Adm. Vern Clark is the chief of naval operations.

On 11 September 2001, the nuclear-powered aircraft carrier USS Enterprise was returning from deployment when satellite television provided tragic images of attacks on our homeland, half a world away.

Within moments, the "Big E's" rudder swept over and, using the independence and mobility unique to naval forces, she headed for the Arabian Sea. By the next morning, Afghanistan was within reach of the Enterprise's air wing--ready to launch and sustain precision strikes against enemies hundreds of miles from the sea.

The Enterprise was not alone in taking prompt action. USS Carl Vinson steamed at high speed to join her on station while surface combatants and submarines prepared Tomahawk missiles for long-range strikes. The USS Peleliu Amphibious Ready Group cut short a port visit to Australia and sailed toward the Arabian Sea. In Japan, USS Kitty Hawk prepared to leave her homeport to serve as an innovative Special Operations support platform.

At home, shipmates saved shipmates in the Pentagon and swiftly reestablished command and control. The aircraft carriers USS George Washington and USS John C. Stennis took station off the East and West Coasts along with more than a dozen cruisers and destroyers, guarding the air and sea approaches to our shores. Shortly thereafter, the hospital ship USNS Comfort arrived in New York City, joining the Military Sealift Command ship USNS Denebola in providing food, berthing, and medical support to recovery workers toiling in the ruins of the World Trade Center.

In the months following 11 September, naval forces took the fight to the enemy. Tomahawk shooters suppressed air defenses while carrier strike aircraft flew hundreds of miles beyond the sea, destroying critical targets. Nearly 60 U.S. Navy ships have participated in Operation Enduring Freedom thus far, and more than 10,000 Navy and Marine sorties have been flown over Afghanistan. Sustained from the sea, U.S. Marines, Navy SEALs, Seabees, and Joint Special Operations Forces have worked with local allies to free Afghanistan from the Taliban regime and al Qaeda terrorist network. Presence, power, precision. The U.S. Navy's response to the events of 11 September is testimony to the dedicated service of our nation's Sailors. It underlines the mobility, lethality, and reach of naval forces. Most importantly, it shows the Navy-Marine Corps team's commitment to mission accomplishment. We stand ready to fight and win!

The Leading Edge of Defense
Forward-deployed naval forces--immediately employable, operationally agile, and capable of sustained combat operations against any adversary--have always been a critical part of America's defense. This has been especially true since the end of the Cold War, when the U.S. military shifted to a largely homeland-based defense posture. The United States withdrew two-thirds of its permanently stationed military forces from Europe following the collapse of the Soviet Union. In the Middle East, all of the nation's armed services fulfill presence requirements with rotational units. With the exception of Korea and Japan, Asian commitments are covered by naval forces or flyaway units from the United States. This drawdown of permanently stationed overseas forces amplifies the importance of today's expeditionary Navy-Marine Corps team.

Accomplishing our missions has become steadily more challenging, however. The Navy's force structure has declined 41 percent since 1991--from 538 ships to 318--while frequent contingencies increased the call for forward-deployed naval forces. The Global War on Terrorism is the most recent of these contingencies and promises to be the most taxing. Preliminary analysis indicates that we will need a Navy of approximately 375 ships to meet the emergent missions of this new conflict--a wartime fleet to meet wartime tasking.

To mitigate this larger requirement, we are investigating new ways to increase the presence and striking power of naval forces. For example, we are exploring uses for an Afloat Forward Staging Base, building on the success of the USS Kitty Hawk. Another idea is to regularly complement amphibious ready groups with surface combatants and submarines, producing Expeditionary Strike Forces ready to destroy terrorists wherever they may be found. We also are going to experiment with flexible manning techniques to assist in prolonged on-station missions, such as guarding international straits.

The bottom line is that we are challenging all assumptions regarding how the Navy has traditionally performed its mission. We are dedicated to pursuing the most promising concepts and technologies in the fight against terrorism.

New Capabilities for a New Era
The world we face is a complex and dangerous one. Violent horizons stretch before us, harboring profound challenges including the threat of cyberwar, weapons of mass destruction, international terrorism, and the human misery accompanying failed states. These threats do not replace the specter of state conflict. They increase the danger--adding sparks to already combustible situations.

To ensure we have what it takes to fight and win, we are transforming to become a 21st-century Navy of unprecedented capabilities: strategically and operationally agile, technologically and organizationally innovative, networked at every level, highly joint, and effectively integrated with allies.

