AVIATION: Out of Fuel

Four weeks ago the U.S. Air Force fired off an explosive letter to its 28 major airframe and missile contractors. In fiscal 1958's first quarter the Defense Department has spent its money at the rate of $40 billion annually, $2 billion more than its $38 billion budget. To help get back in line, the Air Force proposed a temporary cut averaging 25% in its monthly progress payments for aircraft production. But the Air Force still expected the industry to maintain full delivery schedules, either by cutting costs or borrowing money to keep going. Last...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!