1 00:00:00,440 --> 00:00:01,440 Inter . 2 00:00:15,140 --> 00:00:18,110 Okay , so good morning , ladies and 3 00:00:18,110 --> 00:00:20,770 gentlemen . Those in person as well as 4 00:00:20,770 --> 00:00:22,603 those on the phone and virtually 5 00:00:22,603 --> 00:00:24,714 watching us on defense dot gov Thanks 6 00:00:24,714 --> 00:00:27,390 for joining us here today and a belated 7 00:00:27,390 --> 00:00:29,223 Happy Father's Day to everyone . 8 00:00:29,223 --> 00:00:31,057 Especially my father , Air Force 9 00:00:31,057 --> 00:00:33,168 Retired Master Sergeant Ken Andrews . 10 00:00:33,168 --> 00:00:35,830 Eso family plug apologized this morning . 11 00:00:35,830 --> 00:00:37,497 Undersecretary of Defense for 12 00:00:37,497 --> 00:00:39,663 Acquisition and Sustainment Ellen Lord 13 00:00:39,663 --> 00:00:41,663 will provide a department update on 14 00:00:41,663 --> 00:00:43,774 acquisition efforts to combat Cove it 15 00:00:43,774 --> 00:00:45,441 19 . And then both she and US 16 00:00:45,441 --> 00:00:47,330 International Development Finance 17 00:00:47,330 --> 00:00:49,330 Corporation Chief executive Officer 18 00:00:49,330 --> 00:00:51,497 Adam Bowler will discuss their signing 19 00:00:51,497 --> 00:00:53,441 of a joint memorandum of agreement 20 00:00:53,441 --> 00:00:55,330 which formalizes the relationship 21 00:00:55,330 --> 00:00:57,163 between our two organizations to 22 00:00:57,163 --> 00:00:58,719 utilize $100 million of the 23 00:00:58,719 --> 00:01:01,010 department's Cares Act . Spend plan to 24 00:01:01,010 --> 00:01:03,350 provide a subsidy for multiple federal 25 00:01:03,350 --> 00:01:05,970 loans to create , maintain , protect , 26 00:01:05,980 --> 00:01:08,890 expand or restore domestic industrial 27 00:01:08,890 --> 00:01:11,760 base capabilities to support National 28 00:01:11,760 --> 00:01:14,650 Cove . It 19 Response . Both leaders 29 00:01:14,650 --> 00:01:16,872 will have an opening statement and then 30 00:01:16,872 --> 00:01:19,039 we'll take your questions . We do have 31 00:01:19,039 --> 00:01:21,206 a heart stopped at 11 . 30 . So please 32 00:01:21,206 --> 00:01:23,372 be respectful so we can get in as many 33 00:01:23,372 --> 00:01:25,594 as we can , ma'am , Over to you . Thank 34 00:01:25,594 --> 00:01:25,090 you , Mike . A good morning , ladies 35 00:01:25,090 --> 00:01:27,201 and gentlemen . Thank you for joining 36 00:01:27,201 --> 00:01:29,520 us today in a special thank you to Adam 37 00:01:29,520 --> 00:01:32,760 Bowler from the Development Finance 38 00:01:32,760 --> 00:01:35,660 Corporation , or DFC , for making the 39 00:01:35,660 --> 00:01:37,771 trip to the Pentagon here in person . 40 00:01:37,771 --> 00:01:40,130 Before we make our joint announcement , 41 00:01:40,140 --> 00:01:42,140 I want to give you an update on the 42 00:01:42,140 --> 00:01:44,029 department's continued efforts to 43 00:01:44,029 --> 00:01:46,250 mitigate impacts from Cove in 19 . 44 00:01:46,740 --> 00:01:49,140 Since January , the department's top 45 00:01:49,140 --> 00:01:51,251 priorities have remained , protecting 46 00:01:51,251 --> 00:01:53,251 our three million service members , 47 00:01:53,251 --> 00:01:55,590 their families and all of our civilian 48 00:01:55,600 --> 00:01:58,200 and defense contract personnel . While 49 00:01:58,200 --> 00:02:00,033 continuing our national security 50 00:02:00,033 --> 00:02:01,922 missions and helping the American 51 00:02:01,922 --> 00:02:04,270 people confront this crisis , we 52 00:02:04,270 --> 00:02:06,270 continue toe on Earth the continued 53 00:02:06,270 --> 00:02:08,420 sacrifice and selfless service of our 54 00:02:08,420 --> 00:02:10,460 service members deployed around the 55 00:02:10,460 --> 00:02:12,810 country who are still supporting and 56 00:02:12,810 --> 00:02:15,730 protecting the American people . The 57 00:02:15,730 --> 00:02:18,640 department has placed over $3 billion 58 00:02:18,650 --> 00:02:21,720 in contract obligations spanning over 59 00:02:21,860 --> 00:02:24,950 18,000 actions to Combat Cove . It 60 00:02:24,960 --> 00:02:28,100 impacts the Defense Logistics Agency , 61 00:02:28,110 --> 00:02:30,600 or D L . A . Especially is continuing 62 00:02:30,600 --> 00:02:33,160 to closely coordinate with the military 63 00:02:33,160 --> 00:02:35,320 services toe understand requirements 64 00:02:35,330 --> 00:02:37,450 and priorities . To protect the force 65 00:02:37,840 --> 00:02:39,951 specifically , to protect the force , 66 00:02:39,951 --> 00:02:43,440 de L . A has procured over 5.9 million 67 00:02:43,520 --> 00:02:47,140 and 95 respirator masts , 14.2 68 00:02:47,140 --> 00:02:50,130 million non medical and surgical masks , 69 00:02:50,220 --> 00:02:53,260 118 million exam gloves , 70 00:02:53,590 --> 00:02:56,610 2.7 million isolation and surgical 71 00:02:56,610 --> 00:03:00,550 gowns and 8000 ventilators . Delivery 72 00:03:00,550 --> 00:03:03,650 of 13 million nonmedical cloth face 73 00:03:03,650 --> 00:03:05,610 coverings to our military services 74 00:03:05,750 --> 00:03:08,250 combatant commands , U S Coast Guard 75 00:03:08,260 --> 00:03:11,090 and several federal agencies is ongoing . 