US Air Force says satellite system may face delays

Published: Aug 09, 2005
Source: www.marketwatch.com



WASHINGTON (MarketWatch) -- A $10 billion satellite missile warning system faces launch delays after a new wave of cost overruns, the U.S. Air Force says.

The Space Based Infrared System High program, also known as SBIRS High, is once again expected to exceed its cost projections by more than 25%. As a result, the Air Force is looking at alternatives to the current plan.

Lockheed Martin Corp. (LMT) is the prime contractor on the program, which also includes Northrop Grumman Corp. (NOC), and has a current contract value of $5.9 billion. When complete, the system will use a constellation of four satellites in geosynchronous orbit, a spare, and two other satellites in highly elliptical orbit that will study northern polar regions.

The polar observers will be up and running first, using sensors that ride piggyback on classified government satellites. One of the systems was delivered last year, and the other is on track for delivery this month, the Air Force said.

The other satellites may face delays. "The first GEO satellite is scheduled for launch in June 2008, but that date is being reviewed," the Air Force said.continue..