The Insider

Japan Buys Newer AMRAAM
By James Drew
December 15, 2014 at 9:51 PM

The State Department has cleared the way for Japan to upgrade its inventory of Advanced Medium-Range Air-to-Air Missiles by approving the foreign military sale of C7-model AIM-120 missiles.

A Dec. 12 notice from the Defense Security Cooperation Agency states that Japan wants to purchase a small quantity of AIM-120C7 missiles, the latest variant approved for export, for an estimated $33 million.

The deal would include 17 missiles and two training devices as well as associated equipment, technical documentation and logistics support. The Japanese Air Self-Defense Force currently fields an earlier C5-model missile.

The U.S. Air Force is leading the development of a new AMRAAM, the AIM-120D -- which improves the weapon's accuracy and networking capability and adds a two-way data link.

AMRAAM is produced by Raytheon. According to the company, 36 countries buy AIM-120 missiles for air combat and defense.

The DSCA notice states the proposed sales meets the objectives of the 1960 U.S.-Japan Treaty of Mutual Cooperation and Security.

JASSM Moves To Full-Rate Production
By James Drew
December 15, 2014 at 5:06 PM

The Air Force's extended-range Joint Air-to-Surface Standoff Missile program has moved to full-rate production following a recent milestone decision, prime contractor Lockheed Martin said today.

The new JASSM design more than doubles the subsonic cruise missile's range to 500 nautical miles compared to the baseline variant, which entered production in 2001.

The production decision follows the 2,000-pound class missile's integration with the B-1B Lancer conventional bomber. The baseline missile is integrated with most Air Force fighters and bombers as well as the Royal Australian Air Force's F/A-18 Hornet.

“Armed with a dual-mode penetrator and blast-fragmentation warhead, JASSM and JASSM-ER cruise autonomously day or night in all weather conditions,” the company wrote in a Dec. 15 statement. “Both missiles share the same powerful capabilities and stealthy characteristics, though JASSM-ER has more than two-and-a-half times the range of the baseline JASSM for greater standoff margin.”

According to an April Selected Acquisition Report, the full-rate production decision had initially been slated for December 2013 following test and evaluation. The decision was pushed right due to delivery delays, the document states.

Lockheed said the Lot 11 and Lot 12 JASSM contracts awarded last December include 100 extended-range variants. The company said JASSM-ER had 20 successful test flights and one failure during testing last year.

The announcement follows an October report by the Defense Security Cooperation Agency that the government has approved the sale of baseline JASSM missiles to Poland. The missile would be integrated with Poland's F-16 fighter jet.

Poland would be the third JASSM foreign military sales customer following Australia and Finland.

International AMRAAM Tests
By James Drew
December 15, 2014 at 3:27 PM

Norway, Finland, Switzerland and Turkey have conducted a series of successful AIM-120 Advanced Medium Range Air-to-Air Missiles tests designed to validate the effectiveness of a new processor card, according to the manufacturer Raytheon.

The four foreign military sales customers currently field the C7-model AMRAAM, as opposed to the newer AIM-120D being developed by the Air Force. The test campaign, named Thor's Hammer, marks the completion of developmental testing for the AIM-120C7, Raytheon said in a Dec. 8 press statement.

"AIM-120C7 has been in production since the mid-2000s but had to undergo new testing because its processor card, which instructs its advanced radar and other components, was upgraded," the company said in a another posting on its website. "In particular, the tests in September helped ensure that the missile’s computing instructions were translated correctly into the new processor’s more advanced programming language."Raytheon said five test shots were conducted, one each from a Swiss F-18 and Turkish F-16 at Sweden's Vidsel Test Range.

Norway and Finland fired one and two ground-launched shots respectively from their National Advanced Surface-to-Air Missile Systems (NASAMS), produced by Raytheon.

The NASAMS air defense system has been purchased by several countries and are deployed around the Washington Capital Region.

The tests shot down five aerial target drones -- four Firejets and one MQM-107 Streaker, Raytheon said.

ATK Announces Impairment
By Marjorie Censer
December 15, 2014 at 3:25 PM

Alliant Techsystems said today that it expects to record in the third quarter of fiscal year 2015 an impairment charge of $40 million to $50 million related to its firearms business.

"ATK determined on December 12, 2014 that an impairment of goodwill within the Firearms business may have occurred," the company said in a filing with the Securities and Exchange Commission. "While results of the analysis to finalize the actual amount of the impairment charge are not yet completed, ATK believes there is sufficient evidence to conclude that it is more likely than not that an impairment has occurred."

