_Aerospace Daily

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ACQUISITION: L-3 Communications announced Aug. 5 it has acquired ComCept Inc. L-3 said the company has key contracts in network-centric warfare, electronic warfare and information operations, all "fast-growing niche areas" in the defense budget. Terms of the deal were not disclosed.

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July 29, 2002 AIR FORCE

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Representatives from aerospace and defense companies will meet Aug. 6 in northern Virginia to discuss additional proposals for the Army's Future Combat Systems program. The "industry day" meeting marks the release of a second round of broad industry announcements (BIA), to be issued by the program's lead systems integrator team of the Boeing Co. and Science Applications International Corp.

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President Bush's science advisors say the proposed Homeland Security Department will need its own national laboratory, an advanced research projects agency and a research and development czar. In recommendations approved Monday by the President's Council of Advisers on Science and Technology (PCAST), the panel called for creating a centralized structure within the proposed department to manage research and development (R&D) projects, Aerospace Daily affiliate AviationNow.com reported.

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The acquisition of Vickers Defence Systems by Alvis in the United Kingdom is unlikely to change the market structure for armored combat vehicles, according to a U.S. defense analyst. The reason, according to Steven Zaloga, senior defense analyst with the Teal Group, is that many armored vehicle makers in England must consolidate simply to survive. "The armored vehicle market at the moment is extremely soft," Zaloga told The DAILY Aug. 5. "It was hit far worse by the impact of the end of the Cold War than any other defense sector."

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GE Aircraft Engines' proposed T58 Engine Reliability Improvement Program (ERIP) has qualified for low-rate initial production, the company said Aug. 5. The U.S. Navy Acquisition Review Board confirmed the program met the requirements to enter LRIP, the company said. The ERIP converts T58-GE-16 engines to the T58-GE-16A configuration, which includes an improved engine core module and modifications to the power turbine and accessory package.

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The most likely method for the submarine of the future to launch unmanned aerial vehicles (UAVs) will be via capsules that float to the surface, according to Naval Undersea Warfare Center (NUWC) commander Rear Adm. John Butler.

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L-3 Communications' Integrated Systems division will perform work on two EC-130H Compass Call jamming aircraft under a $12 million contract from the U.S. Air Force, the company said Aug. 5. The first aircraft is slated to arrive at L-3's Waco, Texas facility this month or in September for programmed depot maintenance (PDM). The second aircraft is scheduled to arrive in the fourth quarter of this year for PDM, modifications and a mission system upgrade.

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With the Senate considering ratification of the Moscow Treaty on bilateral nuclear reductions, design work already is underway in the United States to decommission Peacekeeper intercontinental ballistic missiles (ICBMs), and to transfer warheads from those missiles to the older Minuteman III force. The warhead swap is part of the long-standing plan to "de-MIRV" the Minuteman III, or remove the Multiple Independently Targeted Re-entry Vehicles (MIRVs) and replace them with single-warhead missiles from the Peacekeeper.

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A senior official with the European Aeronautic Defence and Space Co. (EADS) said Aug. 1 he believes there is more room for consolidation among aerospace and defense companies in Europe. "I'm sure there will be further consolidation in Europe," EADS co-CEO Rainer Hertrich said in a meeting with defense reporters in Washington.

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DAB REVIEW: The Army's long-troubled armed reconnaissance helicopter, the RAH-66 Comanche, is set to go before the Defense Department's Defense Acquisition Board later this month, according to Army Vice Chief of Staff Gen. John Keane. The Comanche program, which recently underwent its fifth restructuring, "is a solid program," Keane says. E.C.

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GETTING HORIZONTAL: Boeing hopes that horizontal integration will help expedite launches of its new Delta IV launch vehicle and reduce time spent on the pad. While most U.S. rockets have their stages stacked, the Delta IV is integrated lying down with the help of a laser alignment system - a first for the Delta program, according to Delta commercial programs director Dan Marin. "They're able to drive the first and second stages together," Marin says.

