| 00:00:14 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
THE HOUSE ARMED SERVICES COMMITTEE MEETS TO RECEIVE TESTIMONY FROM OUR INDUSTRY PARTNERS ON THE CHALLENGES OF PLANNING FOR SEQUESTRATION. SINCE WE BEGAN...
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| 00:07:45 |
Smith, Adam - U.S. Representative, [D] Washington
WITH THE CHAIRMAN THAT SEQUESTRATION IS NOT A GOOD IDEA. IT WOULD BE BAD FOR OUR ECONOMY, BAD FOR DEFUNDS -- BAD FOR OUR DEFENSE. IT IS-ACROSS-THE-BOARD...
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| 00:12:32 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
THIS IS PROBABLY ONE OF THE MOST IMPORTANT HEARINGS I CAN REMEMBER ATTENDING AND WE REALLY APPRECIATE YOUR WILLINGNESS TO BE HERE. MR. STEVENS, IF YOU...
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| 00:13:06 |
Stevens, Robert - President and COO
COMMITTEE, I THANK YOU FOR THIS OPPORTUNITY TO I EXPRESSED OUR INDUSTRY PERSPECTIVE ON THE IMPACT OF SEQUESTRATION. I WILL SUBMIT A PREPARED STATEMENT...
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| 00:18:15 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
THANK YOU, SIR. >> I APPRECIATE THE OPPORTUNITY TO APPEAR HERE TODAY ON BEHALF OF THE 90,000 MEMBERS OF THE NATIONAL DEFENCE INDUSTRIAL ASSOCIATION
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| 00:18:32 |
O'Keefe, Sean, -
WHICH I SERVED AS CHAIR. IN ADDITION TO REPRESENTING EADS, THE WORLD'S LARGEST AEROSPACE AND DEFENSE COMPANY, I AM PARTICULARLY CURSED BY A MEMORY OF...
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| 00:29:13 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
IS YOUR MIC ON? GET IT CLOSE. >>
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| 00:29:26 |
Hess, David - President
I APPRECIATE THE OPPORTUNITY TO TESTIFY BEFORE YOU TODAY REGARDING THIS SERIOUS MATTER OF THE POTENTIAL FOR SEQUESTRATION AND THE IMPLICATIONS IT HAS...
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| 00:37:04 |
Williams, Della - President
IMPLEMENTATION OPTIONS AND THE EFFECTS ON NATIONAL DEFENSE INDUSTRY PERSPECTIVES. I AM THE PRESIDENT AND CEO OF WILLIAM SPEIER WROTE IN FORT WORTH, TEXAS....
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| 00:42:42 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
THANK YOU. >> THANK YOU. I THINK WE ON THIS COMMITTEE ALL UNDERSTAND, MORE THAN PERHAPS THE REST OF THE CONGRESS, HOW SERIOUS THESE WILL BE ON OUR MILITARY...
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| 00:44:33 |
Stevens, Robert - President and COO
WE KNEW THERE WOULD BE LAYOFFS AT A PARTICULAR SITE. WE DID NOT KNOW WHICH EMPLOYEES WOULD BE LAID OFF. WE DID NOT ISSUE NOTICES AT THE TIME OF THAT...
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| 00:45:56 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
JUDGMENT TO ACT PRUDENTLY. >> YOU ARE STILL ON THAT POSITION? >> YES, SIR. IT HAS NOT BEEN CONCLUDED YET. >> THANK YOU. >> I CONCUR. I CONCUR WITH YOUR...
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| 00:46:25 |
Hess, David - President
REQUIREMENT. WE HAVE CERTAIN ADVANTAGES IN OUR BUSINESS. 80% OF THIS AS -- IS THE FENCE. 25% OF OUR BUSINESS IS DEFENSE. DEPENDING ON WHAT IS HAPPENING...
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| 00:47:20 |
Williams, Della - President
IF WE DO NOT GET SOME CONTRACTS SOON AND I DO NOT SEE HOW WE WILL BE ABLE TO KEEP OUR EMPLOYEES -- THE SEQUESTRATION WILL CUT DRASTICALLY. >> THANK...
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| 00:47:35 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
BARRING ADDITIONAL GUIDANCE FROM THE OFFICE OF MANAGEMENT AND BUDGET AND THE DEPARTMENT OF DEFENSE ON THE APPLICATION OF SEQUESTRATION, DO YOU BELIEVE...
