From the Washington Post;"Navy poised to pick builder of new...

From the Washington Post;

"Navy poised to pick builder of new Littoral Combat Ship this summer"

http://www.washingtonpost.com/wp-dyn/content/article/2010/08/03/AR2010080306332.html

An interesting article about the LCS, one quote of that stands out in the current environment of Governments watching the pennies;

"Some government auditors and analysts worry whether the project will stay within the latest congressionally mandated cost cap of $480 million per vessel. The original price was expected to be $220 million.

"A ship that was supposed to be small and affordable and delivered on time has become anything but that," said Rep. Gene Taylor (D-Miss.), chairman of the sea power subcommittee of the House Armed Services Committee. "It is way late, way over budget. If it is done right, this will be a major component of the Navy's shipbuilding plans over the next 20 to 25 years. But the price has to be right, and the quality has to be right."

If the cash splash is tight and Austal need to take the risks on cost overruns does that leave some potential exposure?

As disclosure, I have held ASB on and off over the years and have found the ROI fairly slim, though I still keep an eye on it in the hope that one day it will come good and pay its way.

Good luck all, Mop.