Talks to save A400M end in deadlock
Talks to save one of Europe's largest defence projects have ended in deadlock, in spite of governments offering to pay EADS 2bn to help cover huge cost overruns on the A400M military transporter.
Financial Times

Russian military exports hit $7.4 bln in 2009
Russia exported $7.4 billion worth of military products last year, up 10% against 2008, the head of the country's state-run arms exporter Rosoboronexport said on Thursday.
RIA Novosti

Babcock and Wilcox Awarded $450 Million Order for Nuclear Components
Babcock & Wilcox Nuclear Operations Group, Inc. (B&W NOG), an operating unit of The Babcock & Wilcox Company (B&W), has received an award of approximately $450 million for the manufacture of nuclear components to support U.S. defense programs, including the manufacture of U.S. Naval nuclear power systems for submarines and aircraft carriers.

Northrop Grumman Awarded $335 Million Base Operations Contract
U.S. Air Forces in Europe has awarded the Northrop Grumman Corporation and Kellogg Brown & Root, Inc 50/50 joint venture Vinnell, Brown & Root LLC a contract to provide base operations support services for locations in Turkey and Spain.
Northrop Grumman Press Release

First U.K. Service Pilot Flies The Lockheed Martin F-35
A Royal Air Force officer on Tuesday became the first active-duty service pilot from the United Kingdom to take to the skies in a Lockheed Martin F-35 Lightning II, also known as the Joint Strike Fighter (JSF).
Lockheed Martin Press Release

Russian "stealth" fighter to fly by end-Jan
Russia will test fly by the end of January a new "fifth generation" stealth fighter that aims to challenge the United States for technical superiority, an aviation industry source told Reuters on Wednesday.