VT stands firm in face of investor pressure over Babcock bid
Three of the top in institutional investors in VT Group have written to the board to demand they open the company's books to Babcock, the rival defence services company whose advances it has rebuffed.
The Telegraph

Navy sails into battle over future of forces
The head of the navy tonight stoked up an increasingly intense debate about the future shape of Britain's armed forces, defiantly rejecting claims that the age of large fleets and aircraft carriers is over.
The Guardian

BAE on course to design new Navy frigates
BAE Systems is expected to be awarded a 100 million contract to design the next generation of Royal Navy frigates next week. The Future Surface Combatant (FSC) will replace the Navy's ageing Type 22 and 23 frigates and will be designed in consultation with potential foreign buyers in the hope of boosting export orders.
The Times

Agreement reached on A400M military plane costs
European governments have reached an agreement on sharing the costs of the over-budget A400M military transport plane. Spanish Defence Minister Carme Chacon said that the seven countries involved and the planemaker EADS, owner of Airbus, had reached an agreement.
BBC News

France says EADS replied positively to A400M offer
Airbus parent EADS has replied positively to an offer from European governments of a price increase worth 2 billion euros for the troubled A400M military airlifter, France said on Thursday.
Reuters

Pentagon unveils new tanker rules with few changes
The Pentagon unveiled on Wednesday final terms for what it hopes is a robust and fair $35 billion refueling plane competition between Northrop Grumman Corp and Boeing Co, but lawmakers said it still may wind up with just one bidder.
Reuters

General Dynamics UK Limited expects to provide over 10,500 UK jobs if it wins FRES SV competition
Eight regions of the UK are set to benefit in terms of employment if General Dynamics UK wins the FRES SV competition, safeguarding the key skills necessary to sustain future capabilities for Armoured Fighting Vehicle (AFV) development and production in the UK. The company believes over 10,500 jobs will be created or safeguarded for British-based companies and organisations in the long term.
General Dynamics Press Release

China could build up nuclear capability to counter U.S. missile shield
China could strengthen its nuclear capability in response to U.S. global missile defense plans, a Russian military expert said on Wednesday.
RIA Novosti

France Reassures Baltics Over Russian Ship Deal
France's European affairs chief Pierre Lellouche on Feb. 24 tried to reassure ex-Soviet Baltic states that his country's possible sale of a warship to Russia does not pose a security threat.
Defense News