The company said the anticipated charge is related to the "current market correction impacting demand for firearms" and a decline in the company's projected cash flow in the firearms division.

Unmanned U-2 Report
By James Drew
December 12, 2014 at 9:09 PM

Converting the U-2 spy plane into an unmanned aircraft would cost approximately $800 million and take four years, according to an August 2012 report to Congress obtained this week by InsideDefense.com.

The report concludes that taking the pilot out of the cockpit is "feasible but not practical" because of landing issues and the complexity of the design.

The Air Force has tried several times to retire the U-2 in favor of further investment in Northrop Grumman's RQ-4 Global Hawk, but the Dragon Lady's supporters in Congress have repeatedly blocked the move in defense policy and spending legislation.

In 2012, Congress asked the Air Force to report on the feasibility of coverting the U-2 into a remotely piloted aircraft -- as first proposed by the original manufacture Lockheed Martin in 2001.

The concept resurfaced in an Aviation Week report last month that said Lockheed has been revising the design, possibly in response to the Air Force's latest attempt to retire the aircraft.

Inside the Air Force reported this week that the service has no plans to pursue the conversion.

According to the report, the U-2's airframe endurance could be pushed from 14 hours to 20 hours with significant wing modifications. Human factors currently limit U-2 sorties to 10-12 hours.

The conversion, the report notes, would add weight and complexity to the system, and landing would be difficult. The U-2 "is well known for its challenging landing characteristics" because of its long wings and bicycle landing gear, and its engines must be stalled before touching down.

"No capability to land the U-2 remotely or autonomously has ever been demonstrated, and to do so would require significant upgrades to the U-2 autopilot and flight control systems," the report states.

Initial industry cost estimates in 2001 placed the cost of converting the entire U-2 fleet at $350 million, according to the report. In 2012, the estimate was revised to $800 million to account for the cost of extending the wings.

"Based on the 2001 proposal, the first aircraft would be delivered no earlier than four years after the contract award," the report states.

The Air Force has 32 U-2 aircraft, operated by the 9th Reconnaissance Wing at Beale Air Force Base, CA.

Cost Estimating
By John Liang
December 12, 2014 at 9:00 PM

The Government Accountability Office in a report released today is giving the Missile Defense Agency a pat on the back for "improving its cost-estimating practices."

Among the things MDA has done that have created this GAO applause are issuing "an internal cost estimating handbook," doing "internal cost reviews," setting up "an independent cost assessment team" and getting independent cost estimates from the Pentagon's cost assessment and program evaluation office, the report states.

But GAO says MDA shouldn't just stop there:

However, continued evaluation over time by MDA's internal cost review and its independent cost assessment teams will provide more confidence in the agency's ability to identify areas where the cost estimate follows its guide and where correction is needed. Making these corrections will do the real work to improve the quality of the estimates.

GAO Report On MDA's Cost Estimating Practices
By
December 12, 2014 at 8:55 PM

The Dec. 12, 2014, Government Accountability Office report gives the Missile Defense Agency a pat on the back for "improving its cost-estimating practices."

GAO Report On MDA's Cost Estimating Practices

Open For Bids
By Sebastian Sprenger
December 12, 2014 at 8:29 PM

The Army today issued a long-awaited request for proposals for the Joint Light Tactical Vehicle program.

After three rounds of drafts, the final version formally kicks off the race between contractors Lockheed Martin, Oshkosh and AM General to begin producing an initial batch of 17,000 vehicles for the Army and Marine Corps.

"The final RFP ensures clarity in the program's request, incorporating updates primarily related to clarifying expectations about the delivery of specific requirements, while still allowing vendors to propose tradeable options in some areas," a service statement reads.

BAE To Buy Eclipse
By Marjorie Censer
December 12, 2014 at 6:15 PM

BAE Systems said this week it has agreed to buy Eclipse Electronic Systems for about $28 million.

The business, based in Texas, has about 90 employees and specializes in intelligence, surveillance and reconnaissance products and services for defense and intelligence agencies.

The deal is expected to close early next year.

Subcommittee Chairmen
By John Liang
December 11, 2014 at 5:34 PM

Rep. Mac Thornberry (R-TX), who will be taking over the chairmanship of the House Armed Services Committee next year, today announced his subcommittee chairmen.

"Our subcommittees have an immense responsibility," he said in a statement. "We are fortunate to have a talented group of subcommittee chairmen. They share a wealth of policy and congressional expertise. All are up to the challenge of providing for the common defense, and meeting the high expectations of the U.S. taxpayer."

