Sequestration threatens LCS

The Pentagon would expect hundreds of thousands of layoffs across the defense industry if lawmakers don't avert an additional $500 billion in defense budget cuts that could take effect in January 2013. Frank Kendall, the Defense Department's acting undersecretary for acquisition, said the cuts would force the Pentagon to break many contracts, including the Navy's contracts with Lockheed Martin and Austal USA for littoral combat ships. (Source: Reuters, 03/29/12)