Navy Cancels Fourth LCS

Friday, November 02, 2007
Secretary of the Navy Donald C. Winter and Chief of Naval Operations Adm. Gary Roughead said Nov. 1 that the Department of the Navy is terminating construction of the fourth littoral combat ship (LCS 4) for convenience under the termination clause of the contract because the Navy and General Dynamics could not reach agreement on the terms of a modified contract.

The Navy had not yet authorized construction on LCS 4, following a series of cost overruns on LCS 2. The Navy intended to begin construction of LCS 4 if the Navy and General Dynamics could agree on the terms for a fixed-price incentive agreement. The Navy worked closely with General Dynamics to try to restructure the agreement for LCS 4 to more equitably balance cost and risk, but could not come to terms and conditions that were acceptable to both parties.

The Navy remains committed to the LCS program.

"LCS continues to be a critical warfighting requirement for our Navy to maintain dominance in the littorals and strategic choke points around the world," said Winter. "While this is a difficult decision, we recognize that active oversight and strict cost controls in the early years are necessary to ensuring we can deliver these ships to the fleet over the long term."

"I am absolutely committed to the Littoral Combat Ship," said Roughead. "We need this ship. It is very important that our acquisition efforts produce the right littoral combat ship capability to the fleet at the right cost."

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

BSEE, USCG on Sharing Information, Jt Ops

Bureau of Safety and Environmental Enforcement (BSEE) Director Brian Salerno and U.S. Coast Guard Rear Admiral Paul Thomas participated in a luncheon panel discussion

MOL Launches Coastal LNG Transport in Indonesia

Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Junichiro Ikeda) today teamed up with a local partner in Indonesia, PT Pelindo Energi Logistik (PEL; President

Ensco Lost 2 Petrobras Contracts

Ensco Plc has concluded discussions with Petrobras regarding revised commercial terms with respect to some rig contracts.   Ensco 6003 and Ensco 6004 had their contracts terminated effective May 1,

Navy

Navy to Christen Littoral Combat Ship Manchester

The Navy will christen its newest Independence-variant littoral combat ship, USS Manchester (LCS 14), during a 10 a.m. CST ceremony Saturday, May 7 in Mobile, Alabama.

Australia Orders Replacement Replenishment Ships

The Government has signed contracts with Navantia S.A. to build Australia’s two replacement replenishment ships, avoiding a critical capability gap.   Australia’s

East Asia Trio Agree to Boost Maritime Security

Foreign ministers and defense force chiefs from Indonesia, Malaysia and the Philippines signed a joint declaration on maritime security on Thursday, calling on

 
 
Maritime Contracts Maritime Standards Offshore Oil Pipelines Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0582 sec (17 req/sec)