Page 32: of Maritime Reporter Magazine (September 1985)

Navy

Exhibit 1 FY 1986 Shipbuilding Program (dollars in millions)

House Senate Conference

Budget Request Authorization Authorization Agreement

Qty $ Qty $ Qty $ Qty $

Trident 1 1,531.8 1 1.531.8 1 1,431.8 1 1,481.8

SSN-688 4 2,708.4 4 2,708.4 4 2,698.4 4 2,698.4

BB-React AP 53.5 AP 53.5 AP 53.5 AP 53.5

CV-SLEP AP 133.4 AP 133.4 AP 133.4 AP 133.4

CG-47 3 2,766.2 3 2,766.2 3 2,766.2 3 2,766.2

DDG-51 AP 164.3 AP 164.3 AP 164.3 AP 164.3

LSD-41 2 414.4 2 414.4 2 414.4 2 414.4

LHD-1 1 1,507.2 1 1,314.2 1 1,314.2 1 1,314.2

MCM 4 334.1 4 334.1 2 167.1 2 167.1

MSH 4 184.5 4 184.5 4 184.5 4 184.5

TAO 2 328.5 2 328.5 2 328.5 2 328.5

TAGOS 2 115.1 2 115.1 2 115.1 2 115.1

AG (conv) 1 68.9 1 68.9 1 68.9 1 68.9

TACS (conv) 3 82.5 3 82.5 3 82.5 3 82.5

TAVB (conv) 1 26.9 1 26.9 1 26.9 1 26.9

MTSD AP 26.5 AP 26.5 AP 26.5 AP 26.5

LCAC 12 307.0 12 307.0 12 307.0 12 307.0

Landing craft 3 34.4 3 34.4 3 34.4 3 34.4

Service craft 13 79.5 12 37.7 12 37.7 12 37.7

Strategic sealift — 203.4 — 228.4 — 203.4 — 228.4

Outfitting — 228.5 — 228.5 — 228.5 — 228.5

Past delivery — 112.6 — 112.6 — 112.6 — 112.6

General reduction/ transfer — N.A. — (1,709.4) — (973.6) — (973.6)

Total Budget 11,411.6 9,492.4 9,926.2 10,001.2

No. of Ships:

Major New Ships 23 23 21 21

Air Cushion LCAC's 12 12 12 12

Service/Conv. 15 Landing Craft 16 15 15

Conversions 5 5 5 5

Notes: 1. AP = advanced procurement 2. Request was for two open lighters (YC), two floating cranes (YD), two covered lighters (YFN), six patrol craft (YP) and one torpedo range tender (YFRT); Congress deferred approval of the torpedo range tender (YFRT).

Source: House and Senate Reports.

Exhibit 2 FY 1986 Weapons Procurement (dollars in millions)

House Senate Conference

Budget Request Authorization Authorization Agreement

Qty $ Qty $ Qty $ Qty $

Missiles

Trident N.A. 685.3 N.A. 675.3 N.A. 645.3 N.A. 645.3

Tomahawk 249 734.8 249 734.8 249 724.8 249 724.8

Sparrow 1,872 368.7 1,872 359.2 1,872 368.7 1,872 359.2

Sidewinder 1,220 93.8 1,850 125.8 1,220 93.8 1,850 125.8

Phoenix 265 381.9 265 368.4 265 381.9 265 368.4

Harpoon 395 314.9 395 314.9 395 314.9 395 314.9

Harm 904 258.0 904 258.0 904 258.0 904 258.0

SM-I MR — 35.9 — 26.4 — 35.9 — 35.9

SM-2 MR 846 509.7 846 509.7 846 509.7 846 509.7

SM-2 ER 470 312.2 470 312.2 470 312.2 470 312.2

RAM 117 44.7 117 44.7 117 44.7 117 44.7

Sidearm 168 20.5 885 80.0 168 20.5 885 80.0

Hellfire 1,304 55.1 1,304 55.1 1,304 55.1 1,304 55.1

Laser Maverick 1,500 194.3 1,500 194.3 1,500 194.3 1,500 194.3

II R Maverick 195 27.8 195 27.8 195 27.8 195 27.8

Other — 378.1 — 421.1 — 329.3 — 374.3

Subtotal 4,415.7 4,507.7 4,316.9 4,430.4

Torpedoes/Mines

MK-48 ADCAP 123 417.4 123 417.4 123 417.4 123 417.4

MK-46 500 129.1 500 129.1 500 129.1 500 129.1

MK-60 Captor — — — — 150 59.6 150 59.6

Other — 251.5 — 251.5 — 247.5 — 251.5

Subtotal 798.0 798.0 853.6 857.6

Guns

MK-15 CIWS 39 150.1 39 150.1 39 150.1 39 150.1

Other — 97.3 — 97.3 — 79.9 — 97.3

Subtotal 247.4 247.4 230.0 247.4

Spares — 166.6 — 166.6 — 116.6 166.6

General reduction/ transfer — (316.6) (47.0) (47.0)

Total Budget 5,627.9 5,403.3 5,470.2 5,655.1

Notes: 1. Includes some funding for Poseidon missiles.

Source: House and Senate Reports. (continued)

The solicitation number is N00033- 85-R-4003. Closing date is 30 Octo- ber 1985. 3. INDUSTRIAL ACTIVITY

The U.S. shipbuilding business continues to be driven by Navy work. Competition for available projects is intense.

NASSCO Backlog Down,

Prospects Limited

As of 30 June, NASSCO's backlog was $547 million, down from $610 million one year ago. Management reports that "prospects for signifi- cant additions of new work in the near and midterm appear to be lim- ited."

GD To Close Quincy

In late July, GD announced plans to close the Quincv shipyard in 1986. The yard employs 4,200 people. Quincy is completing the five ship T-AKX contract it won from MSC in 1982. The final blow appeared to be losing two recent

Navy contracts (T-AO and T-

AGS).

GD to Cut Employment

At Electric Boat

GD said 700 to 900 jobs (out of 26,000) will be eliminated at the

Electric Boat division. Trident and attack submarines are built at this facility. GD management attributed the job reduction to cancellation of submarine contracts in 1981.

Tacoma Skirting Chapter XI

At the annual stockholders meet- ing in July, the new co-chairman of

Tacoma Boatbuilding said he "hopes financial and managerial re- organizations underway will enable the concern to avoid filing under

Chapter XI of the Federal Bank- ruptcy Code." Tacoma had a first quarter loss of $4 million on revenue of $26.3 million. Former Rear Admi- ral E.T. Westfall has been named president of the company, with a $350,000 per year employment con- tract for five years. The firm is building 12 T-AGOS ships for Navy, seven of which are still under con- struction.

Ogden to Sell Avondale

Ogden in July announced plans to spin off Avondale. A new company will be formed called Avondale Cor- poration. Ogden will sell the ship- yard and industrial products busi- nesses to an employee stock owner- ship plan for $375 million in cash and preferred stock. $270 million will be raised by sale of common stock to the ESOP. The remaining $105 million will be raised from con- vertible preferred stock held by

Ogden.

Todd Said On Verge Of

Acquisition

Todd is actively trying to diversi- 32 Maritime Reporter/Engineering News