According to the statement, the new subcommittee chairmen -- all Republicans -- next year will be:

Intelligence, Emerging Threats and Capabilities -- Rep. Joe Wilson, South Carolina

Seapower and Projection Forces -- Rep. J. Randy Forbes, Virginia

Military Personnel -- Rep. Joe Heck, Nevada

Tactical Air and Land Forces -- Rep. Mike Turner, Ohio

Strategic Forces -- Rep. Mike Rogers, Alabama

Readiness -- Rep. Rob Wittman, Virginia

Oversight and Investigations -- Rep. Vicky Hartzler, Missouri

Senators Approve Authorization Bill
By John Liang
December 11, 2014 at 4:16 PM

The Senate this morning approved the fiscal year 2015 defense authorization conference bill by an 84-15 vote, according to a statement issued by Sen. Bernard Sanders (I-VT).

House lawmakers approved the compromise bill last week.

Today's Senate vote paves the way for signature by the president.

The final major piece of defense legislation on the docket before lawmakers break for the holidays is the FY-15 omnibus spending bill, the explanatory statement of which was issued today.

Senate Close To Approving Policy Bill
By John Liang
December 11, 2014 at 4:16 PM

The Senate this morning neared final approval of the fiscal year 2015 defense authorization conference bill by invoking cloture via an 85-14 vote to end debate on the legislation. A final vote is scheduled for tomorrow, paving the way for signature by the president.

House lawmakers approved the compromise bill last week.

The final major piece of defense legislation on the docket before lawmakers break for the holidays is the FY-15 omnibus spending bill, the explanatory statement of which was issued today.

Laser Beam
By John Liang
December 10, 2014 at 9:41 PM

The Navy today officially announced the use of a shipboard laser in the Arabian Gulf. Inside the Navy reported on this event back in October:

The deployment is part of a new overall strategy [Chief of Naval Operations Adm. Jonathan] Greenert has called for that involves better understanding of and leveraging of the electromagnetic spectrum for both offensive and defensive capabilities.

The primary threat being looked at is the swarm threat, either a swarm of small drones or fast-attack craft in the water. Laser weapons and high-power radio frequency weapons can help knock out the swarm more cheaply, saving more expensive ordnance for whatever larger threat may follow.

The cost of the fuel it takes to produce the laser beam is on the order of one dollar per engagement once the system is onboard the ship, Capt. Michael Ziv, railgun and laser program manager for NAVSEA, said during a March 13 interview.

Transition into a program of record will be sometime in the fiscal year 2018 timeframe, Ziv estimated, with initial operational capability (IOC) around FY-20 to FY-21.

Slotkin Delayed
By Tony Bertuca
December 9, 2014 at 5:15 PM

Despite approving other recent nominees, the Senate Armed Services Committee is delaying the confirmation of Elissa Slotkin, President Obama's nominee to serve as the Defense Department's next assistant secretary of defense for international security affairs, according to a statement from the committee.

The committee did not report Slotkin's nomination to the Senate floor today, according to a statement from Tara Andringa, a committee spokeswoman.

"Her nomination was not considered," Andringa wrote in an email. "It is not the practice of the Senate Armed Services Committee to schedule a nomination for a vote when there are still open questions from members that have not been responded to."

Sen. John McCain (R-AZ) grilled Slotkin during her Dec. 2 nomination hearing regarding her views of the U.S. “surge” in Iraq, while Sens. Kelly Ayotte (R-NH) and Jim Inhofe (R-OK) attempted to get Slotkin to admit that Russia had invaded Ukraine when it annexed Crimea.

Among those nominations that did go to the floor were that of Adm. Harry Harris to be chief of U.S. Pacific Command; Robert Scher to be assistant secretary of defense for strategy, plans, and capabilities; David Berteau to be assistant secretary of defense for logistics and materiel readiness; and Alissa Starzak to be the Army's general counsel.

SAIC Profits Grow
By Marjorie Censer
December 9, 2014 at 3:19 PM

Defense contractor Science Applications International Corp. reported today that its sales and profit grew in the most recent quarter.

The company said sales in the three-month period ended Oct. 31 jumped 2 percent to hit $993 million. Profit surged to $37 million, up about 68 percent from the same period a year earlier.

Tony Moraco, the contractor's chief executive, said in a call with analysts this morning that the company benefited from significant task order renewals. SAIC, he said, continues to see many new solicitations, but the government remains slow to make new awards.

"Even with contract scope and funding adjustments, we have not seen a decline in contract proposals," he said. But "the award cycle continues to be elongated."