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| 00:48:04 |
Q&A, -
WE WILL BE COMPELLED TO ISSUE NOTICES. THERE IS AN ONGOING
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| 00:48:10 |
Stevens, Robert - President and COO
DISCUSSION ABOUT HOW MANY WARN NOTICES WILL NEED TO BE ISSUED AND EXACTLY WHEN. THERE IS SO MUCH UNCERTAINTY IN THIS ENVIRONMENT. I THINK THAT WILL...
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| 00:50:23 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
AND YET WHEN WE HELD ONE OF OUR HEARINGS IN SEPTEMBER AND WE ASKED THE ASSISTANT SECRETARY, DR. CARTER, WHAT THEY WERE DOING TO PREPARE, HIS COMMENT...
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| 00:51:02 |
O'Keefe, Sean, -
SHOULD BE APPLIED, WE WILL BE COMPELLED, AS A MATTER OF COMPLIANCE WITH THE SPIRIT OF THE LAW OF FOLLOWING THROUGH ON THE WARNING ACT PROVISIONS. NOW,...
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| 00:52:19 |
Hess, David - President
OF UNCERTAINTY IN TERMS OF HOW THE BUDGET REDUCTIONS PLAY OUT AND ALSO GIVEN THE OPPORTUNITY TO MAYBE REDEPLOY PEOPLE TO OTHER PARTS OF THE BUSINESS,...
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| 00:53:18 |
Hess, David - President
LAND AND WE'RE OBLIGATED TO PLAN ON IT. >> EVEN THOUGH SOME IN THE ADMINISTRATION SAY IT'S NOT GOING TO HAPPEN, DON'T WORRY ABOUT
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| 00:53:28 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
IT, YOU FEEL YOU'RE BOUND BY THE LAW? >> WE HAVE A FIDUCIARY RESPONSIBILITY TO OUR BOARD, TO OUR SHAREHOLDERS AND OUR EMPLOYEES TO PLAN BASED ON THE
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| 00:53:36 |
Hess, David - President
LAWS IN THE BOOKS TODAY. >> AND ASIDE FROM ISSUING
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| 00:53:43 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
NOTICES TO YOUR CURRENT EMPLOYEES, HOW HAS THE POSSIBILITY OF SEQUESTRATION IMPACTED YOUR CURRENT HIRING PRACTICES OR THAT OF YOUR INDUSTRY PARTNERS?...
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| 00:54:06 |
Stevens, Robert - President and COO
WHAT STRUCK ME AS MORE INTERESTING AND MAYBE MORE TELLING ABOUT THE FUTURE, WE RECRUIT HEAVILY ON COLLEGE CAMPUSES. WE DO GET A MILLION RESUMES A YEAR...
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| 00:55:20 |
O'Keefe, Sean, -
OF DIFFERENT CONTRACTUAL ACTIVITIES ARE ALL SHIFTING TO THE RIGHT IN THE FEDERAL ACTIVITY. IT'S ALL BEEN DELAYED. SO AS A CONSEQUENCE OF THAT, IT REFOCUSES...
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| 00:55:47 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
WE'VE SLOWED THAT DOWN SIGNIFICANTLY. >> SO EVEN THOUGH YOU'VE BEEN TOLD THAT IT'S PROBABLY NOT GOING TO HAPPEN, DON'T WORRY ABOUT IT, THE DEPARTMENT...
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| 00:56:09 |
Hess, David - President
ARE SUFFERING THE CONSEQUENCES TODAY, FOR EXAMPLE, IN THE JOINT STRIKE FIGHTER PROGRAM. I MENTIONED THE FACT THAT THE LINES WE'RE LOOKING AT, PRODUCTION...
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| 00:57:00 |
Williams, Della - President
BUT I OWE IT TO THEM SO THAT THEY KNOW WHAT MIGHT BE HAPPENING AND WHETHER THEY SHOULD GO LOOK FOR ANOTHER JOB. AND BELIEVE ME, I DON'T WANT TO LOSE...
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| 00:57:36 |
Smith, Adam - U.S. Representative, [D] Washington
TO HAPPEN, DON'T WORRY ABOUT IT? >> IN MY CASE, SIR, THERE'S LOTS OF DISCUSSION WHEN WE ENGAGE IN A DIALOGUE ABOUT WHAT WE SHOULD PREPARE FOR, AND THERE...
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| 00:57:53 |
Stevens, Robert - President and COO
I WOULD SAY -- AND I THINK YOUR COMMENTS EARLIER CERTAINLY REFLECTED THIS, SIR, THERE ARE LOTS OF OPINIONS AND THERE ARE LOTS OF POINTS OF VIEW, BUT...
