Boeing and Lockheed Martin selected for the Joint Strike Fighter concept demonstration phase

Defense Secretary William J. Perry announced at the Pentagon that Boeing and Lockheed Martin would be the two contractors for the Joint Strike Fighter concept demonstration phase. Lockheed Martin received a cost-plus-fixed-fee contract worth 718.8 million dollars for the X-35 and Boeing one of roughly 661.8 million for the X-32. Each team was to build two demonstrators able to validate all three intended developments: conventional take-off and landing, short take-off and vertical landing, and carrier operation.