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Lockheed signs $8.5 billion F-35 order

Friday, February 03, 2017 - 01:09

Lockheed Martin signed a $8.5 billion deal with the U.S. Department of Defense for 90 F-35 jets. Bobbi Rebell reports.

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A big price drop for Lockheed Martin. The company signed a $8.5 billion deal with the U.S. Department of Defense for 90 F-35 jets. It's the lowest price to date for the Pentagon's most expensive program. It comes with about $700 million in savings for Pentagon, more than the $600 million that U.S. President Donald Trump claimed he was able to shave off from the order. In December, Trump lashed out at the program as being "out of control" and vowed to bring the prices down. Lockheed said in a statement that "President Trump's personal involvement in the F-35 program accelerated the negotiations and sharpened our focus on driving down the price." The price per jet has been steadily declining as production ramps up. Analysts have said the discount hailed by Trump was in line with what had been flagged by Lockheed and Pentagon officials for months. The U.S. Defense Department expects to spend $391 billion in the coming decades to develop and buy 2,443 of the supersonic warplanes.

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Lockheed signs $8.5 billion F-35 order

Friday, February 03, 2017 - 01:09