Lockheed Martin Guarantees ULA $500 Million Loan as Vulcan Grounding Strains Finances
Updated
Updated · SpaceNews · Jul 24
Lockheed Martin Guarantees ULA $500 Million Loan as Vulcan Grounding Strains Finances
1 articles · Updated · SpaceNews · Jul 24
Summary
Lockheed Martin disclosed it guaranteed up to $500 million of ULA borrowings in the second quarter, recognizing a $64 million guarantee obligation as the launcher faces near-term liquidity pressure.
The cash strain stems from Vulcan Centaur’s grounding after a solid rocket booster nozzle anomaly on the February USSF-87 mission, the second such issue after a similar problem on Vulcan’s October 2024 flight.
ULA has not set a return-to-flight date, and Northrop Grumman said redesigned motor components passed a static-fire test but deliveries may not begin until the end of 2026.
Lockheed said Boeing is also expected to provide further support to ULA, warning both owners could face additional losses if Vulcan fails to perform as assumed.
The setback has disrupted ULA’s plan for 18 to 22 launches in 2026, though the company says it still holds a backlog of more than 80 missions.