“So the implied margin 4Q, I would not use as necessarily a guide for ongoing into next year. Just happens to be a particularly low quarter from a risk retirement standpoint overall.”

In context

“ensor suite, the best weapons, and the best radar, you're gonna win. And that's what we're out for. Operator: The next question comes from Myles Walton of Wolfe Research. Your line is open. Myles Walton: Thanks. Good morning. Curious on the fourth quarter implied margins at Space in the low 8% range Is there anything in particular driving that? And then Jim, you mentioned the space-based on-orbit prototype. Do you anticipate that to be a company-funded exercise And if so, what kind of R and D burden are you prepared to take for something that is, you know, if you build it hopefully the next administration will buy it. Evan Scott: I'll start, Miles, on your question on the space margins. So really, the only notable thing there really is less risk retirements and some dilution based on mix. So the implied margin 4Q, I would not use as necessarily a guide for ongoing into next year. Just happens to be a particularly low quarter from a risk retirement standpoint overall. James Taiclet: And so on SBI, we are changing the way we allocate our independent R and D at this company, Miles, And we've been evolving towards this for the last five years. But I think now we're basically at the mountaintop here, which is the previous way that the company tended to aggregate and fund IR and D was each of the business units would get sort of a slice of the pie, so to speak. And figure out what were the most important projects for their current or prospective pursuits, if you will, And they would internally almost allocate their piece within that. What we've done over the years is we've migrated that approach to one where it does care for the current needs, if you will, in the business areas. But an increasing proportion of the corpus, and the corpus hasn't grown that mu”