Tom Kennedy, chief executive of weapons-manufacturer Raytheon, says regional conflict provides “a significant uptick” for “defense solutions across the board in multiple countries in the Middle East.”
Wilson Jones, president of Oshkosh, says the threat of Daesh, also known as ISIL or the Islamic State, in particular is making more countries interested in beefing up their defenses with Oshkosh’s M-ATV armored vehicles.
Bruce Tanner, executive vice president of Lockheed Martin, cited “indirect benefits” from the war in Syria, where more US Special Forces will soon join the US-led coalition against Daesh.
Tanner also said Russian intervention would raise the need for his company’s F-22s F-35 jets. He also stated the war in Yemen could trigger Saudi Arabia and the United Arab Emirates to increase their demand for “expendable” products such as rockets.
The authorization of the latest US defense budget may also serve as a boost for contractors.
Congress has authorized $607 billion in defense spending. Even though it comes $5 billion short of what the Pentagon had requested, Tanner assured investors that Lockheed Martin’s programs are “well supported” by the budget.
