Last year the US Defense Department threatened to cancel a portion of its contract with Lockheed Martin Corp. (NYSE: LMT) for the new F-35 jet fighter. The company had failed to address certain technical issues with the F-35B, a plane planned for delivery to the Marine Corps.
The company was put on two-year probation, which will be lifted today according to a report in The Wall Street Journal. That’s good news for Lockheed, which has had numerous delays and cost overruns in the $382 billion fighter program.
Lockheed’s shares are down about -0.5% this morning, at $83.32 in a 52-week range of $66.36-$83.71. The company posted a new 52-week high yesterday.