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[ILLUSTRATION OMITTED]
Introduction
Reality struck hard on 24 September 2007 when Secretary of the Air Force Michael Wynne publicly announced that the 40,000 personnel reduction taken by the Air Force to pay for new airplanes was not reaping the rewards envisioned--stated bluntly, "It isn't working." The purpose of the drawdown in Air Force personnel strength to 316,000 by fiscal year 2009 was to free up money to modernize the Air Force's aging aircraft fleet--average age of 24 years, 14 percent of which is either grounded or possesses mission-limiting restrictions. This type of drawdown, a method commonly used in private industry, is used to liquidate assets to gain the resources needed to recapitalize the company's asset base. However, the funds generated by the drawdown were only sufficient to alter the slope of the aging curve so that the average age was 26.5 years by the end of the current five-year defense plan. (1)
Further, the drawdown generated insufficient savings throughout the out-years to significantly alter the aging curve. Air Force leaders state they need an additional $20B per year to meet aircraft fleet recapitalization needs. (2) Additional drawdown of forces is not realistic and the Air Force Strategic Plans and Programs Division is already taking action for the next Quadrennial Defense Review to add back eight combat-ready wing equivalents and return Air Force end strength to 330,000 in order to meet future requirements for providing global strategic deterrence. (3)
What remains unclear is whether Congress will provide any additional funds to meet recapitalization requirements. Likewise, there is no indication from Congress that money will be appropriated to support the now needed upsizing of Air Force end strength to 330,000, or whether that cost will be borne by the Air Force out of its future budgets. As a result, the Air Force is looking for all means to achieve the needed savings for recapitalization.