Increased Financial Risk Inherent In ULA EELV Deal

By Amy Butler
Source: Aviation Week & Space Technology
December 09, 2013

In an unprecedented move, the United Launch Alliance (ULA) is planning to resource its industrial base at a level beyond the number of rocket orders placed by the Pentagon.

As the monopoly supplier and operator of the Atlas V and Delta IV boosters to the Pentagon and intelligence community, ULA has typically built rockets based on the number of missions manifested. And the Pentagon has ordered them one at a timeā€”the least efficient and most costly method of purchasing hardware and services. The Defense Department typically spends about $2 billion annually on the Evolved Expendable Launch Vehicle (EELV) program.

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