_Aerospace Daily

Staff
Austrian Airlines has become the latest carrier to choose the Pratt&Whitney PW4168 engine for its new A330 aircraft, P&W reported. Beginning in 1998, Austrian will acquire four A330-200s powered by the 100-inch fan model of the PW4000 engine. The value of the sale to P&W is about $90 million.

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NASA's International Space Station program manager will meet space officials in Italy later this month to discuss whether Italy will build two nodes for the International Space Station to offset the cost of flying its payloads to the orbiting laboratory.

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Beginning this fiscal year, the Pentagon should increase funding for the protection of information systems by about $3 billion, the Defense Science Board said in a study. The additional funding is recommended for fiscal years 1997 through 2001, and would represent an increase of about 200% over the $1.6 billion now planned for information security. The DSB task force study, "Information Warfare - Defense," was released by the Pentagon Friday and included 13 primary and more than 50 secondary recommendations.

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Airbus said yesterday that it will introduce a new flight management system for its airliners that will readily meet Future Air Navigation System (FANS) requirements. It said customers will be able to equip their fleets with flight management systems from either Honeywell or Sextant Avionique, in association with Smiths Industries.

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Senate leaders have firmed up the membership of the Senate Intelligence Committee with the addition of four new Republicans and one new Democrat. Sen. Richard Shelby (R-Ala.) has been picked by the GOP leadership to become chairman, as expected. The following four Republicans will join the committee: John H. Chafee (R.I.), Orrin G. Hatch (Utah), Pat Roberts (Kan.) and Wayne Allard (Colo.). Departing GOP members are former committee chairman Arlen Specter (Pa.) and Kay Bailey Hutchison (Tex.).

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The U.S. Naval Air Reserve Force is facing shortcomings in readiness, manpower, training and equipment in its fleet of P-3C, F-14, F/A-18 and C- 130T aircraft, the Pentagon Inspector General has found. The IG, in a Dec. 27 report, faulted Navy management control weaknesses for the various shortcomings. The report focused on the adequacy of Navy and Marine Corps planning for aircraft transfers from the active to the reserve force and for congressionally directed procurements.

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Pentagon Acquisition Chief Paul Kaminski has told the congressional defense committees that DOD has obligated fiscal year 1996 funds for the Clementine micro-satellite program. The FY '97 Defense Authorization Act contained a provision blocking DOD from obligating funds for the Global Positioning System Block IIF satellite development program until it certifies to Congress that the FY '96 funds for Clementine II have been obligated and the FY '97 funds for Clementine II have been made available for obligation (DAILY, July 9, 1996).

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Boeing Co. yesterday said yesterday it will offer a larger derivative of its 767 airliner. It said the 767-400ERX would have 10-15% more seats than the 767-300, and 245 passengers compared to 218 in the -300, with the same 6,500 nautical mile range as the 767-300ER.

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Last week's informal agreement among industry partners to transform Airbus Industrie into a limited company reflects a compromise between Daimler-Benz Aerospace (DASA) of Germany, which wanted full integration of all Airbus activities into a new, independent public limited company, and Aerospatiale of France, which was reluctant to give up control over its highly valuable civilian research and development units, according to sources close to the talks.

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December 31, 1996 Northrop Grumman Corporation

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Raytheon will purchase Texas Instruments' Defense Systems&Electronics segment for $2.95 billion, and it may not be the last move the company makes in the defense industry consolidation game, company executives said during a telephone conference call yesterday.

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ALLIEDSIGNAL AEROSPACE, Torrance, Calif., named David Dittemore president, Commercial Avionics Systems business, effective Jan. 1. It also said that J. Gregory Shuk was named vice president, Sales and Marketing. Dittemore will succeed Chuck Miller, who retired, and report to Daniel P. Burnham, president of AlliedSignal. Dittemore joined AlliedSignal in 1975 and was most recently VP engineering. Shuk, who joined AlliedSignal in 1993, had been vice president, Government Operations and Marketing for AlliedSignal Aerospace Marketing Sales&Service.

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December 31, 1996 Raytheon Electronic Systems

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December 30, 1996 Lockheed Martin Aeronutronic

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January 3, 1997 Boeing Defense and Space Group

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December 30, 1996 Hughes Missile Systems Co.

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Rep. Randy (Duke) Cunningham (R-Calif.), a Vietnam war ace and critic of President Clinton's defense policies, has been assigned to the House Appropriations national security subcommittee, a Cunningham spokeswoman said.

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January 3, 1997 Raytheon E-Systems

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January 2, 1997 McDonnell Douglas Corporation

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December 31, 1996 Boeing Sikorsky Comanche Team

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December 30, 1996 Texas Instruments Incorporated

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Airbus Industrie said yesterday that it got announced orders and commitments for 498 aircraft in 1996, valued at $34.4 billion and representing 42% of total aircraft ordered with more than 100 seats. In 1995, it had only 19% of the more-than-100-seat market. Firm orders - those with a signed contract and a paid deposit - totaled 326 aircraft worth $23.6 billion.

Staff
January 2, 1997 Bell Helicopter Textron Bell Helicopter Textron, Incorporated, Fort Worth, Texas, is being awarded a $134,000,000 modification to previously awarded contract to exercise an option for the UH-1N Upgrade Program. Work will be performed in Fort Worth, Texas, and is expected to be completed by September 2003. Contract funds would not have expired at the end of the current fiscal year. The Naval Air Systems Command, Arlington, Va., is the contracting activity (N00019-96-C- 0128).

Staff
Aerospace/Defense Stock Box As of closing January 6, 1997 Closing Change UNITED STATES DowJones 6567.18 + 23.09 NASDAQ 1316.41 + 5.73 AARCorp 28-3/4 - 1/4 AlldSig 68-5/8 - 3/8 AllTech 53-3/8 - 1/2 Aviall 9-5/8 + 5/8 BEAero 27 0

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CORRECTION: Hughes Aircraft Co.'s winning AIM-9X evolved Sidewinder missile uses a Hughes-developed seeker similar to the one it built for the British Aerospace Advanced Short-Range Air-to-Air Missile. The DAILY misidentified the seeker in a Jan. 2 article as being built by British Aerospace.