Aerospace Daily & Defense Report

Staff
POSTPONED: The U.S. Air Force has cancelled this week's scheduled meetings with competitors for the combat, search and rescue (CSAR-X) helicopter program (DAILY, Oct. 19) because the service could not resolve issues with the companies over how much information could be shared about previous bids, sources familiar with the program say.

Staff
NRO DIRECTOR: Scott Large will serve as the next director of the National Reconnaissance Office (NRO). Large, previously NRO's principal deputy director, also recently was the director of source operations and management in the National Geospatial-Intelligence Agency. He rose through several technical ranks at the Central Intelligence Agency starting in 1986, culminating as the associate deputy director for science and technology. NRO is staffed by Defense Department and CIA personnel. His appointment comes with the blessing of the director of national intelligence.

Staff
LAST RESORT: U.S. Navy Adm. Mike Mullen, the new chairman of the Joint Chiefs of Staff, says he has "very, very real" concerns over Iranian actions and intentions but stresses dealing with Iran diplomatically over military options. "I'm not one to take options off the table and wouldn't do that," he told reporters at the Pentagon. "However, I really do consider [the military option] one of last resort, and, I guess, would only reemphasize that the concern is there...." Despite prolonged combat operations in Iraq and Afghanistan, Mullen claims the whole U.S.

Staff
SAUDI SALE: The Defense Security Cooperation Agency (DSCA) has notified Congress of a possible Foreign Military Sale to Saudi Arabia of light-armored vehicles (LAVs) and Humvees, as well as associated equipment and services. The total value, if all options are exercised, could be as high as $631 million. The Bush administration has undertaken plans to arm Middle Eastern allies with tens of billions of dollars in military equipment.

Staff
RELIABLE PROGRAMS: The Department of Defense's DOT&E (director of operational test and evaluation) and AT&L (acquisitions, technology and logistics) offices plan to partner on ensuring programs and systems demonstrate reliability up-front, resulting in demonstrable cost-savings as they go operational. Next week, DOT&E Director Charles McQueary will present his findings on the topic with the deputy undersecretary of defense for AT&L, James Finley, at a systems engineering conference.

Staff
ARMY ACCIDENTS: The U.S. Army Combat Readiness/Safety Center (USACRC) will be dealing with issues involving increases in non-hostile accident losses in Iraq. USACRC will collect, analyze and communicate accident information at the request of the commanding general of the multi-national corps-Iraq (MNC-I), and hopes to stem the growing numbers by raising awareness and addressing safety issues. As of Sept. 24, Army forces in Iraq experienced 41 fatalities due to ground accidents during fiscal 2007, of which 16 occurred between Oct. 1, 2006 and Mar.

Staff
The U.S. State and Defense departments need to work out their differences over what exports qualify for exemptions from the International Trade in Arms Regulations (ITAR), a congressional report says. The U.S. Government Accountability Office (GAO) says "a lack of common understanding of regulatory exemption use could result in inconsistent application of the regulations."

David Hughes
It's unclear how the National Transportation Safety Board's (NTSB) safety recommendations to FAA on how to improve unmanned air vehicle operations in the wake of a Predator accident may affect long-term planning on how to increase unmanned air vehicle (UAV) access to civil airspace, according to the co-chairman of the RTCA Special Committee on UAVs.

Michael Fabey
The U.S. Air Force has failed to properly compete C-130 blade equipment and needs to change the acquisition process for that area, according to a recent DOD Inspector General (IG) Report. The audit was initiated in response to a Defense Hotline allegation that SMR Technologies, Inc. was not given a fair opportunity to compete for the C-130 aircraft propeller blade heater requirement, despite receiving source approval from the Naval Inventory Control Point in Philadelphia and the Warner Robins Air Logistics Center.

David Hughes
Research and development (R&D) spending is rising at a double-digit pace in Asia, driven by growing activity in China and India, according to an annual survey just released by Battelle, a $3.8 billion R&D group in Columbus, Ohio. R&D spending is expected to rise 24 percent in China to $175 billion in 2007 - up from $141 billion in 2006 - as overall spending in Asia grows nearly 13 percent from to $436 from $387 billion.

