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Tuesday, July 31, 2012

U.S., Lockheed Martin reach deal on Israeli F-35 fighter jets

F-35 Lightning IIThe Pentagon has reached an agreement with Lockheed Martin Corp on a $450 million program to enhance electronic warfare equipment on the F-35 fighter jet, and integrate Israeli-unique systems beginning in 2016, sources, according to sources familiar with the negotiations.

The deal, to be finalized in coming weeks, marks a big step forward for Israel's $2.75 billion agreement to buy 19 F-35 jets, which was signed in October 2010 and includes options for up to 75 of the radar-evading fighters.

The Pentagon said the Israeli foreign arms sale could be worth up to $15.2 billion if all options are exercised, when it first approved the sale in September 2008.

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