Jan 30, 2017

Trump claims Lockheed Martin shaving $600M on F-35

U.S. Navy photo by Mass Communication Seaman Natasha R. Chalk via Wikimedia Commons

Trump says Lockheed Martin will cut $600 million off about 90 planes in negotiations for a deal expected to close by the end of the month. He attributed the price quote to CEO Marillyn Hewson, according to CNBC. This will mark the 10th batch of F-35 aircrafts in the acquisition and will likely be delivered in 2018, and for the first time the F-35s will boast a price per plane less than $100 million, closer to $85 million. According to Hewson, this is a price drop of 60% compared to the ninth batch, per a Defense News report.

Taking credit: Trump pointed out that he stepped in last month to push the negotiations forward and that these costs will likely continue to drop as production ramps up. "We will be savings billions and billions and billions of dollars on contracts," he said.

Yes, but: Production was accelerating anyways, and a basic lesson in economics would spell it out for anyone to see that as production increases, costs fall. And Lockheed Martin vowed to dip below that $100 million marker before Trump came into the picture due to economies of scale, per a Defense News report from September 2016.

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Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 7 p.m. ET: 1,094,068 — Total deaths: 58,773 — Total recoveries: 225,519Map.
  2. U.S.: Total confirmed cases as of 6 p.m. ET: 273,880 — Total deaths: 7,077 — Total recoveries: 9,521Map.
  3. Public health latest: The CDC is recommending Americans wear face coverings in public to help stop the spread of the coronavirus.
  4. 2020 latest: Wisconsin's governor called for a last-minute primary election delay. "I think a lot of people cheat with mail-in voting," President Trump said on the 2020 election, as more states hold primaries by mail.
  5. Business updates: America's small business bailout is off to a bad start. The DOT is urging airlines to refund passengers due to canceled or rescheduled flights, but won't take action against airlines that provide vouchers or credits.
  6. Oil latest: The amount of gas American drivers are consuming dropped to levels not seen in more than 25 years, government data shows. Trump is calling on the Energy Department to find more places to store oil.
  7. Tech updates: Twitter will allow ads containing references to the coronavirus under certain use cases.
  8. U.S.S. Theodore Roosevelt: Senators call for independent investigation into firing of Navy captain.
  9. What should I do? Answers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk.
  10. Other resources: CDC on how to avoid the virus, what to do if you get it.

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Government will cover uninsured patients' coronavirus treatment

Azar at Friday's briefing. Photo: Win McNamee/Getty Images

The federal government will cover the costs of coronavirus treatment for the uninsured, Health and Human Services Secretary Alex Azar said at a White House briefing Friday.

How it works: The money will come from a $100 billion pot set aside for the health care industry in the most recent stimulus bill. Providers will be paid the same rates they get for treating Medicare patients, and as a condition of those payments, they won't be allowed to bill patients for care that isn't covered.

More states issue stay-at-home orders as coronavirus crisis escalates

Data: Axios reporting; Map: Danielle Alberti/Axios

Alabama Gov. Kay Ivey issued a stay-at-home order on Friday as the novel coronavirus pandemic persists. The order goes into effect Saturday at 5 p.m. and will remain in place through April 30. Missouri Gov. Mike Parson also issued a statewide social distancing order on Friday.

The big picture: In a matter of weeks, the number of states that issued orders nearly quadrupled, affecting almost 300 million Americans.

Go deeperArrowUpdated 3 hours ago - Health