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| 00:58:10 |
Smith, Adam - U.S. Representative, [D] Washington
I UNDERSTAND THAT. FURTHER QUESTION. THE CHAIRMAN SAID A COUPLE TIME THE ADMINISTRATION'S POSITION IS IT'S NOT GOING TO HAPPEN. >> WE'RE PREPARING. >>...
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| 00:58:18 |
Q&A, -
IS AWARE OF THE FACT THAT THIS IS THE LAW AND UNTIL WE CHEANING IT IT'S POTENTIAL. THEY DON'T WANT IT TO HAPPEN. NOBODY IN THIS COMMITTEE IN THIS ROOM...
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| 01:00:26 |
Stevens, Robert - President and COO
THE BUDGET CONTROL ACT OF $487 BILLION THAT DEFENSE SECRETARY PANETTA HAS SPOKEN ABOUT THAT'S EMBEDDED IN OUR NATIONAL SECURITY STRAT HE GEE. -- STRATEGY....
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| 01:01:36 |
Smith, Adam - U.S. Representative, [D] Washington
AT THIS ONE. HOW WORRIED ARE YOU, GIVE GIVEN THE BUDGET REALITY, THAT THAT REDUCTION NUMBER WILL GO ABOVE THE $487 BILLION THAT'S CURRENTLY PROJECTED?...
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| 01:02:18 |
Stevens, Robert - President and COO
VERY LEVEL BEST TO SIZE THE BUSINESS SO THAT WE CAN DELIVER AGAINST THESE COMMITMENTS. I THINK THE GREATER CONCERN WE HAVE IS THAT THE RESOURCES THAT...
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| 01:02:46 |
O'Keefe, Sean, -
AND REDUCTION IN NATIONAL SECURITY SPENDING IN THAT SPAN OF TIME HAS BEEN PRECIPITATED BY A CHANGE IN STRATEGY TO ACCOMMODATE OR TO RECOGNIZE A DIFFERENT...
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| 01:03:23 |
Smith, Adam - U.S. Representative, [D] Washington
SECURITY CHANGES THAT ARE PRECIPITATED. SOME OF IT THE BUDGET IS PART OF IT. THERE HAVE BEEN, YOU KNOW, JUST LIKE IN THOSE PREVIOUS CASES, CHANGES...
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| 01:03:33 |
O'Keefe, Sean, -
I THINK YOU ALSO SUGGEST, AS YOU HAVE IN YOUR OPENING STATEMENTS AS WELL, THAT MUCH OF WHAT WE'RE SEEING GOING FORWARD HERE IS GOING TO BE A CONSEQUENCE...
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| 01:04:18 |
Smith, Adam - U.S. Representative, [D] Washington
IT WOULD HELP IF THE GOVERNMENT HAVE MORE REVENUE SO IT IS NOT FORCED INTO AS BAD OF A BUDGET SITUATION. WOULD ANY OF YOU DISAGREE WITH THAT ASSESSMENT?...
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| 01:04:33 |
O'Keefe, Sean, -
AND SO AS A CONSEQUENCE, I'D DEFER THE ANSWER TO THAT, SIR. >> THAT IS TRUE. I YIELD BACK. THANK YOU. >> THANK YOU. MR. BARTLETT. >> THANK YOU. 20 YEARS...
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| 01:04:55 |
Bartlett, Roscoe - U.S. Representative, [R] Maryland
IMPORTANT HEARINGS LIKE THIS THAT TIME WAS GOING TO RUN OUT BEFORE I CAME UP IN THE CUE. SENSITIVE TO THAT FRUSTRATION, I WOULD LIKE TO YIELD MY TIME...
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| 01:05:23 |
West, Allen B. - U.S. Representative, [R] Florida
OR DEVELOPMENTS THAT YOU HAVE THE MOST CONCERNED BEING AFFECTED BY SEQUESTRATION AND, OF COURSE, THE CORRESPONDING WORK FORCE CONCERNS AS WELL. SO IF...
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| 01:05:55 |
Stevens, Robert - President and COO
MISSILE DEFENSE, AND THERE'S A PORTFOLIO ASSOCIATED WITH MISSILE DEFENSE. WITHOUT QUESTION PROGRAMS LIKE LATORAL COMBAT SHIP, EXCELLING COMBAT CAPABILITIES....
