$100 million a pop: America’s most powerful stealth fighter fleet getting a massive boost * WorldNetDaily * by Francis Kapper, Daily Caller News Foundation
The Pentagon agreed to procure 850 F-35 stealth fighters from Lockheed Martin over the next decade. Lockheed reported record earnings, with a 27% increase in backlog to $292B and 11% sales growth to $20.7B. The deal could cost between $70.1B and $86.8B, excluding additional expenses. The F-35 program faces challenges like rising maintenance costs and declining readiness rates, according to the GAO.
How this was made
The 30-second read
Why it matters
The deal adds billions to Lockheed's order backlog and may support 317,000 U.S. jobs, while highlighting maintenance and readiness challenges.
Market read
First disclosure of a massive F‑35 procurement, likely to lift Lockheed Martin's stock and benefit the defense sector.
What to watch
Potential cost overruns, parts shortages, and lower mission‑capable rates could temper earnings impact.
Background
The Pentagon announced a decade‑long framework to procure 850 F‑35 fighters, citing strategic needs against China and Russia.
Ticker impact
Lockheed Martin secured a preliminary agreement to supply at least 850 F-35 fighters over the next decade, a new multi‑billion‑dollar contract.
likely upward pressure as the market prices in the new contract revenue
The contract represents a multi‑year, multi‑billion‑dollar revenue stream and is the first public disclosure of the deal.
Market effects
Boosts the defense and aerospace sector, especially firms tied to military procurement.
Positive for U.S. defense manufacturers and related supply chain companies.
Reinforces U.S. defense spending trends amid geopolitical tensions.
Counterpoint
If budget pressures rise, the contract could face delays, limiting near‑term upside.
Key entities
- CompanyLockheed Martin
U.S. defense contractor receiving the F‑35 procurement agreement.
- GovernmentPentagon
U.S. Department of Defense initiating the procurement framework.
