Thu, Nov 13, 2003
But It'll Take More Than Two Years To Get 'Em On Board
By this time next
month, we should have some idea of who the government will tap to
build an anti-missile system for the seven-thousand aircraft
commercial US fleet. But it will be years before we see any
fruit from this labor.
The Department of Homeland
Security says it will award preliminary contracts to one or more of
the following:
- Northrop Grumman
- Raytheon and Elta Systems Ltd., a
unit of state-controlled Israel Aircraft Industries
- Alliant Techsystems
- and the U.S. unit of Britain's BAE
Systems
The winner(s) will work on
adapting existing anti-missile defense systems now used on military
aircraft for civilian use. After that, the government will
give contractors 18 months to develop prototypes. Over the next two
years, Uncle Sam will spend $100 million on these
efforts.
That kind of money --
$100 million -- doesn't sound like much at the outset. But consider
it an investment. Elta says it's already equipping two Israeli
jetliners with its proprietary system at a cost of more than $1
million per aircraft. The carriers themselves will foot the bill
beyond the first two installations. Bring the concept to America
and do the math: $1 million each for 7,000 aircraft.
Yikes. That's a lot of dough.
It's even more if you consider
that military-style missile defense system have to be replaced
about once every 100 flight hours. That means more mechanics and
other associated costs -- you're talking upwards of $15 billion a
year, according to one estimate. Think about saddling the
commercial aviation industry -- already struggling in the wake of
September 11th -- with that kind of cost. It might be a good idea
to start investing in Amtrak about now...
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