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EUROFIGHTER BOOST: In an attempt to define new avenues for participation in missile defense, one senior EADS executive has suggested using the Eurofighter for boost-phase missile defense. In addition to its capabilities as a multirole fighter, "the Eurofighter will provide [a] future capability for interception of ballistic missiles in boost phase," says Dietrich Russel, EADS' executive vice president for aeronautics.

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NEW DELHI - A high-level Iranian delegation led by the country's deputy defense minister will visit Pakistan Aug. 5-10. Military ties between the two countries are expected to get a boost during the visit. The Iranian delegation is expected to negotiate a buy of an unspecified number MFI-17 Mushshak aircraft, and also has expressed interest in buying Pakistan's Al Khalid tank.

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BUY: Finmeccanica of Italy bought Marconi's Strategic Communications defense communications business for 614 million euros ($602 million), London-based Marconi announced Aug. 2. Proceeds from the sale, a combination of cash and debt assumption by Finmeccanica, will be used to reduce Marconi's debt, the company said.

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STANDARD AWARD: Raytheon Co. has been awarded a $117.7 million contract from the U.S. Navy for Standard Missile-2 (SM-2) production in fiscal 2002, the company said Aug. 2. Under the fixed-price contract, Raytheon will deliver 96 Block IIIB missiles; 58 Block IIIB ordnance alteration kits to upgrade SM-2 Block II/III missiles to the SM-2 Block IIIB configuration; 80 warhead-compatible telemeters; and related equipment. The contract also includes 64 Block IIIA missiles for foreign military sales, according to Raytheon.

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NEW BOMBER?: The Air Force will conclude that an extended-range version of the F-22 Raptor won't meet its long-range bomber requirements, predicts Doug Berenson, senior associate at DFI International. Lockheed Martin, Air Force and Boeing officials are discussing the FB-22 (DAILY, July 30), but Berenson says the concept is an attempt to preserve the F-22 in light of possible budget cuts. "It makes sense for the Air Force to optimize its F-22 investment to counter threats which clearly do exist. Those threats require the assured delivery of precision-guided munitions.

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General Dynamics Corp. announced Aug. 1 it has received funding to begin building the first of four DDG-51 Arleigh Burke-class destroyers under a shipbuilding swap agreement with Northrop Grumman Corp. The Naval Systems Command, Washington D.C., awarded General Dynamics' Bath Irons Works unit a $464 million contract to construct the ship, to be called DDG-102. The contract is part of an expected multiyear agreement to build seven DDG destroyers, officials at General Dynamics said.

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NASA CONFIRMATION: The U.S. Senate confirmed Frederick D. Gregory to be NASA's deputy administrator late Aug. 1, marking the first time in a decade that the position has been filled. Gregory, a veteran shuttle commander, previously served as NASA's associate administrator for space flight. He will be the aerospace agency's first African-American deputy administrator, NASA said.

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OFFSET: Sales of commercial aircraft engines are starting to pick up, but military engines will dominate the market in coming years as defense again becomes a priority and new combat aircraft programs enter production, according to aviation turbine analyst Carl Opdyke of Forecast International/DMS. Opdyke says a total of 52,170 turbofan and turbojet engines and engine upgrade kits are likely to be produced through 2011, with a market value expected to reach $565 billion.

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CINCS CONFIRMED: The Senate late July 31 confirmed Army Lt. Gen. James Hill as general and commander in chief (CINC) of U.S. Southern Command and Navy Vice Adm. Edmund Giambastiani as admiral and the CINC for U.S. Joint Forces Command. The Senate Armed Services Committee approved the nominations earlier in the day (DAILY, Aug. 1).

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The Missile Defense Agency (MDA) has decided to build a sea-based X-band radar for the Ground-based Midcourse Defense (GMD) system, ending a critical debate over what radar would be used in the "contingency" capability that is supposed to be operational by 2004.

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NASA's new financial management system will be adopted progressively by its 10 centers, rolling out first at Marshall Space Flight Center in Alabama and Glenn Research Center in Ohio before becoming the agency-wide standard by June of next year. This "modular" approach is one of the key differences between NASA's current attempt at financial standardization and previous failed attempts, according to Patrick Ciganer, the agency's program executive officer for integrated financial management.