76 00:03:11,670 --> 00:03:13,670 Last week , D . O . D completed our 77 00:03:13,670 --> 00:03:16,230 14th Aeromedical evacuation mission , 78 00:03:16,410 --> 00:03:19,540 safely transporting the 78th Cove . It 79 00:03:19,540 --> 00:03:22,090 positive patient from forward deployed 80 00:03:22,090 --> 00:03:24,950 locations toe a higher level of care in 81 00:03:24,950 --> 00:03:27,560 Europe and the United States . These 82 00:03:27,560 --> 00:03:29,910 missions have moved service members D o 83 00:03:29,910 --> 00:03:32,680 D . Contractors , civilians and two 84 00:03:32,680 --> 00:03:35,120 dependent Children were fully committed 85 00:03:35,120 --> 00:03:37,740 to the safety of our air crew , medical 86 00:03:37,740 --> 00:03:40,060 support staff and patients during these 87 00:03:40,060 --> 00:03:42,600 missions . My thanks to the Defense 88 00:03:42,610 --> 00:03:45,000 Threat Reduction Agency or Detroit and 89 00:03:45,000 --> 00:03:47,290 the Joint Rapid Acquisition Cell , or J 90 00:03:47,290 --> 00:03:49,512 Iraq , who continue to partner with the 91 00:03:49,512 --> 00:03:51,840 Joint Staff , Transcom and the Air 92 00:03:51,840 --> 00:03:54,150 Force to make these missions possible , 93 00:03:55,340 --> 00:03:57,451 D . O . D . Remains closely partnered 94 00:03:57,451 --> 00:04:00,310 with FEMA and HHS , providing almost 95 00:04:00,320 --> 00:04:03,410 $800 million in life saving supplies 96 00:04:03,420 --> 00:04:05,520 and equipment to service members and 97 00:04:05,520 --> 00:04:07,700 federal agencies in the nation's whole 98 00:04:07,700 --> 00:04:09,756 of government approach to the Corona 99 00:04:09,756 --> 00:04:12,070 virus pandemic . Moving on to the 100 00:04:12,070 --> 00:04:14,200 Defense industrial base , or dib , we 101 00:04:14,200 --> 00:04:16,390 continue to carefully and methodically 102 00:04:16,390 --> 00:04:18,334 track the state of the dib through 103 00:04:18,334 --> 00:04:20,600 Defense Contracting Management Agency 104 00:04:20,600 --> 00:04:23,420 DCM A and D L . A . Who both produced 105 00:04:23,430 --> 00:04:25,960 daily reports documenting operational 106 00:04:25,960 --> 00:04:29,630 status . Out of the 10,509 107 00:04:29,630 --> 00:04:32,350 companies DCM A tracks , we're down to 108 00:04:32,350 --> 00:04:35,870 two closed and 267 companies 109 00:04:35,880 --> 00:04:39,560 having closed and reopened . Out of the 110 00:04:39,560 --> 00:04:43,010 11,413 companies delay 111 00:04:43,010 --> 00:04:46,850 tracks , 31 are closed with 661 112 00:04:46,860 --> 00:04:50,130 having closed and reopened domestically . 113 00:04:50,230 --> 00:04:52,397 We have seen some minor improvements . 114 00:04:52,397 --> 00:04:54,730 We continue to see the greatest impacts , 115 00:04:54,730 --> 00:04:57,000 both domestically and internationally 116 00:04:57,260 --> 00:04:59,720 in the aviation and shipbuilding supply 117 00:04:59,720 --> 00:05:02,140 chains . Our acquisition and sub 118 00:05:02,140 --> 00:05:04,340 statement team remains focused on 119 00:05:04,340 --> 00:05:06,450 partnering with industry to maintain 120 00:05:06,450 --> 00:05:09,570 readiness and Dr Modernization , Scott 121 00:05:09,570 --> 00:05:11,690 Bomb and our Industrial Policy team 122 00:05:11,690 --> 00:05:13,870 continue to lead multiple industry 123 00:05:13,870 --> 00:05:16,410 calls every week . I am proud of the 124 00:05:16,410 --> 00:05:18,132 department's responsiveness in 125 00:05:18,132 --> 00:05:20,360 addressing defense industry concerns 126 00:05:20,540 --> 00:05:23,230 outlined during these calls . Mr . Kim 127 00:05:23,230 --> 00:05:25,063 Harrington , director of defense 128 00:05:25,063 --> 00:05:28,510 pricing and contracting , has issued 35 129 00:05:28,520 --> 00:05:31,050 defense pricing and contracting memos 130 00:05:31,060 --> 00:05:33,130 aggressively responding to industry 131 00:05:33,130 --> 00:05:36,380 needs and impacts . Those memos include 132 00:05:36,380 --> 00:05:38,602 guidance allowing companies to continue 133 00:05:38,602 --> 00:05:40,750 to work , providing liquidity to the 134 00:05:40,750 --> 00:05:42,690 industrial base , implementing 135 00:05:42,690 --> 00:05:44,970 legislation benefiting industry , 136 00:05:45,160 --> 00:05:47,180 improving the speed of contracting 137 00:05:47,180 --> 00:05:49,160 activity and providing spending 138 00:05:49,160 --> 00:05:52,330 transparency . An update on the $3 139 00:05:52,330 --> 00:05:55,230 billion of increased cash flow due to 140 00:05:55,240 --> 00:05:57,910 increase progress payment rates . As of 141 00:05:57,920 --> 00:06:00,750 this week , we have processed over $2 142 00:06:00,750 --> 00:06:02,860 billion in invoices at the higher 143 00:06:02,860 --> 00:06:05,170 progress payment rate . We have spoken 144 00:06:05,170 --> 00:06:07,448 with each of our major prime companies , 145 00:06:07,448 --> 00:06:09,614 and they have confirmed their detailed 146 00:06:09,614 --> 00:06:11,892 plans to work with their supply chains , 147 00:06:11,892 --> 00:06:13,670 toe accelerate payments , toe , 148 00:06:13,670 --> 00:06:15,892 identify distressed companies and small 149 00:06:15,892 --> 00:06:18,114 businesses . The department's Office of 150 00:06:18,114 --> 00:06:20,470 Small Business Programs continues to 151 00:06:20,470 --> 00:06:22,900 aggressively partner and engage . Amy 152 00:06:22,900 --> 00:06:25,122 Murray's team has hosted multiple small 153 00:06:25,122 --> 00:06:27,740 business Webinars and remains a one 154 00:06:27,740 --> 00:06:30,690 stop shop for small businesses in need . 155 00:06:31,540 --> 00:06:34,660 On June 15th De L . A launched the Fed 156 00:06:34,660 --> 00:06:37,490 mall small business corridor for small 157 00:06:37,490 --> 00:06:39,690 business contractors to purchase 158 00:06:39,690 --> 00:06:41,970 personal protective equipment for their 159 00:06:41,970 --> 00:06:44,680 personnel to safely perform contracts 160 00:06:44,680 --> 00:06:46,847 for the government . Currently , there 161 00:06:46,847 --> 00:06:48,470 are four suppliers offering 162 00:06:48,470 --> 00:06:51,710 approximately 88 PPE items . 163 00:06:52,280 --> 00:06:54,336 Lastly , on the dib , we continue to 164 00:06:54,336 --> 00:06:56,447 assess a three month slowdown toe all 165 00:06:56,447 --> 00:06:59,790 programs due to Cove in 19 . I continue 166 00:06:59,790 --> 00:07:02,860 to use the word slow down and impact 167 00:07:02,870 --> 00:07:05,230 and did not say the word delay , which 168 00:07:05,230 --> 00:07:07,930 carries a very different connotation I 169 00:07:07,930 --> 00:07:10,208 won't discuss any program specifically , 170 00:07:10,208 --> 00:07:12,380 but we have seen inefficiencies across 171 00:07:12,380 --> 00:07:14,970 most programs . Cove in 19 is shutting 172 00:07:14,970 --> 00:07:17,200 down defense manufacturing facilities 173 00:07:17,210 --> 00:07:19,370 and production lines , disrupting 174 00:07:19,370 --> 00:07:21,430 supply chains and distressing the 175 00:07:21,430 --> 00:07:23,890 financial stability off the company's D . 