{"id":187835,"date":"2011-02-20T06:17:00","date_gmt":"2011-02-20T11:17:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2011\/02\/20\/development-costs-of-f135-rise-marginal-unit-cost-falls\/"},"modified":"2011-02-20T06:17:00","modified_gmt":"2011-02-20T11:17:00","slug":"development-costs-of-f135-rise-marginal-unit-cost-falls","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2011\/02\/20\/development-costs-of-f135-rise-marginal-unit-cost-falls\/","title":{"rendered":"Development Costs of F135 Rise, Marginal Unit Cost Falls"},"content":{"rendered":"<p>The Pentagon and Pratt &amp; Whitney have <a href=\"http:\/\/www.flightglobal.com\/articles\/2011\/02\/11\/353066\/cost-of-f-35-engine-production-declines-but-delays-and-upgrades-raise-development.html\">negotiated a cost reduction for the next 37 engines that they deliver<\/a>, but the non-recurring R&amp;D Costs go up:<\/p>\n<blockquote style=\"color: blue;\"><p>Pratt &amp; Whitney has reached an informal agreement with government officials to slash 16% off the total price of the next batch of 37 engines to be ordered for the Lockheed Martin F-35 Joint Strike Fighter.<\/p>\n<p>At the same time, the company acknowledges the cost of the overall F135 engine development programme will grow by about $1 billion to support a three-year extension of flight tests and to improve the engine&#8217;s performance and durability.<\/p><\/blockquote>\n<p>If you assume $15 million per engine, it means that this cost, <b>assuming<\/b> that this continues across the production run (it won&#8217;t, particularly with the GE\/Rolls F136 out of the picture) would end up saving money after the delivery of about 450 engines.<\/p>\n<p>This is taking money out of one pot, and add it to another in the best case, and more likely it&#8217;s a stealth price increase.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Pentagon and Pratt &amp; Whitney have negotiated a cost reduction for the next 37 engines that they deliver, but the non-recurring R&amp;D Costs go up: Pratt &amp; Whitney has reached an informal agreement with government officials to slash 16% off the total price of the next batch of 37 engines to be ordered for &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1008,1128],"tags":[],"class_list":["post-187835","post","type-post","status-publish","format-standard","hentry","category-defense-procurement","category-propulsion"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/187835"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=187835"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/187835\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=187835"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=187835"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=187835"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}