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| 01:06:26 |
West, Allen B. - U.S. Representative, [R] Florida
OUR BEST ESTIMATE, WHICH I ADMIT, IS SUFFICIENTLY CRUDE, I AM A LITTLE EMBARRASSED TO OFFER IT, 10,000 PEOPLE, BUT WE'VE
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| 01:06:35 |
Stevens, Robert - President and COO
DONE IT AT THE BACK OF THE ENVELOPE WHERE WE'VE MADE UP THE ASSUMPTION OF 120,000 PEOPLE, IN THE NEIGHBORHOOD OF 10,000, THAT NUMBER COULD BE MORE OR...
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| 01:07:14 |
O'Keefe, Sean, -
AND THE DEFENSE DEPARTMENT OVERALL AS ON TIME, ON BUDGET FOR OVER 225 AIRCRAFT THUS FAR WITHOUT ANY EXCEPTION TO THAT WHATSOEVER. THAT COULD BE COMPROMISED...
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| 01:09:26 |
Hess, David - President
ENGINES. FOR THE C-17 AND F-16 WHERE WE DELIVER MILITARY ENGINES, BOTH OF THOSE PROGRAM DELIVERY RATES ARE DECLINING AS WELL AS THEY SHIFT LARGELY...
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| 01:10:42 |
Williams, Della - President
F-35 AND SOME ON THE F-22. BUT THIS CONCERNS ME BECAUSE WE GO TO THE AIR FORCE BASES AND RECENTLY WE SAW 1969 TECHNOLOGY STILL BEING USED. DO YOU REMEMBER...
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| 01:11:24 |
Andrews, Robert - U.S. Representative, [D] New Jersey
VERY WELL ARTICULATED HERE THIS MORNING. I ALSO ACKNOWLEDGE THE RESPONSIBILITY TO UNDERSTAND THE COMMENTS THAT ADMIRAL MULLEN GAVE US WHEN HE WAS CHAIR...
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| 01:13:37 |
Hess, David - President
WE HAVE JOBS TO DO RUNNING THE COMPANIES WE RUN. I CAN LOOK HONESTLY AT MY COLLEAGUES HERE SAYING WE'RE FIRST AND FOREMOST AMERICANS. AS POSSIBLE TALKED...
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| 01:14:11 |
Andrews, Robert - U.S. Representative, [D] New Jersey
WAS, WHO HERE WOULD ADVISE THE CONGRESS TO RULE OUT UNDER ALL CIRCUMSTANCES ANY REVENUE INCREASE ON ANYONE AT ANYTIME? WOULD ANY OF YOU MAKE THAT RECOMMENDATION...
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| 01:14:31 |
Hess, David - President
NO. I DON'T THINK IT'S A MATTER OF WISDOM. I THINK YOU HAVE A LOT OF WISDOM. DO YOU HAVE AN OPINION? YOU ARE AN AMERICAN CITIZEN. YOU ARE THE LEADER...
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| 01:14:40 |
Andrews, Robert - U.S. Representative, [D] New Jersey
INSTITUTION. DO YOU OR DO YOU NOT THINK IT'S WISE FOR CONGRESS TO RULE OUT ALL REVENUES ON ALL PEOPLE AT ALL TIMES FOREVER. DO YOU THINK THAT'S A WISE...
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| 01:14:59 |
Hess, David - President
THAT THE CHALLENGES THAT WE FACE COME CLOSE TO THE MAGNITUDE OF THE CHALLENGES YOU FACE ON THIS COMMITTEE OR THAT CONGRESS FACES. IT MAKES OURS LOOK...
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| 01:15:23 |
Stevens, Robert - President and COO
THE RECIPE EVERY POSSIBLE INGREDIENT THAT MIGHT LEND ITSELF TO THE FORMATION, NOT JUST OF A SOLUTION BUT IN A PERFECT WORLD A FLEXIBLE ARRAY SOLUTION,...
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| 01:16:01 |
Andrews, Robert - U.S. Representative, [D] New Jersey
IMPERILED IN THE EARLY 1980'S AND A PRESIDENT NAMED RONALD REAGAN AND STEPPED FORWARD AND ON TWO OCCASIONS AGREED TO RAISE MORE REVENUE FOR US. THE...
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| 01:16:35 |
Forbes, J. "Randy" Randy - U.S. Representative, [R] Virginia
PUBLIC TO THE DANGERS OF SEQUESTRATION LONG BEFORE ANYBODY ELSE WAS DOING IT. AND ALSO FOR ACTUALLY PUTTING THE SOLUTION ON THE TABLE. WE'RE NOT GOING...
