congressional gridlock

hmm.. I wonder if this will end up effecting earnings for these guys.

U.S. Army To Lay-Off 200,000 Civilians, Contractors

December 12, 2007 9:46 p.m. EST

Paul Icamina - AHN News Writer

Washington, D.C. (AHN) - The U.S. Army will run out of money for operations and maintenance by mid-February, and the Marine Corps will run out of funds a month later, according to a Congressional Research Service (CRS) report, confirming Defense Department projections.

The Army and Marine Corps may delay the inevitable for only a couple of weeks by transferring funds and slowing down spending, according to CRS, a part of the Library of Congress.

President George Bush has requested $189.3 billion in supplemental funds for war on terror, however Congress has so far only approved about $17 billion for mine-resistant, ambush-protected vehicles. The rest of the funds are tied up in a disagreement between Congress and the White House over a timetable for withdrawing U.S. forces from Iraq.

The Army will be forced to curtail training, close several bases, furlough about 100,000 civilian employees and lay-off about 100,000 contractors, the defense department said in a statement, adding that furlough notification letters will be sent to unions and employees beginning next week.

Congress is scheduled to adjourn on Dec. 21. If it does not reach an agreement on funding, the legislation will not be considered until after Congress reconvenes, tentatively scheduled for Jan. 15.

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