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 Lockheed Corp. said 
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it will trim its Aeronautical Systems work force in California and Georgia by several hundred workers, 
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reflecting the defense industry's decline.
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 The Lockheed unit has 24,000 workers; 
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it expects to make the cuts through a combination of furloughs, attrition and retirements. 
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The reductions should be complete by the end of the year, 
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a spokesman said, 
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adding 
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that the exact number 
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to be cut 
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hasn't been determined.
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 Lockheed reported a $32 million third-quarter net loss, 
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largely because of cost overruns on fixed-price military contracts.
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 Noting 
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that other defense contractors are complaining of losses on such contracts, 
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analysts say 
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taxpayers have been getting illusionary bargains on weapons systems in recent years. 
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 Defense contractors cannot continue to get contracts on that basis, 
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said Howard Rubel, an analyst with C.J. Lawrence, Morgan Grenfell Inc. in New York.
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 The pain is too great.
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