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| 01:19:32 |
Stevens, Robert - President and COO
EQUALIBREATE SOMEHOW. ANOTHER ROUND OF REDUCTIONS ON THE DEMAND SIDE OF THIS WILL -- SHOULD WE TRY ANOTHER? THERE HAS TO BE A HEALTHY RELATIONSHIP BETWEEN...
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| 01:20:32 |
O'Keefe, Sean, -
LAST FEW YEARS OR SIMPLY EXITED THE PUBLIC MARKET. AND HAVE CONSOLIDATED MUCH MORE TOWARDS THE VAGUE REASONS SOME OF THE COMMERCIAL TRENDS THAT OCCUR...
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| 01:21:13 |
Hess, David - President
WE'RE DOWN TO ONE COMPANY THAT MAY HAS A UNIQUE SKIT SET OR TECHNOLOGY -- SKILL SET OR TECHNOLOGY THAT THEY'RE CONSIDER EXITING THE BUSINESS. THEY'LL...
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| 01:21:59 |
Davis, Susan - U.S. Representative, [D] California
THEIR FAMILIES. AND I REALLY RELATE TO WHAT YOU'RE SAYING ABOUT PEOPLE BEING AFFECTED, BUT AS WE KNOW IT IS NOT JUST IN THE DEFENSE INDUSTRY THAT WE SEE...
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| 01:24:23 |
Stevens, Robert - President and COO
THE INDUSTRY. I TELL YOU FIRST IS STABILITY. WHETHER THAT STABILITY IS THE FUNDING ENVIRONMENT OR THE REQUIREMENTS ENVIRONMENT OR INDUSTRY'S ABILITY...
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| 01:25:16 |
O'Keefe, Sean, -
PROPOSING IS SIMPLY SUSPEND REGULATORY ENVIRONMENT IN WHICH EVERY REGULATION THEN HAS TO JUSTIFY THE REASONS FOR ITS APPLICATION AS IS BEING SOUGHT TO...
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| 01:27:03 |
Wilson, Addison "Joe" Graves - U.S. Representative, [R] South Carolina
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| 01:28:49 |
Stevens, Robert - President and COO
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| 01:29:24 |
O'Keefe, Sean, -
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| 01:29:59 |
Hess, David - President
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| 01:30:17 |
Williams, Della - President
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| 01:30:28 |
Wilson, Addison "Joe" Graves - U.S. Representative, [R] South Carolina
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| 01:30:48 |
Williams, Della - President
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| 01:31:28 |
Wilson, Addison "Joe" Graves - U.S. Representative, [R] South Carolina
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| 01:32:11 |
Courtney, Joseph "Joe" D. - U.S. Representative, [D] Connecticut
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| 01:35:51 |
Stevens, Robert - President and COO
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| 01:36:38 |
O'Keefe, Sean, -
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| 01:37:52 |
Wittman, Robert "Rob" J. - U.S. Representative, [R] Virginia
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| 01:39:35 |
Stevens, Robert - President and COO
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| 01:41:17 |
O'Keefe, Sean, -
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| 01:41:48 |
Hess, David - President
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| 01:42:22 |
Williams, Della - President
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| 01:43:02 |
Johnson, Henry "Hank" C. Jr. - U.S. Representative, [D] Georgia
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| 01:47:06 |
O'Keefe, Sean, -
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| 01:48:11 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
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| 01:49:37 |
Scott, Austin - U.S. Representative, [R] Georgia
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| 01:52:36 |
Stevens, Robert - President and COO
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| 01:53:24 |
Stevens, Robert - President and COO
|
| 01:54:32 |
Hess, David - President
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| 01:54:51 |
Ryan, Timothy "Tim" - U.S. Representative, [D] Ohio
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| 02:00:01 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
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| 02:01:17 |
Garamendi, John - U.S. Representative, [D] California
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| 02:02:52 |
Stevens, Robert - President and COO
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| 02:03:12 |
Garamendi, John - U.S. Representative, [D] California
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| 02:03:39 |
Stevens, Robert - President and COO
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| 02:04:32 |
Garamendi, John - U.S. Representative, [D] California
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| 02:05:53 |
O'Keefe, Sean, -
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| 02:07:24 |
Smith, Adam - U.S. Representative, [D] Washington
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| 02:12:06 |
McKeon, Howard "Buck" - U.S. Representative, [R] California
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NOTE: The transcript for this program was compiled from uncorrected Closed Captioning.