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Lockheed Martin and the Pentagon have finalized an initial production and maintenance agreement for the F-35, with the goal of delivering at least 850 aircraft over the next 10 years, with Lockheed Martin raising $7 billion to support the plan.
The US Department of Defense and defense contractor Lockheed Martin said today they have reached an initial production and maintenance agreement and are expected to provide at least 850 F-35 Lightning 2 (Lightning II) fighter jets over the next 10 years.
Reuters reported,pentagon Lockheed Martin said in a statement that it would self-finance at least US$7 billion to support measures related to the F-35 program.
Under the agreement, Lockheed Martin aims to maintain annual production of 156 aircraft. The agreement is considered a pre-arranged long-term contract and does not constitute a formal order.
Lockheed Martin said: “If multi-year authorization is received in the coming months, the F-35 Joint Program Office (F-35 Joint Program Office) and Lockheed Martin will finalize contract terms, pricing and schedule through a formal contract award process.”
Lockheed Martin said the agreement also covers international F-35 orders, initial spare parts and modification kits.
US Deputy Secretary of Defense Michael Duffy said: “We have revolutionized the way we help stabilize the US defense industrial base and achieve production rapidly and at scale. (Our) agreement with Lockheed Martin reflects this. By combining economic incentives and real demonstrations, we are ensuring that our warfighters have the lethal capabilities needed to win our wars.”
Summary FAQ
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The agreement reached between the two parties is an Initial Production and Maintenance Agreement, which is a pre-arranged long-term contract and is not equivalent to a formal order. If multi-year authorization is obtained in the future, details will be finalized through a formal contracting process.
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The agreement is expected to provide at least 850 F-35 Lightning 2 fighter aircraft over the next 10 years, with an annual production target of 156 aircraft. This means that both sides hope to maintain a stable and high-volume production rhythm.
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Lockheed Martin said that in addition to fighter aircraft production, the agreement also covers F-35 international orders, initial spare parts and modification kits. At the same time, the company will also self-finance at least US$7 billion to support relevant measures.
