----- Original Message -----
From: Global Network Against Weapons & Nuclear Power in Space
<[EMAIL PROTECTED]>
To: <[EMAIL PROTECTED]>
Sent: Friday, December 22, 2000 10:58 PM
Subject: NEW NMD CONTRACT AWARDED



 NATIONAL MISSILE DEFENSE CONTRACT AWARDED
 Fri, 22 Dec 2000 17:05:01 -0500

 N  E  W  S      R  E  L  E  A  S  E

OFFICE OF THE ASSISTANT SECRETARY OF DEFENSE
 (PUBLIC AFFAIRS)
 WASHINGTON, D.C. 20301
====================================================

No. 765-00
(703)695-0192(media)
IMMEDIATE RELEASE
December 22, 2000
(703)697-5737(public/industry)
NATIONAL MISSILE DEFENSE CONTRACT AWARDED

The Ballistic Missile Defense Organization's (BMDO) National Missile Defense
Joint Program Office announced today that The Boeing Company, Space &
Communications Group, Anaheim, Calif., will be awarded a cost-plus-award-fee
contract for continuing development of the National Missile Defense (NMD)
system.  The performance period is January 1, 2001, through September 30,
2007, with work performed by Boeing and its major subcontractors, primarily
in Huntsville, Ala.; Tucson, Ariz.; Sudbury and Bedford, Mass.; and Colorado
Springs, Colo.

The contract award announced today exercises certain options under the
original contract and provides a flexible contract structure to accommodate
the President's September 1, 2000, decision on continuing development and
testing of the NMD system while deferring a deployment decision to the next
administration.

This contract (with a potential value of $6 billion) protects the option for
the next administration to deploy the NMD system at the earliest possible
date, and restricts obligation of funding to funds available to the NMD
program in fiscal 2001.  Subsequent year obligations will be subject to
review and approval by the Department of Defense and the next
administration.  No decision has been made to deploy a NMD system, and this
contract award does not change the current NMD system architecture or any
previously planned system elements.

The contract has a full potential value of $13 billion, if all future
options are exercised.  In April 1998, Boeing was selected as the Lead
System Integrator (LSI), or prime contractor, for the NMD system.
The initial contract awarded to Boeing in 1998 will expire in April 2001,
and does not reflect present-day NMD program requirements relating to
initial deployment, countermeasures mitigation and the need for an improved
test program.  Award of the contract today ensures continuity of the
development and test program, and eliminates the potential for interruption
of planned test activities.

The award of the contract announced today is a normal acquisition procedure
designed to keep the NMD development and testing program on track.  It
provides continuity and a disciplined business approach until the new
administration decides on its NMD program direction.  Based upon several
recommendations received by both internal and external experts, the new
contract provides the framework for potential enhanced test and evaluation
via an expanded test program infrastructure and the implementation of a more
extensive countermeasures mitigation program. All future program elements
are, of course, subject to discussion by the new administration.

The BMDO point of contact is Lt. Col. Rick Lehner, (703) 695-8743 or (703)
864-1743, or [EMAIL PROTECTED] .
-END-


Bruce K. Gagnon
Coordinator
Global Network Against Weapons & Nuclear Power in Space
PO Box 90083
Gainesville, Fl. 32607
(352) 337-9274
http://www.space4peace.org
[EMAIL PROTECTED]


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