WASHINGTON Aug 26 Pratt & Whitney, a unit of
United Technologies Corp has reached agreement in
principle with the Pentagon on a contract to build 39 engines
for a sixth batch of F-35 Joint Strike Fighters, three sources
familiar with the deal said Monday.
The agreement is valued at over $1 billion, said the
sources, who were not authorized to speak publicly.
The Pentagon reached agreement with Lockheed Martin Corp
, which builds the jets, in late July. The government
buys the engines separately from Pratt & Whitney, which is the
sole producer of engines for the radar-evading warplane.
Pratt President Dave Hess had told Reuters in June that he
expected to reach an agreement with the Pentagon within the next
30 days on the next engine contract, reflecting a cost reduction
of less than 10 percent.