Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Lockheed Martin CEO meets Trump, says deal to lower F-35 costs is close

Published 13/01/2017, 18:44
Updated 13/01/2017, 18:44
© Reuters. Marillyn Hewson, Chairman, President and Chief Executive Officer of Lockheed Martin Corporation, speaks to members of the news media after meeting with U.S.President-elect Donald Trump at Trump Tower

© Reuters. Marillyn Hewson, Chairman, President and Chief Executive Officer of Lockheed Martin Corporation, speaks to members of the news media after meeting with U.S.President-elect Donald Trump at Trump Tower

By Jonathan Allen

NEW YORK (Reuters) - Lockheed Martin Corp (N:LMT) is close to a deal to significantly lower the cost of its F-35 aircraft, Chief Executive Officer Marillyn Hewson said on Friday after meeting with U.S. President-elect Donald Trump.

"I certainly share his views that we need to get the best capability to our men and women in uniform, and we have to get it at the lowest possible price," Hewson said to reporters in Trump Tower.

Hewson had previously assured Trump she would drive down the cost of the company's fighter jet, after he tweeted last month that he was asking rival aerospace company Boeing Co (N:BA) whether it could offer a cheaper alternative to the F-35.

Trump has threatened and rebuked some of America's largest companies, creating a new business risk for those who have been or fear being targeted.

Costs for Lockheed's F-35 programme had escalated to an estimated $379 billion (£310.9 billion). The programme accounted for 20 percent of the company's total revenue of $46.1 billion last year.

Boeing's F-18, the plane Trump floated as a possible alternative, is an older generation aircraft that lacks the stealth capabilities of the F-35.

© Reuters. Marillyn Hewson, Chairman, President and Chief Executive Officer of Lockheed Martin Corporation, speaks to members of the news media after meeting with U.S.President-elect Donald Trump at Trump Tower

Hewson also said Lockheed plans to increase jobs at its Fort Worth, Texas, facility by 1,800, which she said would add "thousands and thousands of jobs" across the supply chain in 45 U.S. states. Lockheed shares were up 1 percent after her comments on Friday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.