# Continuing Resolution Limits DoD Production

RTX, Northrop Grumman, and GE Aerospace raised their 2026 forecasts, with RTX and Northrop reporting record backlogs. RTX cited production awards for Tomahawk and AMRAAM missiles, and GE disclosed an F414 engine support contract worth up to **$2.9 billion**. The FY2027 **$1.5 trillion** defense budget request could support expanded munitions production, but it is not enacted funding. The continuing resolution through December 11, 2026, restricts DoD from accelerating production above FY2026-funded rates, creating a near-term constraint for contractors planning capacity or deliveries.

- Procurement teams and suppliers should distinguish the FY2027 request from available appropriations and account for the continuing resolution’s production-rate restriction in schedules and capacity plans.
- RTX’s missile production awards and GE’s F414 support contract indicate active demand in munitions and propulsion, while record backlogs at RTX and Northrop signal substantial existing work.
- Contractors can use Lockheed Martin’s October 22 and L3Harris’s October 29 earnings announcements for additional company-specific updates, as cited in the signal.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Grants & Funding
**Published:** October 21, 2026

### Government Entities
- U.S. Department of Defense (DoD)
- U.S. Navy

### Vendors
- RTX Corporation (Contract awardee)
- GE Aerospace (Contract awardee)
- Northrop Grumman Corporation ()
- Lockheed Martin Corporation (Contractor)
- L3Harris Technologies, Inc. ()

### Sources
- [Defense Earnings Week Opens With Three Raised Forecasts and Two Record Backlogs — TradingView News](https://www.tradingview.com/news/prnewswire:22eb002b8ebc8:0-defense-earnings-week-opens-with-three-raised-forecasts-and-two-record-backlogs) - TradingView