Complaints About Quality

"Loose screws, exposed wires and improper soldering." These were among the defects cited by the Defense Department in three of its most important missile systems, all of them made by Hughes Aircraft Co., in Tucson. Last week the Pentagon said it would stop $38 million in progress payments to the company in what may be the most sweeping crackdown on a military supplier in recent history.

The Navy was the first to complain, declaring in July that its Phoenix air-to-air missiles, being supplied by Hughes at close to $1 million apiece, showed evidence of "marginal workmanship." The Air Force followed suit with complaints about its heat-sensing air-to-ground Maverick missiles, which cost $100,000 each.

The Army has been experiencing problems with shipments of its old standby, the TOW antitank missile, and ordered a recall of 1,300 that had already been delivered to U.S. troops in Europe.

Hughes says it has suspended work on the missiles "as part of a far-reaching effort to improve production quality," and has delayed delivery of sophisticated radar systems that go into F14, F-15 and F-18 aircraft. The Pentagon has given Hughes until Sept. 1 to come up with a plan to improve its work.