176 00:07:23,890 --> 00:07:26,400 O . D . Relies on to protect the nation . 177 00:07:27,640 --> 00:07:29,862 D . O . D continues to partner with our 178 00:07:29,862 --> 00:07:31,807 industry partners to do everything 179 00:07:31,807 --> 00:07:33,918 possible to keep programs on schedule 180 00:07:33,918 --> 00:07:36,029 and to minimize the cost and schedule 181 00:07:36,029 --> 00:07:38,140 impacts . This is obviously a dynamic 182 00:07:38,140 --> 00:07:40,330 situation , and the overall impacts 183 00:07:40,330 --> 00:07:42,274 will not be completely known for a 184 00:07:42,274 --> 00:07:44,220 while . As we work through how we 185 00:07:44,230 --> 00:07:47,220 operate over the next few months , I 186 00:07:47,220 --> 00:07:49,170 stress that we expect our defense 187 00:07:49,180 --> 00:07:51,430 industrial base toe follow CDC 188 00:07:51,430 --> 00:07:54,440 guidelines . I remain very proud of 189 00:07:54,440 --> 00:07:56,820 DeLay , DCM A and the Defense Threat 190 00:07:56,820 --> 00:07:59,060 Reduction Agency , Dutra , The Defense 191 00:07:59,070 --> 00:08:01,710 Acquisition , University de AU and the 192 00:08:01,710 --> 00:08:04,310 Joint Acquisition Task . Fourth , Jeff 193 00:08:04,430 --> 00:08:06,600 and the entire department's efforts to 194 00:08:06,600 --> 00:08:08,489 supply the whole of government an 195 00:08:08,489 --> 00:08:11,280 interagency battle against Cove in 19 196 00:08:11,440 --> 00:08:13,900 while H . A Dress and FEMA have both 197 00:08:14,530 --> 00:08:16,363 the field infrastructure and the 198 00:08:16,363 --> 00:08:18,197 medical knowledge toe lead , Our 199 00:08:18,197 --> 00:08:20,308 nation's efforts , D . O . D . Brings 200 00:08:20,308 --> 00:08:22,363 the breadth and depth of acquisition 201 00:08:22,363 --> 00:08:25,110 expertise toe underpin the interagency 202 00:08:25,190 --> 00:08:27,710 in contracting program management and 203 00:08:27,710 --> 00:08:30,000 industrial expansion for health and 204 00:08:30,000 --> 00:08:32,320 medical resource is the Pentagon's 205 00:08:32,320 --> 00:08:34,653 chemical and biological defense program . 206 00:08:34,653 --> 00:08:38,220 See BDP continues to play a key role in 207 00:08:38,230 --> 00:08:40,550 executing the D . O D . Strategy for 208 00:08:40,550 --> 00:08:42,828 countering weapons of mass destruction . 209 00:08:43,080 --> 00:08:45,130 Continues to support Army labs , 210 00:08:45,280 --> 00:08:48,340 Defense Health Agency , D . H . A . HHS 211 00:08:48,350 --> 00:08:50,660 and FEMA . Covert . 19 countermeasures 212 00:08:50,850 --> 00:08:54,360 like testing vaccines , masks , a mask , 213 00:08:54,360 --> 00:08:56,610 filters and screening machines . This 214 00:08:56,610 --> 00:09:00,530 includes over $150 million of CBD P 215 00:09:00,530 --> 00:09:03,460 investments in diagnostics , vaccines , 216 00:09:03,540 --> 00:09:06,100 therapeutics and modeling capabilities . 217 00:09:07,120 --> 00:09:09,009 The department's DP A Title three 218 00:09:09,009 --> 00:09:11,690 investment in response to Cove in 19 219 00:09:11,750 --> 00:09:14,600 remains on increasing manufacturing 220 00:09:14,810 --> 00:09:18,110 capacity and throughput . D . O . D 221 00:09:18,110 --> 00:09:20,550 continues to use DP A title three for 222 00:09:20,550 --> 00:09:23,450 Dib Resiliency and Security , Medical 223 00:09:23,460 --> 00:09:26,020 and Health Care . Resource is with HHS 224 00:09:26,030 --> 00:09:28,420 and FEMA Coordination . D . O . D has 225 00:09:28,430 --> 00:09:32,430 obligated approximately $472 million in 226 00:09:32,430 --> 00:09:34,520 DP , a title three funds for both 227 00:09:34,520 --> 00:09:37,070 Medical Resource Is and the Dib . In 228 00:09:37,070 --> 00:09:39,120 June , we have announced 10 actions 229 00:09:39,120 --> 00:09:42,430 totally over $320 million to help 230 00:09:42,430 --> 00:09:44,680 sustain and strengthen essential 231 00:09:44,680 --> 00:09:46,930 domestic industrial based capabilities 232 00:09:46,940 --> 00:09:49,510 and defense critical workforce in 233 00:09:49,520 --> 00:09:51,950 shipbuilding , aircraft manufacturing 234 00:09:51,960 --> 00:09:54,070 and clothing and textiles . And we 235 00:09:54,070 --> 00:09:56,181 expect more actions will be announced 236 00:09:56,190 --> 00:09:58,120 over the next few weeks . This 237 00:09:58,120 --> 00:10:00,160 investment is critical in allowing 238 00:10:00,160 --> 00:10:02,740 Americans to be tested and help reopen 239 00:10:02,740 --> 00:10:04,940 the economy . The increased production 240 00:10:04,940 --> 00:10:07,051 will ensure the U . S government gets 241 00:10:07,051 --> 00:10:09,360 dedicated long term industrial capacity 242 00:10:09,490 --> 00:10:11,657 to help meet the needs of the nation . 243 00:10:12,630 --> 00:10:14,800 The department remains keenly focused 244 00:10:14,810 --> 00:10:17,070 on the threat of adversarial capital , 245 00:10:17,460 --> 00:10:19,660 especially at a time when the current 246 00:10:19,670 --> 00:10:21,990 cove IT crisis is being exploited by 247 00:10:21,990 --> 00:10:24,630 our adversaries . We remain part of a 248 00:10:24,630 --> 00:10:27,440 whole of nation approach that values an 249 00:10:27,450 --> 00:10:29,620 open investment environment while 250 00:10:29,620 --> 00:10:32,220 recognizing the need to protect it . We 251 00:10:32,220 --> 00:10:34,480 work closely with military services and 252 00:10:34,490 --> 00:10:36,620 inter agency partners , including the 253 00:10:36,620 --> 00:10:38,810 Development Finance Corporation and 254 00:10:38,810 --> 00:10:40,532 Department of Energy , to take 255 00:10:40,532 --> 00:10:42,640 additional measures to protect and 256 00:10:42,640 --> 00:10:46,230 promote critical assets . This 257 00:10:46,240 --> 00:10:48,407 approach includes consistent messaging 258 00:10:48,407 --> 00:10:50,300 to public , private and academic 