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The Pentagon formally OKd C-17 development.

The decision by a Defense Systems Acquisition Review Council means that McDonnell Douglas will start full-scale engineering development of the C-17 cargo jet, which is to be built at Douglas Aircraft in Long Beach. The approval was expected, but the council also decided to accelerate certain portions of the program at an eventual savings of $138 million. Congress appropriated $123.3 million for the C-17 in the current fiscal year. The Air Force is seeking $453.7 million in fiscal 1986.

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