C-130J Termination Costs Could Exceed $2 Billion

By Jason Sherman / March 3, 2005 at 5:00 AM
The price tag for canceling the C-130J aircraft program could climb above $2 billion, according to a senior Air Force official and leading defense lawmaker. In addition to penalties for terminating the Hercules aircraft program, which the Pentagon jettisoned in a December bid to trim $5 billion from its six-year spending plan, the government could also end up paying for a substantial portion of the manufacturing equipment and materials purchased by contractors to build more planes. "The aggregate of these...

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