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Lockheed fighter jet killing the competition

With international sales of its new F-35 fighter jet coming, Lockheed (NYSE: LMT) is maneuvering Boeing Co. (NYSE: BA) and Saab AB out of the hostile skies.

The program manager of this particular jet believes that there will be fewer prime manufacturers in the future. This won't impact lower-level suppliers substantially, though, as they will have an ample role with the F-35 and continue to service existing aircraft from other manufacturers. These suppliers contributed more than 70% of the work to the F-35.

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Boeing, Lockheed sales news

News from the air and defense industry:

Boeing Co. (NYSE:BA) has sold five 747-8s to Volga-Dnepr, the Russian air cargo company. The freighters, priced at a total of $1.4 billion, are scheduled for delivery between 2010 and 2013. Volga also secured the option to buy five more. According to the president of V-D, this is the largest Russian private plane purchase in history.

Boeing and Eurofighter are in the second round of their dogfight as South Korea opened the second phase of its procurement program for a new combat aircraft. In 2002, Boeing had won the first round and supplied the country with forty of its F-15K planes for $5.5 billion. Now, South Korea is prepared to order twenty more planes for delivery in 2010-2012. Eurofighter believes its Typhoon model is a stronger candidate now that it has been produced and deployed in other countries. However, The Korean Times quotes military sources as saying that Boeing has the inside track because of the previous order. A decision is expected next February.

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Last updated: November 27, 2009: 01:44 PM

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