Future naval forces will be better equipped to shape events and control crises--both attributes of increasing importance as additional states gain access to weapons of mass destruction. Enhanced naval communications, reach, and precision capabilities will yield greater deterrence effectiveness by warning of swift and deadly response to aggression.

Dispersed naval forces also will provide the nation with an independent global strike capacity. Fleet units will be deployed around the world: poised to seize the initiative, drive operational timelines, and foreclose enemy options. At the heart of that concept lies sea-basing--conducting precise and persistent operations from the maritime domain while providing sanctuary for friendly forces and minimizing presence ashore.

Naval forces will be critical components of strategic defense--assuring access for troops and cargo, projecting air defenses overland in support of joint forces and allies, and strengthening homeland defense by operating alongside numerous other agencies, especially the U.S. Coast Guard.

Network-centric operations--the integration of sensors, information systems, weapons, and platforms to achieve major gains in warfighting effectiveness--will enable the success of these deterrence, offensive, and defensive missions. Networks are a Navy strength, and we continue to invest in this critical area. Transformational programs such as Cooperative Engagement Capability, which shares fire-control-quality data throughout the force, and the Naval Fires Network, which integrates joint intelligence and targeting systems, promise order of magnitude increases in naval warfighting effectiveness.

Platforms will remain crucial to achieving battlefield dominance in this new century. Roughly 60 percent of the ships in the Navy today will still be in the fleet in 2020. To retain their combat effectiveness, these units will be modernized by drawing upon systems developed in research-and-development efforts such as the DD(X) destroyer and the Littoral Combat Ship. Such upgraded platforms will host dramatically improved capabilities, complementing new ships and aircraft joining our fleet. The sum of these advances will be a dispersed and networked fleet that enhances deterrence, assures access, conducts precision strikes, gathers real-time intelligence, exercises joint command and control, and leverages the priceless advantage of sea control. In short, it will be a fleet that serves as the leading edge of America's defense--around the world, around the clock.

Sailors and Readiness: Solid Progress
Navy men and women are our most valuable resource, and we are committed to providing them with the tools and leadership to succeed. Improvements to compensation that we have fought for--pay raises, bonuses, retirement reforms, and better medical benefits--are making a real difference in the quality of life of our Sailors and their families.

A good example is Career Sea Pay (CSP). CSP was increased in 2001 for the first time in 15 years, restoring its value. Additionally, eligibility was expanded. Today, Career Sea Pay is received by all Sailors from the moment they report for sea duty; 25,000 more Sailors now receive CSP than in 2000.

Such improvements helped our Navy meet recruiting goals in 1999, 2000, and 2001. Sailors also are "staying Navy" in record numbers. In 2001, we retained 57 percent of all eligible Sailors at the end of their first enlistment, 68 percent of Sailors with six to 10 years of service, and 84 percent of Sailors with 10 to 14 years of service. Additionally, 1,512 more Sailors were advanced last year than the year before. As a result, battle groups are deploying better manned than ever before!

Adequate compensation is vital to recruiting-and-retention efforts. But I believe the real key to our success has been a renewed emphasis on the importance of service. Choosing a lifestyle of service marks those who wear the cloth of the nation as unique. Our professionals accept the demands of military service and appreciate its rewards. In doing so, they dedicate themselves to a cause greater than self: the protection of democracy. And for that, our nation honors them.

In return for service, Navy leaders promise to help Sailors realize their full potential. A major initiative in support of that goal is Task Force EXCEL (Excellence through our Commitment to Education and Learning). Task Force EXCEL is leading a revolution in Navy training that will draw upon distance-learning technologies and innovative functional learning centers to provide a career-long training continuum to every one of our Sailors.

Another important initiative to maximize the impact of our people is Project SAIL (Sailor Advocacy through Interactive Leadership). Project SAIL is developing a tailored distribution system that will fundamentally change the relationship between Sailors and detailers. Major improvements include empowering Sailor advocates in the detailing process to represent individual professional and personal needs, more perceptive rating (occupational specialty) testing and assignment upon accession, a "team detailing" concept that includes gaining-command input, and greater use of the Internet to advertise billet availability. As with Task Force EXCEL, the goal is to strengthen investment in the long-term growth and development of our professionals.

Beyond people, our efforts at improving equipment and training also have achieved significant success. We are dedicated to taking care of the Navy our citizens have already purchased and, to accomplish that end, a great deal of additional money has been directed toward the fleet. The fiscal year 2002 budget added $5 billion to readiness accounts over 2001 levels, and 2003's budget will provide even more. Thanks to these additional resources, readiness of our air wings improved more than 8 percent last year.

