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Thousands Of Defense Contractors Leaving Market, Says Study

December 15 2017

USA

A large and increasing number of U.S. companies are leaving the defense market, says a study by the Center for Strategic and International Studies cited by Defense News.

The report, released Thursday, notes that about 17,000 first-tier prime vendors, or 20 percent, left the market between 2011 and 2015.

Much of the blame is placed on the 2011 Budget Control Act caps and Congress's subsequent inability to make consistent and long-term appropriations to the defense industry....

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