259 00:10:50,300 --> 00:10:52,280 sectors about the methods of our 260 00:10:52,290 --> 00:10:55,980 adversaries , the methods they use to 261 00:10:55,990 --> 00:10:59,180 access technological know how economic 262 00:10:59,180 --> 00:11:00,920 security can be undermined by 263 00:11:00,920 --> 00:11:03,020 acquisitions of companies in the 264 00:11:03,020 --> 00:11:05,150 defense and dual use sectors by 265 00:11:05,150 --> 00:11:07,690 companies that claim to be US based but 266 00:11:07,690 --> 00:11:10,440 are actually owned or controlled by 267 00:11:10,450 --> 00:11:13,390 adversarial foreign entities . The 268 00:11:13,390 --> 00:11:15,612 blurring of the line between commercial 269 00:11:15,612 --> 00:11:17,650 do use applications and defense 270 00:11:17,650 --> 00:11:20,180 applications further helps those 271 00:11:20,190 --> 00:11:22,970 adversaries that focus their policies 272 00:11:22,980 --> 00:11:25,330 around using burgeoning commercial 273 00:11:25,420 --> 00:11:27,320 technologies to strengthen their 274 00:11:27,320 --> 00:11:29,950 military capabilities . Specifically , 275 00:11:29,950 --> 00:11:31,672 the department is committed to 276 00:11:31,672 --> 00:11:33,894 countering Chinese aggression . On this 277 00:11:33,894 --> 00:11:35,561 front , my team is working to 278 00:11:35,561 --> 00:11:38,440 efficiently implement Section 889 part 279 00:11:38,440 --> 00:11:42,420 B of the F Y 19 nd A , which aims 280 00:11:42,420 --> 00:11:44,531 to prohibit certain Chinese companies 281 00:11:44,531 --> 00:11:47,040 from our supply chain were also close 282 00:11:47,040 --> 00:11:49,240 to publishing are proposed CMM See 283 00:11:49,240 --> 00:11:51,350 policy which will improve our dip . 284 00:11:51,350 --> 00:11:54,140 Cyber hygiene practices . These and 285 00:11:54,140 --> 00:11:56,362 other legislative initiatives will help 286 00:11:56,362 --> 00:11:58,550 us defend against Chinese practices , 287 00:11:58,560 --> 00:12:01,260 while we also aggressively pursue 288 00:12:01,450 --> 00:12:03,630 offensive actions toe sort , their 289 00:12:03,630 --> 00:12:05,910 theft of intellectual property and 290 00:12:05,910 --> 00:12:08,650 their predatory M and A activity . The 291 00:12:08,650 --> 00:12:10,594 department has three main tools to 292 00:12:10,594 --> 00:12:12,817 combat this area of national security . 293 00:12:12,817 --> 00:12:14,872 Concern are Mergers and Acquisitions 294 00:12:14,872 --> 00:12:16,872 Team , which works closely with the 295 00:12:16,872 --> 00:12:18,983 Department of Justice and the Federal 296 00:12:18,983 --> 00:12:20,928 Trade Commission counterpart . The 297 00:12:20,928 --> 00:12:22,761 Interagency Committee on Foreign 298 00:12:22,761 --> 00:12:24,817 Investment in the United States , or 299 00:12:24,817 --> 00:12:26,872 Citius and D . O D's trusted capital 300 00:12:26,872 --> 00:12:29,640 Programme established in late 2019 to 301 00:12:29,640 --> 00:12:31,950 strengthen manufacturing in the defense 302 00:12:31,950 --> 00:12:34,000 industrial base , including by 303 00:12:34,000 --> 00:12:36,010 providing opportunities for trusted 304 00:12:36,010 --> 00:12:38,380 financial institutions and qualifying 305 00:12:38,380 --> 00:12:40,220 companies to explore mutually 306 00:12:40,220 --> 00:12:42,480 beneficial partnerships in support of 307 00:12:42,480 --> 00:12:45,480 national security goals now toe Why 308 00:12:45,490 --> 00:12:48,450 Adam is here with me today On May 14 309 00:12:48,460 --> 00:12:51,260 2020 the president signed Executive 310 00:12:51,270 --> 00:12:54,630 order 13 9 to 2 . Delegating 311 00:12:54,640 --> 00:12:57,810 authority to DFC toe Execute loans 312 00:12:57,890 --> 00:13:00,150 using defense production Acti p A . 313 00:13:00,210 --> 00:13:02,266 Title three . Authorities in support 314 00:13:02,266 --> 00:13:05,680 Off the Cove It 19 Response 315 00:13:06,070 --> 00:13:08,970 upto $100 million will be expended to 316 00:13:08,970 --> 00:13:11,660 secure multiple loans in line with high 317 00:13:11,660 --> 00:13:14,460 national security . Economic security 318 00:13:14,470 --> 00:13:16,940 impact . This authority was delegated 319 00:13:16,940 --> 00:13:20,300 to do DFC for two years in conjunction 320 00:13:20,350 --> 00:13:22,930 with DP , A loan related waivers 321 00:13:23,020 --> 00:13:25,550 provided by Congress in The Cares Act 322 00:13:26,480 --> 00:13:29,380 as detailed in Our Cares Act Spend Plan . 323 00:13:29,940 --> 00:13:33,260 We will utilize the $100 million to 324 00:13:33,260 --> 00:13:35,810 provide a subsidy from multiple federal 325 00:13:35,810 --> 00:13:39,420 loans to create , maintain , protect , 326 00:13:39,560 --> 00:13:42,420 expand or restore domestic industrial 327 00:13:42,420 --> 00:13:45,260 based capabilities to support National 328 00:13:45,260 --> 00:13:48,730 Cove IT . 19 Response . These funds are 329 00:13:48,730 --> 00:13:51,090 being utilized to provide subsidy for 330 00:13:51,090 --> 00:13:54,370 federal loans to create , maintain , 331 00:13:54,380 --> 00:13:56,600 expand or store domestic industrial 332 00:13:56,600 --> 00:13:59,140 base capabilities . To support National 333 00:13:59,250 --> 00:14:01,690 Cove in 19 response , I will say a 334 00:14:01,690 --> 00:14:04,570 second time . Adam and I have just 335 00:14:04,570 --> 00:14:06,681 signed a memorandum of agreement that 336 00:14:06,681 --> 00:14:09,320 formalizes the relationship between D , 337 00:14:09,320 --> 00:14:12,190 o . D and D F . C , enabling us to move 338 00:14:12,190 --> 00:14:14,810 forward in executing against this new 339 00:14:14,810 --> 00:14:17,150 authority . Formerly known as the 340 00:14:17,150 --> 00:14:19,500 Overseas Private Investment Corporation . 