DoD awards $29.6M F-22 landing gear contract to Lockheed Martin, raising competition concerns
Contract Overview
Contract Amount: $29,570,520 ($29.6M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2025-09-30
End Date: 2030-09-30
Contract Duration: 1,826 days
Daily Burn Rate: $16.2K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: PROCUREMENT OF MISSION CRITICAL LANDING GEAR COMPONENTS FOR THE F22.
Place of Performance
Location: FORT WORTH, TARRANT County, TEXAS, 76108
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $29.6 million to LOCKHEED MARTIN CORPORATION for work described as: PROCUREMENT OF MISSION CRITICAL LANDING GEAR COMPONENTS FOR THE F22. Key points: 1. High value contract for critical aircraft components. 2. Sole-source award to incumbent prime contractor. 3. Long-term contract duration may limit future competition. 4. Focus on sustainment of a key defense asset.
Value Assessment
Rating: fair
The contract value of $29.6 million for landing gear components appears reasonable given the specialized nature and criticality for the F-22. However, without competitive bidding, it's difficult to definitively assess optimal pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis to Lockheed Martin Corporation, the prime contractor for the F-22. This lack of competition limits price discovery and may result in higher costs than a competed procurement.
Taxpayer Impact: Taxpayer funds are being used for a sole-source award, potentially leading to a higher overall cost for essential defense equipment.
Public Impact
Ensures continued operational readiness of the F-22 fleet. Supports a critical component of advanced military aircraft. Maintains supply chain for a high-value defense system.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition.
- Long contract duration.
- Potential for cost overruns without competitive pressure.
Positive Signals
- Ensures availability of critical components.
- Supports a vital national defense asset.
Sector Analysis
This contract falls within the Aircraft Manufacturing sector, specifically for components of a major defense platform. Spending benchmarks for specialized aerospace components are typically high due to R&D, complex manufacturing, and stringent quality requirements.
Small Business Impact
This contract was awarded directly to Lockheed Martin Corporation, a large prime contractor. There is no indication of subcontracting opportunities for small businesses within this specific award notice.
Oversight & Accountability
The Department of the Air Force awarded this contract. Oversight will be crucial to ensure performance, quality, and adherence to the firm-fixed-price terms, especially given the sole-source nature.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Sole-source award.
- Lack of competitive pricing.
- Long-term contract duration.
- Potential for cost escalation.
- Dependence on a single supplier.
Tags
aircraft-manufacturing, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $29.6 million to LOCKHEED MARTIN CORPORATION. PROCUREMENT OF MISSION CRITICAL LANDING GEAR COMPONENTS FOR THE F22.
Who is the contractor on this award?
The obligated recipient is LOCKHEED MARTIN CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $29.6 million.
What is the period of performance?
Start: 2025-09-30. End: 2030-09-30.
What is the historical cost trend for these landing gear components under previous contracts with Lockheed Martin?
Analyzing historical cost data for these specific landing gear components from previous contracts with Lockheed Martin is essential. This would involve comparing unit prices, total contract values, and any escalation clauses over time. Understanding these trends can help identify if current pricing is consistent or if there's evidence of price creep due to the lack of competition.
Are there any alternative suppliers or potential competitors for these F-22 landing gear components, even if they require significant qualification?
Investigating potential alternative suppliers or competitors for F-22 landing gear components is vital, even if they require substantial qualification. This could involve assessing the technical capabilities of other aerospace manufacturers or specialized component suppliers. Identifying even a single potential competitor could provide leverage for future negotiations or inform a strategy for increasing competition in subsequent contract actions.
What performance metrics are being tracked to ensure the effectiveness and reliability of these landing gear components?
The effectiveness and reliability of these mission-critical landing gear components are likely being tracked through rigorous performance metrics. These could include Mean Time Between Failures (MTBF), adherence to strict quality control standards, on-time delivery rates, and successful integration testing. The Department of the Air Force would monitor these metrics to ensure the components meet the demanding operational requirements of the F-22.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 1 LOCKHEED BLVD BLDG 10, FORT WORTH, TX, 76108
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $60,348,000
Exercised Options: $60,348,000
Current Obligation: $29,570,520
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA820518D0001
IDV Type: IDC
Timeline
Start Date: 2025-09-30
Current End Date: 2030-09-30
Potential End Date: 2030-09-30 00:00:00
Last Modified: 2025-09-30
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