Michael Fabey
Competitors for the beleaguered U.S. Air Force Combat, Search and Rescue (CSAR-X) helicopter replacement program will meet next week with service officials for briefings meant to ensure a more open selection process and to prevent another protest, sources familiar with the acquisition say. The Air Force had awarded Boeing the program, worth between $10 billion and $15 billon, for more than 140 HH-47 variants of the company's Chinook. But the U.S. Government Accountability Office (GAO) has twice upheld protests by competitors Lockheed Martin and Sikorsky.

Robert Wall
EADS will face its second earnings hit in as many years over delays in a major aircraft program now that the company acknowledges the A400M airlifter will be at least six months late. Just how big the financial setback will be is not being disclosed for several more weeks. Moreover, the scale of the financial hit could grow; EADS says that in addition to the six-month delay, another six-month schedule slip may loom.

Michael Bruno
Providing ground forces with data while on the move is still the greatest unmet land-oriented C4ISR need, according to Brig. Gen George Allen, Marine Corps chief information officer. "We still don't have that," he told DefenseNews' C4ISR Integration conference in Arlington, Va. "We're still not where we need to be."

Frank Morring Jr
NASA is soliciting bids for almost $175 million in seed money for industry to develop new vehicles to supply the International Space Station after formally terminating its agreement with Rocketplane Kistler (RpK) under the Commercial Orbital Space Transportation (COTS) program.

Michael Fabey
Gen. Richard Cody, Army vice chief of staff, says turning the Joint Cargo Aircraft (JCA) program into a single acquisition and operation platform under the Air Force would mean significant cost increases. Cody spoke in response to questions from Sen. Carl Levin (D-Mich.), chairman of the Armed Services Committee. Cody also sent Levin a copy of the Oct. 9 appeal to restore authorization for JCA funding to the Army aircraft procurement account.

Bettina Haymann Chavanne
SPRINGFIELD, Va. - A stronger reliance on the commercial marketplace would benefit the defense industry despite barriers to fostering that alliance, says William Greenwalt, deputy undersecretary of defense for industrial policy. Greenwalt spoke at a Government Electronics and Information Technology Association (GEIA) conference Oct. 16.

Bettina Haymann Chavanne
Saying his company has been "perhaps too quiet about how we compete for military procurement," Airbus North America Chairman Allan McArtor took aim at Boeing's business practices during a National Press Club press conference in Washington Oct. 18.

Staff
IRAQ AIRLIFTERS: The Iraq government wants to buy $172 million worth of logistics, spares and maintenance support for three C-130E aircraft, according to a Pentagon announcement over the foreign military sale. The Defense Security Cooperation Agency told Congress Sept .21 that there will be a competition between contractors in joint negotiations for the U.S. Air Force's Contractor Engineering Technical Services contract vehicle. The C-130Es, bought from the United States, will be used for airlift support. Services will include flares and electronic warfare.

House

Michael Bruno
Lockheed Martin and Patria of Finland have teamed to compete for the U.S. Marine Corps' Marine Personnel Carrier (MPC), the companies announced Oct. 18. The Marines are expected to release a request for proposals for the next-generation medium armored vehicle during the second quarter of 2008.

Staff
INFO SECURITY: The United States should ensure the open exchange of unclassified research despite the small risk that it could be misused for harm by terrorists or rogue nations, declared a new report by the National Research Council. Researchers such as Jacques Gansler, Gary Hart and high-profile academics unveiled their report Oct. 18 and said extreme measures to curtail the flow of essential information or people would significantly disrupt advances that are critical to U.S. military and economic security.

Michael Bruno
U.S. Air Force generals responsible for shepherding the service's nascent cyberspace command are starting to identify their requirements and hope to have a strong plan for spending requests come the fiscal 2010 budget cycle. Lt. Gen. Robert Elder, commander of the 8th Air Force, told an industry audience Oct. 18 that Maj. Gen. William Lord, who is taking over Air Force Cyber Command, is joining Barksdale Air Force Base, La., in that effort.

CRS

Michael Fabey
The military maritime services will focus on integrating their forces to fight or deter wars and keep U.S. shores safe, according to a new maritime strategy report released Oct. 17. "Never before have the maritime forces of the United States -- the Navy, Marine Corps, and Coast Guard -- come together to create a unified maritime strategy," the report says. "This strategy stresses an approach that integrates seapower with other elements of national power, as well as those of our friends and allies." Global reach