341 00:14:19,800 --> 00:14:22,390 DFC brings decades of federal credit 342 00:14:22,400 --> 00:14:24,650 experienced they're advancing key 343 00:14:24,650 --> 00:14:26,630 national objectives and addressing 344 00:14:26,630 --> 00:14:28,980 domestic challenges in response to the 345 00:14:28,980 --> 00:14:31,760 current outbreak . DFC also has the 346 00:14:31,760 --> 00:14:34,630 unique ability to address this crisis 347 00:14:34,640 --> 00:14:36,320 with a global perspective , 348 00:14:36,430 --> 00:14:38,263 coordinating their international 349 00:14:38,263 --> 00:14:41,150 efforts with this new domestic time 350 00:14:41,160 --> 00:14:44,710 limited authority . DFC has been in 351 00:14:44,710 --> 00:14:46,700 sync with D . O . D . Among other 352 00:14:46,700 --> 00:14:48,867 federal agencies throughout the covert 353 00:14:48,867 --> 00:14:50,867 crisis and will continue to partner 354 00:14:50,867 --> 00:14:53,270 closely to ensure our approach and 355 00:14:53,270 --> 00:14:55,860 response to Cove in 19 is completely 356 00:14:55,860 --> 00:14:58,160 coordinated . In closing , the 357 00:14:58,160 --> 00:15:00,271 department continues to do everything 358 00:15:00,271 --> 00:15:02,650 we can to support our military members , 359 00:15:02,740 --> 00:15:05,260 their families , defense contractors 360 00:15:05,260 --> 00:15:07,410 and our fellow citizens . I want to 361 00:15:07,410 --> 00:15:09,640 personally thank both Congress and the 362 00:15:09,640 --> 00:15:12,550 defense industry associations , both 363 00:15:12,550 --> 00:15:14,717 who have been invaluable in helping us 364 00:15:14,717 --> 00:15:17,630 protect and advocate for the dib . I 365 00:15:17,630 --> 00:15:20,000 remain extremely proud of the selfless 366 00:15:20,010 --> 00:15:21,930 efforts of Department of Defense 367 00:15:21,930 --> 00:15:24,180 personnel who continue to do everything 368 00:15:24,180 --> 00:15:26,690 they can to help provide medical masks , 369 00:15:26,830 --> 00:15:29,410 test kits , medicine and meals to 370 00:15:29,410 --> 00:15:32,070 support America's military , medical , 371 00:15:32,080 --> 00:15:34,780 emergency services and law enforcement 372 00:15:34,780 --> 00:15:36,724 professionals who are on the front 373 00:15:36,724 --> 00:15:38,947 lines and need the most . Now Adam will 374 00:15:38,947 --> 00:15:41,113 make a statement that will be happy to 375 00:15:41,113 --> 00:15:43,113 answer your questions . Thank you . 376 00:15:43,140 --> 00:15:46,040 Thank you . I appreciate it as the CEO 377 00:15:46,050 --> 00:15:48,272 Development Finance Corporation , which 378 00:15:48,272 --> 00:15:50,540 is America's Development Bank . I'm 379 00:15:50,540 --> 00:15:52,650 honored to join Under Secretary Lord 380 00:15:53,040 --> 00:15:55,262 here today . Mark Mark the start of our 381 00:15:55,262 --> 00:15:57,207 partnership with the Department of 382 00:15:57,207 --> 00:15:58,984 Defense . Our two agencies will 383 00:15:58,984 --> 00:16:00,873 leverage our unique strengths and 384 00:16:00,873 --> 00:16:03,200 expertise to carry out the mandate of 385 00:16:03,200 --> 00:16:05,100 the Defense Production Act and 386 00:16:05,100 --> 00:16:07,900 strengthen America's self self reliance 387 00:16:07,900 --> 00:16:10,280 and resilience across critical supply 388 00:16:10,280 --> 00:16:13,040 chains . To understand the significance 389 00:16:13,040 --> 00:16:15,262 of this partnership , we should reflect 390 00:16:15,262 --> 00:16:16,929 on the origins of the Defense 391 00:16:16,929 --> 00:16:19,430 Production Act almost 70 years ago 392 00:16:19,430 --> 00:16:22,510 today , after fighting two world wars , 393 00:16:22,520 --> 00:16:24,960 both of which required unprecedented 394 00:16:25,000 --> 00:16:27,660 economic mobilisation , the country 395 00:16:27,660 --> 00:16:29,604 recognized that America's strength 396 00:16:30,040 --> 00:16:32,350 against any any enemy is derived from 397 00:16:32,350 --> 00:16:35,370 our people , a workforce that belt the 398 00:16:35,370 --> 00:16:37,980 greatest economy in the world . They 399 00:16:37,980 --> 00:16:40,091 understand that our country's freedom 400 00:16:40,240 --> 00:16:42,351 cannot be separated from the strength 401 00:16:42,351 --> 00:16:45,050 of our economy . With this in mind , 402 00:16:45,060 --> 00:16:47,227 Congress passed the Defense Production 403 00:16:47,227 --> 00:16:49,227 Act to provide our country with the 404 00:16:49,227 --> 00:16:52,290 requisite tools to harness the power of 405 00:16:52,290 --> 00:16:54,560 our economy In times of national crisis 406 00:16:55,740 --> 00:16:58,440 Today we were battling a new enemy . We 407 00:16:58,440 --> 00:17:01,600 watches the cove in 19 virus has spread 408 00:17:01,600 --> 00:17:04,740 around the world that at home . This 409 00:17:04,740 --> 00:17:06,407 administration is mounting an 410 00:17:06,407 --> 00:17:08,518 extraordinary response , and it's one 411 00:17:08,518 --> 00:17:10,700 that I'm proud to support . The 412 00:17:10,700 --> 00:17:13,100 president's executive order last month 413 00:17:13,840 --> 00:17:17,320 authorizes the DFC to use tools under 414 00:17:17,320 --> 00:17:18,990 the Defense Production Act to 415 00:17:18,990 --> 00:17:20,657 strengthen America's domestic 416 00:17:20,657 --> 00:17:23,440 industrial base and it sure resilience 417 00:17:23,440 --> 00:17:25,590 in critical supply chains . As we 418 00:17:25,590 --> 00:17:28,200 respond and recover from this health 419 00:17:28,200 --> 00:17:31,660 crisis . DFC is well suited for this 420 00:17:31,660 --> 00:17:33,560 mission . Given our investment 421 00:17:33,560 --> 00:17:36,460 experience , our global focus and our 422 00:17:36,460 --> 00:17:38,590 track record of working very closely 423 00:17:38,960 --> 00:17:41,810 with the private sector and partnership 424 00:17:41,810 --> 00:17:43,866 with the Department of Defense , I'm 425 00:17:43,866 --> 00:17:46,320 confident that we can help secure a 426 00:17:46,320 --> 00:17:48,510 stronger , safer America while at the 427 00:17:48,510 --> 00:17:51,370 same time not only continuing but 428 00:17:51,370 --> 00:17:54,090 expanding DFCS development mandate 429 00:17:54,250 --> 00:17:57,660 around the world . Thank you . Okay . 