U.S. Transformation Satellite (TSAT) Program Cancelled

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NOC example (Photo from Defense Industry Daily)

Pentagon Postpones Big Satellite Contract Till FY10
-- Yahoo Business News

WASHINGTON (Reuters) - The U.S. Defense Department has decided to postpone a decision in a multibillion dollar satellite communications competition between Lockheed Martin Corp (NYSE:LMT - News) and Boeing Co (NYSE:BA - News) until fiscal year 2010, an industry source informed about the decision said on Sunday.

The Pentagon's Defense Advisory Working Group (DAWG) decided on Saturday to terminate the current competition for the Transformation Satellite (TSAT) program, and put off awarding a contract until the fourth quarter of fiscal 2010, said the source, who asked not to be identified.

The Air Force had hoped to award a contract for the new advanced military communications satellite program in December, after completing a thorough internal review, and "an independent scrub" by chief Pentagon arms buyer John Young.

Gary Payton, Air Force deputy undersecretary for space programs, told reporters last month that officials mounted the reviews to help avoid another major contract protest, but said they also needed to carefully evaluate the results of a new study of military satellite communications needs.

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My Comment: Patience and careful review is probably what this satellite program requires.