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Defense industry bracing for major hit over 2016 budget

Big weapons programs will take significant hits if Congress’s short-term spending plan turns into a year-long contingency budget.

The Pentagon could find itself in trouble in the year ahead if Congress can’t hammer out an agreement on the federal budget in the next few months. Failure to pass a 2016 budget could mean a lot of pain for defense contractors as stopgap funding limits the military’s ability to launch new procurement programs, prioritize research and development, or otherwise engage in long-term national security planning.

READ: Fortune