430 00:17:57,660 --> 00:17:59,827 Thank you , sir . We're going to go to 431 00:17:59,827 --> 00:18:01,993 the phone . Tony . Capacity . Oh , are 432 00:18:01,993 --> 00:18:04,216 you up ? Yes , I am . Can you hear me , 433 00:18:04,216 --> 00:18:06,271 Mike ? Yep . Go for Miss Lord and my 434 00:18:06,271 --> 00:18:08,382 Michael . Thank you for your all your 435 00:18:08,382 --> 00:18:10,549 excellent service over the last couple 436 00:18:10,549 --> 00:18:10,540 years . It's a very difficult beat , 437 00:18:11,070 --> 00:18:13,292 Miss Lord . Quick question for you . On 438 00:18:13,292 --> 00:18:15,237 June 10th you told the House Armed 439 00:18:15,237 --> 00:18:17,292 Services Committee that the Pentagon 440 00:18:17,292 --> 00:18:19,514 faces potential for billions and covert 441 00:18:19,514 --> 00:18:21,459 related penalty payments . Can you 442 00:18:21,459 --> 00:18:23,403 brought bound that 12 days later , 443 00:18:23,403 --> 00:18:25,540 Roughly how much you're talking . And 444 00:18:25,540 --> 00:18:28,380 when we leave here , you rom be Stand 445 00:18:28,380 --> 00:18:30,436 up the request to the appropriations 446 00:18:30,436 --> 00:18:33,610 committees . D o d . Has submitted our 447 00:18:33,610 --> 00:18:37,450 request to O m b o M B now has it , and 448 00:18:37,460 --> 00:18:40,170 we continue to work carefully through 449 00:18:40,300 --> 00:18:43,040 with D C M A D c a How we will 450 00:18:43,040 --> 00:18:45,960 calculate those . Can you give a sense 451 00:18:45,960 --> 00:18:48,700 of , uh , you said lower lower digit 452 00:18:48,700 --> 00:18:50,820 billions a couple weeks ago . Can you 453 00:18:50,820 --> 00:18:53,350 bound it is like 15 billion or 16 454 00:18:54,680 --> 00:18:57,010 I would say a lower double digit 455 00:18:57,020 --> 00:18:59,310 billions . All right , I want quickly , 456 00:18:59,310 --> 00:19:01,532 then oversight so that taxpayers aren't 457 00:19:01,532 --> 00:19:03,366 screwed on this one . What's the 458 00:19:03,366 --> 00:19:05,540 mechanism being set up ? I think you 459 00:19:05,540 --> 00:19:08,080 know , I'm Tony , that we do things in 460 00:19:08,080 --> 00:19:10,760 a very deliberate way in d o d . So 461 00:19:10,760 --> 00:19:13,090 we're working through defense pricing 462 00:19:13,090 --> 00:19:16,330 and contracting along with D c M A D c . 463 00:19:16,330 --> 00:19:19,100 A . The comptroller to make sure we 464 00:19:19,100 --> 00:19:22,290 have clear mechanisms to identify the 465 00:19:22,290 --> 00:19:25,060 data that substantiates those 36 10 466 00:19:25,060 --> 00:19:28,080 claims . So we will have a very 467 00:19:28,080 --> 00:19:30,530 substantive data set by which we will 468 00:19:30,530 --> 00:19:33,690 make recommendations . Okay . We're 469 00:19:33,690 --> 00:19:36,690 gonna go back here in the room with 470 00:19:36,690 --> 00:19:39,140 McClatchy Operation Works . Warp Speed 471 00:19:39,140 --> 00:19:42,190 has a stated goal of delivering 300 472 00:19:42,190 --> 00:19:45,040 million vaccines by January . What's D 473 00:19:45,040 --> 00:19:47,040 pays role in getting those delivery 474 00:19:47,040 --> 00:19:49,262 mechanisms ? Whether it's going to be a 475 00:19:49,262 --> 00:19:51,318 strange or whatever type of delivery 476 00:19:51,318 --> 00:19:53,540 tool and what room for error ? Is there 477 00:19:53,540 --> 00:19:57,340 really a This point ? We work closely d 478 00:19:57,340 --> 00:20:00,070 o d HHS whole of government on 479 00:20:00,080 --> 00:20:02,850 Operation Warp speed . And we're 480 00:20:02,850 --> 00:20:05,090 looking at what there is in terms of 481 00:20:05,090 --> 00:20:08,490 the whole supply chain from developing 482 00:20:08,490 --> 00:20:10,490 a vaccine toe , actually delivering 483 00:20:10,490 --> 00:20:13,090 those vaccines . So we continue to 484 00:20:13,100 --> 00:20:15,660 increase the capacity and throughput 485 00:20:15,660 --> 00:20:17,660 off the whole supply chain and will 486 00:20:17,660 --> 00:20:19,660 continue to monitor where we are on 487 00:20:19,660 --> 00:20:21,882 that . So it's close coordination . And 488 00:20:21,882 --> 00:20:23,993 just as a follow up , can you give an 489 00:20:23,993 --> 00:20:26,216 example of increasing throughput , like 490 00:20:26,216 --> 00:20:28,382 what ? Specifically cos you're looking 491 00:20:28,382 --> 00:20:30,438 for as far as being able to get that 492 00:20:30,438 --> 00:20:32,549 vaccine into people's hands quickly ? 493 00:20:32,549 --> 00:20:34,493 Well , what it's done is there's a 494 00:20:34,493 --> 00:20:36,800 whole task force working on this , so 495 00:20:36,800 --> 00:20:39,330 they're working on everything from 496 00:20:39,330 --> 00:20:42,320 developing vaccine and therapeutics to 497 00:20:42,320 --> 00:20:44,320 the delivery system . So we look at 498 00:20:44,320 --> 00:20:46,990 capacity and throughput and make sure 499 00:20:47,000 --> 00:20:49,230 that we're going to have enough to 500 00:20:49,230 --> 00:20:51,710 deliver up to the 700 million doses 501 00:20:51,720 --> 00:20:53,831 that are thought to be required . And 502 00:20:53,831 --> 00:20:56,290 one quick last . One of the criticisms 503 00:20:56,290 --> 00:20:58,401 that the DP eight use has come unders 504 00:20:58,550 --> 00:21:00,540 that is very difficult to get a 505 00:21:00,540 --> 00:21:02,990 transparent look at what price is being 506 00:21:02,990 --> 00:21:05,730 paid per unit . What elements are in 507 00:21:05,730 --> 00:21:07,890 place to provide more transparency to 508 00:21:07,890 --> 00:21:10,090 the public American public on how this 509 00:21:10,090 --> 00:21:12,470 tool is being used to help them ? I 510 00:21:12,470 --> 00:21:15,870 think we have a long data 511 00:21:15,870 --> 00:21:18,880 trail to say exactly what we're doing 512 00:21:18,880 --> 00:21:21,850 with those dp $8 . Again , we're not 513 00:21:21,860 --> 00:21:24,660 buying individual units with those Most 514 00:21:24,660 --> 00:21:27,820 of the time we are investing in tooling 515 00:21:27,830 --> 00:21:31,120 equipment , buildings , infrastructure 516 00:21:31,140 --> 00:21:33,400 and perhaps some training things like 517 00:21:33,400 --> 00:21:36,630 that . So we have a lot of transparency . 