LOS ANGELES - Northrop Grumman reported a significant $477 million loss on its B-21 Raider stealth bomber program in the first quarter of 2025, revealing the financial pressures of developing and manufacturing the next-generation aircraft. The defense contractor attributed the loss primarily to changes implemented in its B-21 production process, intended to accelerate the bomber's build rate.

Additionally, CEO Kathy Warden cited macroeconomic factors driving up the cost of materials as a contributing factor during an investor earnings call on Tuesday. This B-21 setback contributed to an overall $183 million loss within Northrop Grumman’s aeronautics systems division, which also saw an 8% year-over-year decline in sales, totaling $2.8 billion.

Despite the financial headwinds, Warden expressed optimism about the B-21 program's progress. She highlighted that the aircraft is successfully meeting performance objectives through ongoing tests and that the company is advancing through the initial low-rate production lots. Warden emphasized that the lessons learned during this phase are crucial for mitigating risks as Northrop Grumman transitions to full-rate production. The Air Force, which plans to acquire at least 100 B-21 Raiders to eventually replace its aging B-1 Lancer and B-2 Spirit bombers, has been working collaboratively with Northrop Grumman on the program.

Source: Defense News
Associated URL: https://www.defensenews.com/air/2025/04/23/northrop-loses-477m-on-b-21-bomber-as-it-revamps-production-process/

WASHINGTON - In a break from tradition, Congress passed a full-year continuing resolution (CR) to fund the Department of Defense for Fiscal Year 2025, a move that provides new-start authority but hinders long-term planning. While the legislation delivers $892.5 billion for national security, including modest gains for procurement, it imposes significant cuts to research and development and operations accounts, resulting in a constrained fiscal environment even as the administration talks of higher spending levels.

The topline figure in the CR represents a $6 billion increase over FY24 enacted levels, but the Pentagon ultimately loses buying power compared to last year when adjusted for inflation. The final budget is also $3 billion less than requested by then-President Biden, despite bipartisan calls for higher spending, particularly in the Senate.

Topline Procurement Remains Flat; Research & Development Loses Ground

The FY25 CR provides $168.2 billion for procurement, about $688 million (+0.4%) above the request. Despite the flat procurement topline, several procurement accounts saw steep cuts, including those for the Marine Corps and Space Force. The bill also trims $1.9 billion (-1.3%) from Research, Development, Test, and Evaluation (RDT&E) accounts overall. Meanwhile, operation and maintenance funding takes a particularly hard hit, with a $5.7 billion reduction compared to the request. Military construction is also reduced by $818.4 million.

For additional information on how Pentagon acquisition programs were impacted in the CR, read the full story on Forecast International's Defense & Security Monitor using the link below.

Source: Forecast International
Associated URL: https://dsm.forecastinternational.com/2025/04/24/congress-scales-back-ambitions-in-final-fy25-defense-deal/
Author: s. mcDougall, Defense Analyst 

MANILA, Philippines -- Lockheed Martin says the U.S. State Department's recent approval of the proposed sale of 20 F-16 Block 70 aircraft to the Philippines marks a significant step in the country's efforts to modernize its air power capabilities.

The F-16 has a proven track record of reliability, versatility, and effectiveness, with over 3,100 aircraft operating in 28 countries. Recently, the F-16 participated in the Cope Thunder exercise at Clark Air Base, Pampanga demonstrating its capabilities and interoperability with the Philippine Air Force. This exercise showcased the F-16's ability to operate in a complex and dynamic combat environment.

The manufacturer notes that the F-16 seamlessly integrates into the Philippine Air Force fleet, with commonality with the FA-50 in terms of support equipment, driving affordability and pilot readiness. Additionally, the F-16 can be maintained and supported in-country, with the Philippine Air Force having the capability to ensure its F-16 fleet remains operational and ready.

Source: Lockheed Martin
Associated URL: https://news.lockheedmartin.com/2025-04-23-Philippines-Security-Soars-with-Latest-F-16-Platform-U-S-Approval-Paves-Way-for-Enhanced-Air-Power-Capabilities-and-Self-Reliant-Defense-Posture