Mainebiz

W W W. M A I N E B I Z . B I Z 7 S E P T E M B E R 2 1 , 2 0 1 5 Future of BIW work is questioned Pentagon offi cials are weighing whether to cancel construction of a $7.5 billion Zumwalt-class destroyer under construction at General Dynamics Corp.'s Bath Iron Works shipyard, Bloomberg Business reported on Sept. 14. Bloomberg's report cited a Defense Department briefi ng docu- ment dated Aug. 25 that indicates the Pentagon's cost-assessment offi ce would "review in the next few weeks" whether to cancel the future USS Lyndon B. Johnson, the third of three destroyers that is under construction at the Bath shipyard in the $22 billion in the DDG 1000 program to build the Zumwalt-class destroyers and is approximately 40% completed. e review would come as part of plan- ning for the fi scal year 2017 budget. But Loren ompson of e Lexington Institute, a nonprofi t defense analy- sis organization based in Arlington, Va., told the Bangor Daily News that despite the Zumwalt program being plagued by delays, rising costs and changing plans, it was unlikely the third and currently fi nal destroyer in that class would be canceled. "If I had to bet, I would say all three Zumwalts will be built, and eventually the Navy will consider buying additional vessels," ompson told the newspaper. Cmdr. urraya Kent, a Navy spokeswoman, told the BDN via email, "it would be inappropriate to discuss business- sensitive information or speculate on budget deliberations." Lucy Ryan, a General Dynamics spokeswoman, told the BDN in an email, "We're not going to speculate" on any future Navy budget action. " is decision is entirely up to the Navy." If the Pentagon does cancel remaining work on the third Zumwalt destroyer it would heighten the importance of an already high- stakes competition between BIW and two southern shipyards to build up to 25 off shore patrol cutters for the U.S. Coast Guard. With an estimated total acquisition cost of $12.1 billion, or an average cost of roughly $484 million per ship, that program would help stabilize BIW's workforce in an era of tighter Navy budgets and essentially cancel layoff s that otherwise would occur by the end of the decade once the DDG 1000 program is completed. "It's a must-win for us," BIW Fred Harris told Mainebiz earlier this year in an exclusive interview about the ship- yard's eff orts to land the Coast Guard off shore patrol cutter contract in 2016. Portland 'megaberth' attracts huge cruise ships Portland's megaberth Ocean Gateway is attracting bigger cruise ships than ever, including the Liberty of the Seas — the larg- est cruise ship to visit Portland this year — which brought more than 5,000 visitors to the city when it docked on Sept. 12. e Anthem of the Seas is scheduled to bring more than 6,000 people to Portland when it calls in 2016. e Portland Press S O U T H E R N Hangar renovation planned for aerospace firms — Brunswick Landing keeps landing those federal grants Portland 'megaberth' attracts huge cruise ships — Build it and they will come Mt. Abram ski area plans expansion — Big plans for a small resort Sea Bags buys Portland jeweler to expand brand — Charting an ambitious nautical course Hannaford pledges $400K to help Maine children — Good neighbor policy in action Pentagon reviewing third DDG 1000 contract — Playing politics Fundy oil projects viewed as fishery risk — Competing interests Millinocket in talks with Cate Street to collect $1M in overdue taxes — Hard times just keep on comin' Clam, worm harvesters at odds in Brunswick — Mud flat flap Maine exports to Canada are down 24% — Loonie's tumble hits home KEEP IT SIMPLE ACA Compliant Plans Retirement Plans Benefits Administration Talk with Norton. 800.777.5244 www.TalkWithNorton.com Specialists in business insurance and employee benefits Securities and advisory services offered through Commonwealth Financial Network ® , Member FINRA / SIPC, a Registered Investment Adviser. Investment advisory services may be offered through Commonwealth Financial Network, a Registered Investment Adviser, and/or Norton Financial Services, a Maine and New Hampshire-Licensed Investment Adviser. Investment advisory services, and TPA services offered by Norton are separate and unrelated to Commonwealth. Fixed Insurance products and services offered through Norton or CES Insurance Agency. 275 U.S. Route One, Cumberland Foreside, ME 04110

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