518 00:21:36,630 --> 00:21:39,610 We have published the individual or the 519 00:21:39,610 --> 00:21:41,443 companies that have received the 520 00:21:41,443 --> 00:21:43,388 funding as well as theater mount . 521 00:21:43,388 --> 00:21:45,499 We're going to go to the phone . Erin 522 00:21:45,499 --> 00:21:49,420 Meta . Yeah , thanks for doing 523 00:21:49,420 --> 00:21:51,476 this . My thanks for everything over 524 00:21:51,476 --> 00:21:53,698 the years , um , quickly wanted . Asked 525 00:21:53,698 --> 00:21:55,920 on the three month slowdown that you've 526 00:21:55,920 --> 00:21:58,031 mentioned a couple of times regarding 527 00:21:58,031 --> 00:22:00,142 major defense products , you said the 528 00:22:00,142 --> 00:22:02,364 same thing three months back in April . 529 00:22:02,364 --> 00:22:04,420 Now , obviously , towards the end of 530 00:22:04,420 --> 00:22:06,642 June , I understand we're talking about 531 00:22:06,642 --> 00:22:08,642 three months . Kind of on a rolling 532 00:22:08,642 --> 00:22:10,864 basis that you're seeing slowdowns here 533 00:22:10,864 --> 00:22:12,976 or its three months compared to where 534 00:22:12,976 --> 00:22:14,976 it was supposed to be , April . And 535 00:22:14,976 --> 00:22:16,976 just looking forward , do you think 536 00:22:16,976 --> 00:22:19,198 that slowdown is gonna continue in some 537 00:22:19,198 --> 00:22:21,198 capacity until there is a back seat 538 00:22:21,198 --> 00:22:23,980 place ? So Good morning , Aaron . What 539 00:22:23,990 --> 00:22:26,840 we were focused on are the three months 540 00:22:26,840 --> 00:22:28,840 where we thought the impact was the 541 00:22:28,840 --> 00:22:31,970 most significant to the workforce in 542 00:22:31,970 --> 00:22:35,150 the dib . So it was that April May June 543 00:22:35,150 --> 00:22:38,620 timeframe we see on enormous amount of 544 00:22:38,620 --> 00:22:41,320 recovery in the defense industrial base . 545 00:22:41,320 --> 00:22:44,260 It depends on location and what type of 546 00:22:44,260 --> 00:22:47,200 work is being performed , But there is 547 00:22:47,200 --> 00:22:49,920 enormous progress coming back . Ah , 548 00:22:49,920 --> 00:22:53,120 lot of work is being done as tele work , 549 00:22:53,130 --> 00:22:55,800 although obviously for manufacturing , 550 00:22:55,800 --> 00:22:57,911 we need people on the line . So we're 551 00:22:57,911 --> 00:22:59,967 doing things differently in terms of 552 00:22:59,967 --> 00:23:02,950 following CDC guidelines and so forth . 553 00:23:03,100 --> 00:23:06,040 So we're getting back up to speed . We 554 00:23:06,040 --> 00:23:08,930 don't know what that new normal will be 555 00:23:08,930 --> 00:23:11,170 on speed , but we see an enormous 556 00:23:11,170 --> 00:23:13,620 amount of recovery , and we think 557 00:23:13,620 --> 00:23:15,820 there's roughly a three month impact , 558 00:23:15,830 --> 00:23:18,520 but we will continue to monitor . Okay , 559 00:23:18,520 --> 00:23:20,520 we're gonna come back in the room . 560 00:23:20,520 --> 00:23:22,980 Sandra . Sandra , are one space news . 561 00:23:22,990 --> 00:23:25,620 Thank you . Secretary Lord talked about 562 00:23:25,620 --> 00:23:28,640 the 320 million for defence production 563 00:23:28,640 --> 00:23:30,696 after title three for the industrial 564 00:23:30,696 --> 00:23:33,080 base . Some of some actions were 565 00:23:33,080 --> 00:23:35,247 announced somewhere would be announced 566 00:23:35,247 --> 00:23:37,247 for launch A small launch . Can you 567 00:23:37,460 --> 00:23:39,750 give us a sense of how these companies 568 00:23:39,760 --> 00:23:41,930 are selected to receive contracts ? 569 00:23:41,940 --> 00:23:45,360 What is the criteria for selecting Is 570 00:23:45,610 --> 00:23:47,332 do they have to be financially 571 00:23:47,332 --> 00:23:50,330 distressed or other other chapters ? We 572 00:23:50,330 --> 00:23:53,300 have a team OSD in conjunction with the 573 00:23:53,300 --> 00:23:56,270 services that meets on a weekly basis . 574 00:23:56,270 --> 00:23:58,680 We look at the data we have from D C M 575 00:23:58,680 --> 00:24:01,120 A and D L . A . And we look at the 576 00:24:01,130 --> 00:24:03,260 impact to our readiness and 577 00:24:03,260 --> 00:24:05,680 modernization . So it really comes down 578 00:24:05,680 --> 00:24:08,640 to having the forces ready and the team 579 00:24:08,640 --> 00:24:10,696 looks at it and comes to a consensus 580 00:24:10,740 --> 00:24:13,030 and makes decisions on the way with the 581 00:24:13,030 --> 00:24:16,000 launch contracts . You have to get back 582 00:24:16,000 --> 00:24:18,120 to him that I'm not up to speed , but 583 00:24:18,340 --> 00:24:20,396 we're going to go to the line . Tony 584 00:24:20,396 --> 00:24:23,910 Burton , aka are you there ? Yes , I'm 585 00:24:23,910 --> 00:24:25,854 here . Thank you . Thanks , Mike . 586 00:24:25,854 --> 00:24:28,077 Thanks , ma'am . My question goes again 587 00:24:28,077 --> 00:24:31,000 to the funding . Is is there a timeline 588 00:24:31,000 --> 00:24:34,300 that you need to have that money by . 589 00:24:34,310 --> 00:24:36,532 Is it urgent to get it ? Or can it wait 590 00:24:36,532 --> 00:24:40,030 until January February ? And Tony , 591 00:24:40,030 --> 00:24:42,141 which funding are you talking about ? 592 00:24:42,290 --> 00:24:44,590 The supplemental funding that you talk 593 00:24:44,590 --> 00:24:46,757 to the ask about the need to reimburse 594 00:24:46,757 --> 00:24:48,812 contractors for 36 10 and then other 595 00:24:48,812 --> 00:24:51,950 non 36 10 claims they're likely to make ? 