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First, we believe it is essential that we get started now with the development of a two-seat version of the AV-8B in order to meet our vastly, expanded V/STOL training requirements in 1986 and beyone. During that time we will have to transition a large number of conventional pilots who are now flying our A-4M attack aircraft into V/STOL and AV-8B, and they need the support of the twoseat trainer. It is also important for me to note that we fully intend to fund the development of this two seater AV-8B, the procurement cost and development, from within the total 336 aircraft program, which means we are prepared to trade single-seaters for two-seaters. These two-seaters will be combat capable aircraft.

A second area of concern is that we must achieve an economic procurement rate. Unless we reverse the current stretchout trend and establish procurement economies of scale, the AV-8B unit cost will become excessively high.

Before I leave the AV-8B and go on to some other programs, I would be remiss if I did not again express my appreciation and that of the Commandant for the support we have received from the Congress over the years on this unique Marine Corps program.

Now, Mr. Chairman, with respect to some other critically important Marine Corps programs, I am pleased to report we have made significant progress since last year. Since our last hearing, we have been able to place new aircraft system into the hands of our Marine Corps units. By all indications, these new aircraft are working exceedingly well.

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To illustrate this point, I would like to touch on a few of them, starting first with the CH-53E Super Stallion built by Sikorsky. Our first CH-53E squadron at New River has 15 aircraft and will be fully operational in June. Our second squadron now has 10 aircraft and should be operational in October, so we are making good progress. I am getting positive reports from both the maintainers and pilots. The 53E program is well on its way to success.

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The next aircraft in order of arrival in our fleet marine force is the F/A-18, built by McDonnell Douglas. There is also substantial progress in the F/A-18 program. Modernization of our Marine Corps fighter attack force will begin in July when our first squadron goes to Lemoore for transitional training and will be back at Christmas with the first 12 aircraft.

This squadron will be the first operational squadron equipped with the F/A-18. The reports I am getting from both the Navy and the Marine Corps pilots underscore the belief we have had that the F/A-18 will set the standard of excellence in fighter attack aircraft for many years to come. It is not just the fighter pilots, but the maintenance NCO's, petty officers, the men with the wrenches are all delighted to see an aircraft that requires just about one-half the maintenance effort of the old F-4.

This is welcome news indeed to both the Marine Corps and all of naval aviation.

So far, I have just discussed only mature, ongoing programs. I would like to outline for you a very important helicopter modernization effort which is just now entering its formative stages.

For several years the Marine Corps has been seeking a suitable replacement for its aging fleet of CH-53A's and D aircraft, the older CH-53's and our CH-46 medium lift helicopter. Replacement has become a critical issue because, first, we have an inventory shortfall which limits our ability to conduct amphibious operations. Each year, normal attrition takes its toll.

Second, these helicopters due to their age, are experiencing an increasing cost of ownership; they are becoming difficult and expensive to maintain.

Finally, in our opinion, they lack the survivability and performance that we believe are necessary on a modern battlefield.

For these reasons, the Commandant has made their replacement Marine aviation's No. 1 priority in the research and development program.

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What you see on the screen is an artist's conception of what an advanced rotorcraft might look like. You happen to be looking at the tiltrotor configuration, but there are others to pick from. A joint-service program, or JVX, has been formed by the Army, Navy, and Air Force. Cost sharing among the services for this program has been agreed upon. Also, a joint technical assessment has been conducted which indicates that the aircraft is technically feasible at moderate risk.

The fiscal year 1983 budget, the budget you are considering, contains the Army and Navy requests for program startup, and the fiscal year 1984 budget will contain substantial commitments from all the services on this program. We believe the JVX program represents a dramatic technological breakthrough and promises to significantly modernize and improve the Marine Corps combat capability.

That concludes my remarks. I will be glad to respond to any questions.

[The prepared statement of General White follows:]

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