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Reuters reveals Pentagon stops accepting F-35 jet deliveries from Lockheed; market reacts

Reuters reveals Pentagon stops accepting F-35 jet deliveries from Lockheed; market reacts

Reuters was first to report the U.S. Department of Defense has stopped accepting most deliveries of F-35 jets from Lockheed Martin Corp because of a dispute over who will cover costs for fixing a production error found on more than 200 of the stealthy jets. Shares of the largest U.S. defense contractor erased a 2.7 percent gain on the day to trade flat after the Reuters report was published.

The delivery pause is the latest of several production issues that have arisen in the Pentagon’s most expensive weapons program, and comes at a time when the administration of President Donald Trump has criticized the cost of the fighter.