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Defense Secretary Chuck Hagel announced Wednesday that he's cutting his Pentagon staff by 20 percent in an effort to save at least $1 billion over five years, as part of broader across-the-board cutbacks at the Defense Department.
U.S. defense spending is expected to have risen in 2012, to about $729 billion, and then is set to fall in 2013 to $716 billion, as spending caps start kicking in.