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Air Force Paid $787.2 Million to Northrop Grumman, Blue Origin for Meeting LSA Development Milestones

Frank Wolfe Frank Wolfe
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Air Force Paid $787.2 Million to Northrop Grumman, Blue Origin for Meeting LSA Development Milestones
A model of Northrop Grumman’s OmegA launch vehicle is flanked by the U.S. flag and a flag bearing the OmegA logo during a ribbon-cutting ceremony Aug. 16, 2019 in High Bay 2 of the Vehicle Assembly Building at the Kennedy Space Center in Florida (NASA Photo)

While the U.S. Air Force said that it did not pay termination costs to Northrop Grumman [NOC] and Blue Origin for ending their Launch Service Agreement Other Transaction Authority (LSA OTA) pacts on Dec. 31, the service did pay the companies for meeting milestones in the more than two years the companies spent developing their launch systems--OmegA for Northrop Grumman and New Glenn for Blue Origin. The Air Force paid $531.7 million to Northrop Grumman and $255.5 million to Blue…

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