Pentagon and Lockheed Martin agree 10-year F-35 framework for at least 850 jets

The Pentagon and Lockheed Martin announced a 10-year framework agreement on Oct 22 that sets a floor of 850 F-35 fighter jets for the US military [1][2]. The Pentagon said execution remains subject to congressional authorization and appropriations, and contract terms, pricing and schedules are to be set later in a formal award [1][3].

• Lockheed is to keep F-35 output at 156 jets a year across production lots 21 to 30, or 1,560 aircraft for US and international buyers [2][4].
• The framework also covers initial spare parts, modification kits and sustainment of the global F-35 fleet [1].
• Lockheed will self-fund at least $7 billion in initiatives supporting the program [1].
• Reuters put the deal's value at a minimum of $78.2 billion, based on the $92 million price of the cheapest variant [5].
• Lockheed and its suppliers would work under a fixed-price contract with escalation, CEO Jim Taiclet said [4].

Lockheed's aeronautics unit, built around the F-35, generates nearly 40% of its quarterly revenue, and on Oct 22 the company raised its 2026 sales forecast to $80 billion to $82 billion [5]. Suppliers provide at least 60% of each jet's content, including Northrop Grumman, which builds the center fuselage section, and BAE Systems, which builds the aft section [4].

House and Senate versions of the pending fiscal 2027 defense authorization bill both include multiyear F-35 authority [3][4]. Federal funding under the current stopgap measure runs through Dec 11 [6].