Financial document reveals Vulcan rocket engine competition is over

Enlarge / An artist's conception of the AR1 engine. (credit: Aerojet Rocketdyne)

The latest financial release from aerospace manufacturer Aerojet Rocketdyne reveals that the company spent none of its own money on development of the AR1 rocket engine this spring. Moreover, the quarterly 10-Q filing that covers financial data through June 30, 2018 indicates that Aerojet may permanently stop funding the engine with its own money altogether-a sign the company has no immediate customers.

Although Aerojet will continue to receive some funding from the US military through next year to develop its large, new rocket engine, this money won't be enough to bring it to completion. Instead of having a flight-ready engine for use by the end of 2019, the filing indicates that Aerojet now intends to have just a single prototype completed within the time frame.

Aerojet has been developing the AR1 engine under a cost-share agreement with the US Air Force, which had agreed to pay two-thirds of the cost. Aerojet originally agreed to pay nearly all of the remainder, with a small contribution from rocket manufacturer United Launch Alliance. This agreement, valued at $804 million, was in line with Aerojet's estimate of $800 million to $1 billion to develop the new engine.

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