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US Defence Secretary Robert Gates has come up with $78 billion in budget cuts over five years that would go to deficit reduction, an amount beyond $100-billion of internal savings to be redirected to other military programs, a top lawmaker said.
House Armed Services Committee Chairman Howard McKeon, speaking to reporters after a briefing from Gates, said the new cuts were more dramatic than defence companies had previously been bracing for.
"I'm not happy," McKeon said. Gates for months has been touting his search for $100 billion in internal savings. But Reuters reported earlier this week that Gates was under pressure from the White House to find additional savings.
The additional $78 billion in cuts means that more weapons programs could go on the chopping block, as Gates tries to cancel lower-priority contracts and trim overhead costs.
Congress ultimately controls the Defence Department's budget, and lawmakers often block administration efforts to cancel pricey weapons programs since they provide high-paying jobs in their home districts.

Copyright Reuters, 2011

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