News: Proposed Block Buy will Cut Costs for F-35
Published 19 July 2017, 10:11
Lockheed Martin and the F-35 Joint Program Office (JPO) are working towards a block purchase of F-35s, which could reduce costs by over $2bn.
Jeff Babione, Executive Vice President and General Manager, F-35 Program at Lockheed Martin told reporters at the Paris Air Show that Low-Rate Initial Production (LRIP) Lots 1-11 included 448 aircraft. He added that Lots 12, 13 and 14 could be procured as a block buy, likely to amount to 440-460 aircraft and worth somewhere between $35-40bn. The average price of an F-35A would then drop to an estimated $85m as Lockheed Martin could order far more efficiently from its suppliers.