596 00:24:52,390 --> 00:24:54,560 Well , liquidity is important . That's 597 00:24:54,560 --> 00:24:57,560 why we put out over 30 memos to 598 00:24:57,560 --> 00:25:00,830 simplify and speed up contracting and 599 00:25:00,840 --> 00:25:02,990 increase the percentage in progress 600 00:25:02,990 --> 00:25:05,720 payments and so forth . So sooner is 601 00:25:05,720 --> 00:25:07,980 better , I think is the best way to put 602 00:25:07,980 --> 00:25:10,560 it . We have not yet received any 603 00:25:10,560 --> 00:25:12,860 claims because I believe the defense 604 00:25:12,860 --> 00:25:15,490 industrial base is waiting to more 605 00:25:15,490 --> 00:25:17,780 clearly understand what the processes . 606 00:25:17,790 --> 00:25:19,734 And we're working with them on the 607 00:25:19,734 --> 00:25:22,570 criteria . And then quickly Is there a 608 00:25:22,570 --> 00:25:24,570 chance that D o d will take some of 609 00:25:24,570 --> 00:25:26,681 this auto hide and pay for it ? Or is 610 00:25:26,681 --> 00:25:30,000 it got to be supplemental funds ? We 611 00:25:30,000 --> 00:25:32,240 are analyzing things on a day by day 612 00:25:32,240 --> 00:25:34,073 basis , so I really am not get a 613 00:25:34,073 --> 00:25:36,600 conjecture . We're going to do one last 614 00:25:36,600 --> 00:25:38,660 question . Nick , are you up ? 615 00:25:40,940 --> 00:25:42,996 Hey , there . Thank you , Mike . And 616 00:25:42,996 --> 00:25:44,996 thank you guys for doing this under 617 00:25:44,996 --> 00:25:46,884 Secretary Lord , I want zoom in a 618 00:25:46,884 --> 00:25:48,996 little bit and talk about the role of 619 00:25:48,996 --> 00:25:52,920 Mexico in the procurement effort of 620 00:25:52,920 --> 00:25:55,198 the last few months . A few months ago , 621 00:25:55,198 --> 00:25:57,570 you wrote to them urging them to reopen 622 00:25:57,570 --> 00:25:59,681 factories . Have they been responsive 623 00:26:00,140 --> 00:26:03,760 to some of your pushing ? And can you 624 00:26:03,760 --> 00:26:06,170 respond to some of the people I've 625 00:26:06,170 --> 00:26:08,600 talked to in Mexico who fear that some 626 00:26:08,600 --> 00:26:12,390 of those factories that do supply us 627 00:26:12,400 --> 00:26:14,900 with necessary parts have reopened too 628 00:26:14,900 --> 00:26:17,560 quickly or haven't taken , um , Kobe ? 629 00:26:17,570 --> 00:26:19,950 19 precautions ? Seriously enough . 630 00:26:20,010 --> 00:26:23,110 Thanks . I wrote letters and actually 631 00:26:23,200 --> 00:26:25,490 talk to our State Department colleagues 632 00:26:25,500 --> 00:26:28,560 in Mexico about reopening , talking 633 00:26:28,560 --> 00:26:30,616 about the criticality of the defense 634 00:26:30,616 --> 00:26:33,570 industrial base . They were very , very 635 00:26:33,570 --> 00:26:35,810 cooperative and obviously want their 636 00:26:35,810 --> 00:26:38,210 facilities up and running in a safe 637 00:26:38,210 --> 00:26:40,850 manner . So that's been a very good 638 00:26:40,850 --> 00:26:42,739 process , very , very receptive . 639 00:26:46,340 --> 00:26:49,750 And to the people along the border , 640 00:26:49,750 --> 00:26:51,990 especially , who have worried that the 641 00:26:51,990 --> 00:26:54,740 pressure that they've felt from the 642 00:26:54,740 --> 00:26:58,090 United States to reopen have left some 643 00:26:58,090 --> 00:27:01,410 workers vulnerable to covered 19 again , 644 00:27:01,420 --> 00:27:04,350 we advocate for using safe practises . 645 00:27:05,640 --> 00:27:07,973 Okay , so what we're gonna do now is ah , 646 00:27:07,973 --> 00:27:10,140 quick closing remarks . Mamadou , have 647 00:27:10,140 --> 00:27:12,196 any closing remarks ? I just want to 648 00:27:12,196 --> 00:27:14,418 say that I really value the partnership 649 00:27:14,418 --> 00:27:16,940 with Adam Bowler and DFC . I think 650 00:27:16,950 --> 00:27:18,810 we're doing a good job of being 651 00:27:18,810 --> 00:27:21,810 creative , looking at all the different 652 00:27:21,810 --> 00:27:23,866 ways . Weaken support the industrial 653 00:27:23,866 --> 00:27:26,220 base . How we can become more secure 654 00:27:26,230 --> 00:27:28,800 and resilient . Both on the medical 655 00:27:28,800 --> 00:27:31,022 resource is side as well as the defense 656 00:27:31,022 --> 00:27:33,244 industrial base . So thank you , Adam , 657 00:27:33,244 --> 00:27:35,078 for your partnership , sir . Any 658 00:27:35,078 --> 00:27:36,578 closing remarks ? Thanks , 659 00:27:36,578 --> 00:27:38,800 Undersecretary . I was involved closely 660 00:27:38,800 --> 00:27:40,800 in our administration's efforts and 661 00:27:40,800 --> 00:27:42,744 sourcing ventilators on gun of the 662 00:27:42,744 --> 00:27:44,911 lessons learned . I think the thus far 663 00:27:44,911 --> 00:27:47,860 there is resource 150,000 within a 664 00:27:47,860 --> 00:27:49,749 short period of time . And that's 665 00:27:49,749 --> 00:27:51,804 because of the strength of America's 666 00:27:51,804 --> 00:27:54,130 domestic manufacturing base on DSO . 667 00:27:54,130 --> 00:27:56,241 One of our lessons learned to date is 668 00:27:56,241 --> 00:27:58,241 that's critical on will be critical 669 00:27:58,241 --> 00:28:00,297 going forward . So I think this is a 670 00:28:00,297 --> 00:28:02,130 great example of an inter agency 671 00:28:02,130 --> 00:28:03,852 collaboration where we're both 672 00:28:03,852 --> 00:28:05,463 leveraging our strengths and 673 00:28:05,463 --> 00:28:07,574 partnerships . I'm very excited about 674 00:28:07,574 --> 00:28:09,686 it . So thanks all for being here and 675 00:28:09,686 --> 00:28:12,019 thank you , man , for being an advocate , 676 00:28:12,019 --> 00:28:13,920 um , in a consistent leader in 677 00:28:13,920 --> 00:28:16,142 communicating and taking the time to do 678 00:28:16,142 --> 00:28:18,253 this . I think we've done 20 to 25 of 679 00:28:18,253 --> 00:28:20,253 these . It's been my honor to serve 680 00:28:20,253 --> 00:28:22,476 with you . Spend my honor to serve with 681 00:28:22,476 --> 00:28:24,587 many of the reporters that air here . 682 00:28:24,587 --> 00:28:26,753 And thank you all for your cooperation 683 00:28:26,753 --> 00:28:28,753 over the last two years . Thank you 684 00:28:28,753 --> 00:28:30,809 very much . Have a great day . Thank 685 00:28:30,809 --> 00:28:29,570 you .