Finally, new ships and aircraft are continually joining the fleet, and they are the best in the world. In 2001, the nuclear-powered aircraft carrier Ronald Reagan was christened, and the amphibious assault ship USS Iwo Jima was commissioned. Production also is gearing up on more Arleigh Burke-class Aegis guided-missile destroyers, Virginia-class submarines, F/A-18E/F Super Hornet strike fighters, MH-60S Seahawk helicopters, and other outstanding programs. These assets are valuable additions to our fight against international terrorism and we welcome their arrival.

Aligning for Success
Proper alignment is critical to delivering a combat-capable fleet ready to sail in harm's way. Alignment efforts include streamlining communications, avoiding duplication of effort, and standardizing equipment, manning, and policies throughout the Navy. To make that happen, we reorganized the Navy Staff so that a deputy chief of naval operations is focused exclusively on fleet readiness and logistics, while another is dedicated to warfare requirements and programs.

On the waterfront, we strengthened coordination between the U.S. Atlantic and Pacific Fleets by creating a new position--commander, Fleet Forces Command (CFFC)--allowing afloat forces to speak with one voice. We also unified the leadership of naval aviation, surface, and subsurface forces by establishing fleet type commanders in each of those communities. These initiatives will improve operational performance by allowing us to more accurately determine requirements and maximize investment effectiveness.

Experimentation also has shifted to the waterfront. The Navy Warfare Development Command in Newport, R.I., has been placed under CFFC to strengthen the fleet's impact on innovation.

These are important steps, but they are just a beginning. We also must, at every level, ensure our Navy is functioning as effectively and efficiently as possible. The secretary of the Navy has made the incorporation of better business practices a major focus area. I share his dedication to this cause, and we are working on a number of initiatives to capture savings.

Achieving business efficiencies will provide the taxpayers with a fuller return on the dollars they entrust to our Navy for their defense. Such efficiencies also will free up the critical resources needed to repair substandard infrastructure, further enhance readiness, and accelerate procurement.

Challenges Ahead
Ensuring future readiness is a major challenge facing our Navy. As has been well-documented, today's aircraft and ship procurement rates would, if continued, result in a Navy significantly smaller than today's. We will not let that happen. Such a fleet would be an invitation to greater operational risk and international instability.

As noted, the Global War on Terrorism has levied new demands on our Navy, emphasizing the need for our fleet to confidently meet the challenges of an uncertain world on short notice. We must be able to conduct combat operations anytime, anywhere--with maximum effectiveness and minimum risk.

To ensure future readiness, we must introduce new aircraft and ships into the fleet as soon as possible. Authorization to buy 88 aircraft and six ships in 2002 will help, but it is not enough. We must buy 180 to 210 aircraft and eight to 10 ships every year to sustain a fleet of approximately 300 ships. A Navy of around 375 ships will need even more.

Building sufficient platforms is important, for quantity has a quality all its own. But equally important is building the right ships and aircraft for tomorrow's fleet--those that possess the capabilities needed to triumph over emerging threats. Fortunately, impressive programs are being readied for production to meet these challenges.

DD(X), the next-generation surface combatant; CVN(X), the next-generation aircraft carrier; LCS, the littoral combat ship; the LPD 17 amphibious transport dock; the SSGN nuclear-powered guided-missile submarine; and the JSF (Joint Strike Fighter)--all represent compelling leaps in warfighting capability, innovation, and reliability. As these programs mature in the years to come, we will ramp up the rate of shipbuilding and aircraft procurement to ensure tomorrow's Navy is even more powerful than today's.

Our Navy at War
Since 11 September, our national leaders have stressed that the war against terrorism will be neither easy nor short. It is a different kind of conflict than any seen in the past: a struggle against an internationally networked enemy dedicated to the destruction of freedom. Additionally, the president has warned states sponsoring terrorism that they will be held responsible for crimes committed by those they harbor.

This struggle promises to be global in scope and simultaneous in execution. It will require the full and sustained might of America's armed forces and the support of our allies. In securing freedom's promise for future generations, the United States Navy--forward-deployed, uniquely capable, and ready for action--will play a leading role. This is our turn to make history. I am confident that American Sailors will make us proud.

In closing, I would like to thank the Navy League of the United States for the generous and loyal support it gives to our Navy, its Sailors, and our other sea services. The Navy League has been a true friend in the defense of our country for 100 years, and I look forward to our partnership growing even stronger in the new century before us.