they're trying to pull?  They're gonna try and sneak in buying advanced parts for US jets to take away the pain from our allies if they buy early (if I'm reading that part right)!  That's gotta be criminal.  US law does not allow for this but the Program Office is trying to pull ANOTHER fast one.

The next piece that has me scratching my head is that they guy is STILL working on lots 9 and 10.  How much longer will those negotiations drag out? Military leaders have put themselves into a terrible position.  They're trying to negotiate and have taken away their trump card....they're not willing to walk away and Lockheed Martin knows it.

No matter how tough Bogdan tries to be, he's gonna end up getting rolled.  That's why the negotiations are dragging.  LM has him by the short hairs and they know it!

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