The 2007 defense authorization bill ends Pentagon plans to raise Tricare fees—at least for 2007. Key lawmakers have said that they recognize the dilemma facing DOD with the rising cost of health care, but they did not believe the Pentagon approach—raising fees significantly for retirees under 65 over the next few years—was the right answer. Congress is buying time for a full review of the situation, including possible health care efficiencies. They do not necessarily think there will be no increase in fees; it may be just a question of when and how much.
Lockheed Martin projects more than a billion dollars of losses on a classified program, but company officials said April 23 they are confident it will turn profitable by 2028 and become a "franchise" system in the U.S. military.