💸 Boeing takes $565M hit on KC-46 tanker

Boeing posted another $565M loss on KC-46 in Q4 2025, pushing total program losses to roughly $8B, per executives on an earnings call.

📬 In Today’s Defense Brief

🛫 Navy’s new hedge strategy calls for “tailored” unmanned forces to augment carriers

🛡️ US Army engineers find faster way to keep Patriot air defenses online

💸 Boeing takes $565M hit on KC-46 tanker

🌍 Air Force mum on details of Mideast exercise amid military buildup

🚫 Pentagon expands task forces, counter-drone authorities—handing commanders more flexibility

🎱 Plus 13 other news stories you may like

📰 Full Breakdown

  • CNO Adm. Daryl Caudle says carrier strike groups remain the backbone, but the Navy doesn’t have enough of them to cover every mission set worldwide. Instead of sending a full CSG for chokepoint defense, SLOC protection, ASW, ISR, or maritime domain awareness, he argues for smaller, specialized packages that match the scenario.

  • Caudle’s “tailored forces” concept leans heavily on “tailored offsets”: attritable, easily replenishable unmanned surface vessels; MUSVs for scouting/screening/striking; UUVs for denial and mine countermeasures; and “low-cost high volume interceptors” for counter-drone defense. The goal is to amplify the main battle force while reducing cost and risk.

  • He also frames this as a cultural and training shift—moving away from a fixed “conveyor belt” CSG generation mindset toward more plug-and-play formations, closer to how submariners deploy. Caudle emphasizes flexibility and the need for buy-in from combatant commanders and the Joint Staff to make tailored deployments routine and accepted.

🛡️ US Army engineers find faster way to keep Patriot air defenses online — Read More

  • A Tobyhanna Army Depot team reverse-engineered and re-engineered the cable connectors for Patriot’s Electric Power Plant III generator after CECOM flagged cost and time problems. The depot built two prototypes and created models/drawings plus a technical data package, positioning it as an organic sustainment solution tied to “faster, cheaper” readiness priorities.

  • The bottleneck was acute: the connectors had been sourced internationally, costing about $20,000 each and taking more than 12 months—delays that effectively sidelined $1M Patriot systems waiting on a critical power component. Tobyhanna’s approach aims to cut lead times and reduce dependency on foreign suppliers for small-quantity, high-impact parts.

  • With prototypes complete, the effort is now funded for 27 additional builds (with slight variations), and depot leaders describe it as a proof point for expanding organic connector manufacturing across the Department of War/Army enterprise. The immediate output is more EPP III cables; the larger message is repeatable domestic repair/manufacture for complex subsystems.

💸 Boeing takes $565M hit on KC-46 tanker — Read More

  • Boeing posted another $565M loss on KC-46 in Q4 2025, pushing total program losses to roughly $8B, per executives on an earnings call. The KC-46 charge helped drive a $507M quarterly loss for Boeing’s defense and space unit and a negative operating margin for the full year.

  • Leadership attributed the latest hit to rising supply-chain costs and higher production support tied largely to the 767 line that underpins the KC-46 design. CEO Kelly Ortberg said cost estimates were revised for production support and supply chain elements, while arguing there are “encouraging operational performance trends” that could help meet delivery commitments.

  • Despite years of accidents, delivery problems, and financial strain, the Air Force still plans to buy 75 more KC-46s. Ortberg called the current deal “a bad contract,” but stressed Boeing expects a chance to “reprice” on the next tanker opportunity, with negotiations beginning in the fall and an emphasis on underwriting a fairer, profitable contract.

🌍 Air Force mum on details of Mideast exercise amid military buildup — Read More

  • Defense One reports Ninth Air Force announced an upcoming multi-day exercise—Operation Agile Spartan—meant to demonstrate the ability to “deploy, disperse, and sustain combat airpower” at multiple contingency locations across CENTCOM’s area of responsibility. The initial release did not include dates, participating countries, or specific forces involved.

  • When asked for details, AFCENT responded via unsigned email saying the training is not tied to any specific events, threats, or adversaries and is part of the regular regimen to test and evaluate deployed units. The public posture is “routine,” even as broader regional signals and movements draw scrutiny.

  • The exercise announcement came amid visible force posture activity: it was announced one day before the Abraham Lincoln carrier strike group arrived in the Middle East, and after CENTCOM confirmed F-15E Strike Eagles from RAF Lakenheath had landed in the region. Defense One notes past Agile Spartan iterations have tested Agile Combat Employment dispersal concepts.

🚫 Pentagon expands task forces, counter-drone authorities—handing commanders more flexibility — Read More

  • New DoD guidance argues counter-drone defense “does not start and stop at the fence line,” and frames unauthorized drone flights as a surveillance threat even before they cross an installation perimeter. The change is intended to let commanders address threats earlier in the timeline, rather than waiting for a strict perimeter breach.

  • A key shift is how “covered facilities or assets” are determined under 10 U.S.C. 130i authorities. The updated framework empowers service chiefs/secretaries with greater latitude to determine what qualifies as “covered,” which in turn triggers what an installation commander can plan and coordinate—especially with FAA deconfliction—before employing defeat mechanisms.

  • The guidance also expands “enhanced interagency cooperation,” including authorizing more sharing of drone track and sensor data among partners like DHS and DOJ. Breaking Defense notes the backdrop of frequent incidents: USNORTHCOM leadership has described daily incursions, and the article cites hundreds of reported drone flights over DoD installations in recent years.

🌏 Other Important News

✈️ Air

  • UK defence committee compares GCAP fighter with TSR failure — Read More

  • Thales “Pocket Spot” targets sniper detection on the move — Read More

  • Stavatti NCAD fighter concept — Read More

🛰️ Space

  • Artemis II mission has multiple Yuma Proving Ground connections — Read More

  • SpaceX to launch GPS 3 satellite after switch from ULA Vulcan — Read More

🛡️ Land

  • UAE autonomous logistics platform — Read More

  • Renault-linked effort for France vs. Shahed-style drones — Read More

🌊 Sea

  • Ulstein on Norway naval fleet modernization — Read More

  • Russian surveillance ship departs Japan’s region; Chinese surveillance ship transits — Read More

  • Navy won’t decommission more Littoral Combat Ships, officials say — Read More

  • CNO Caudle: Navy must launch F/A-XX program now to penetrate Iranian airspace in 10 years — Read More

🏭 Industry

  • Amid Trump’s broadsides, RTX tells investors it’s “committed” to paying dividends — Read More

  • Bechtel wins Navy nuclear propulsion components contract — Read More

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