General Dynamics Corporation and Subsidiaries - Page 5

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          the agent's arguments and affirmed GENDYN's permission to use               
               GENDYN manufactured the F-16, a tactical military aircraft.            
          Originally designed as a "dog fighter", the F-16 evolved into a             
          multirole aircraft, capable of performing air-to-air combat, air            
          defense, and air-to-ground missions in all types of conditions.             
               In January 1972, the Air Force issued a Request for Proposal           
          (RFP) for the development of a prototype aircraft designated the            
          "Light Weight Fighter".  In April 1972, the Air Force selected              
          two aerospace companies, Northrop Corp. and GENDYN, to develop              
          competing prototypes.  Following a "fly off" of the two                     
          prototypes, on January 13, 1975, the Air Force awarded GENDYN               
          contract numbered F33657-75-C-0310 (0310 contract) for the full-            
          scale development of what ultimately became the F-16.                       
               The 0310 contract required GENDYN to complete development of           
          the F-16 and to build several developmental aircraft, which                 
          differed considerably from the prototype.  The 0310 contract also           
          granted the Air Force options to procure production F-16's (as              
          opposed to the developmental versions) for the program years                
          1977, 1978, and 1979, as well as a separate option to purchase              
          348 F-16's for foreign Governments.  The first developmental                
          aircraft flew in December 1976, and the first production version            
          flew and was delivered during 1978.  From the time the Air Force            
          selected GENDYN through 1981, the Air Force purchased more than             
          650 F-16's.                                                                 

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