President Trump’s involvement in F-35 negotiations “absolutely” made a difference in getting an agreement on the most recent contract for a batch of aircraft, Lockheed Martin’s CEO told reporters on Tuesday.
Marillyn Hewson said the president’s focus on driving down the cost of the aircraft to get taxpayers the best deal possible is “perfectly appropriate.” While negotiations on Lot 10 of the aircraft were already underway when he took office, Hewson said Trump’s personal involvement helped accelerate negotiations and put a focus on price reduction.
“He absolutely did contribute to us getting to closure on that,” Hewson said at the company’s annual media day at its Crystal City headquarters. “His emphasis and his engagement did absolutely make a difference.”
Trump faced criticism following the deal from some analysts for taking credit for savings that had been achieved by acquisition officials who had been working on the deal long before the election.
Hewson said she is confident the company will also reach a deal with the government on the 11th lot of aircraft this year, though she said Trump has not been involved with those negotiations so far.
In the 10th lot of aircraft, the cost of an F-35A dropped below $100 million for the first time. It was for 90 joint strike fighters, including 55 for the U.S. military and 35 for international partners.
Jeff Babione, who leads the F-35 program at Lockheed Martin, said he is also confident that the company will reach an agreement this year on Lot 11, which will include more than 130 aircraft.
Babione also said Lockheed was able to “come to a mutual agreement” on the ninth lot of aircraft after it was unilaterally awarded by the government at the end of last year. That means the company will not sue the government over the $6.1 billion contract.
“As far as we’re concerned, that’s behind us,” Babione said.
