DoD Awards $40M Lockheed Martin Contract for Urgent International Partner Aircraft Needs
Contract Overview
Contract Amount: $40,177,407 ($40.2M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2021-07-26
End Date: 2026-06-30
Contract Duration: 1,800 days
Daily Burn Rate: $22.3K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: ESTABLISHES UCA LINE ITEMS TO MEET URGENT AME NEEDS OF INTERNATIONAL PARTNERS/FMS
Place of Performance
Location: FORT WORTH, TARRANT County, TEXAS, 76108
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $40.2 million to LOCKHEED MARTIN CORPORATION for work described as: ESTABLISHES UCA LINE ITEMS TO MEET URGENT AME NEEDS OF INTERNATIONAL PARTNERS/FMS Key points: 1. Significant contract value ($40.18M) focused on urgent international partner requirements. 2. Sole-source award to Lockheed Martin Corporation, a major defense contractor. 3. Potential risk associated with limited competition for urgent needs. 4. Aircraft Manufacturing sector, critical for defense capabilities.
Value Assessment
Rating: fair
The contract value of $40.18M for aircraft manufacturing is substantial. Benchmarking against similar sole-source contracts for urgent international needs is difficult without more specific details on the aircraft and scope of work.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This approach is often used for urgent needs or when a specific contractor possesses unique capabilities, but it limits price discovery and competitive pressure.
Taxpayer Impact: Taxpayer funds are being used to meet urgent international partner needs, which can indirectly support U.S. foreign policy and defense alliances.
Public Impact
Supports urgent military needs of international allies through Foreign Military Sales. Ensures continued availability of critical aircraft components and support. Impacts the defense industrial base and Lockheed Martin's production capacity.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Urgent need justification
- Sole-source award
Positive Signals
- Addresses urgent international partner requirements
- Supports critical defense capabilities
Sector Analysis
This contract falls within the Aircraft Manufacturing sector, a key component of the defense industrial base. Spending in this sector is often driven by national security requirements and international partnerships.
Small Business Impact
The awardee is Lockheed Martin Corporation, a large prime contractor. There is no indication of small business participation in this specific delivery order, which is common for large sole-source defense contracts.
Oversight & Accountability
Oversight is primarily managed by the Department of the Navy. The justification for a sole-source award, especially for urgent needs, would be subject to review to ensure proper use of funds.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Lack of competitive bidding
- Potential for inflated pricing due to sole-source nature
- Urgency may mask underlying planning or sustainment issues
- Limited transparency on specific needs and aircraft
- Reliance on a single large contractor
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 $40.2 million to LOCKHEED MARTIN CORPORATION. ESTABLISHES UCA LINE ITEMS TO MEET URGENT AME NEEDS OF INTERNATIONAL PARTNERS/FMS
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 Navy).
What is the total obligated amount?
The obligated amount is $40.2 million.
What is the period of performance?
Start: 2021-07-26. End: 2026-06-30.
What specific aircraft and urgent needs are being addressed by this contract?
The contract specifies 'UCA LINE ITEMS' for 'URGENT AME NEEDS OF INTERNATIONAL PARTNERS/FMS'. Without further declassification or detail, the exact aircraft type (e.g., fighter jets, transport planes, helicopters) and the nature of the 'urgent needs' (e.g., immediate repairs, specific upgrades, new production) remain unspecified. This lack of detail hinders a precise assessment of the contract's value and necessity.
What is the justification for the sole-source award, and how was the price determined?
The contract was 'NOT COMPETED' due to 'URGENT AME NEEDS'. While urgency can justify sole-sourcing, the specific rationale and the process for determining the 'FIRM FIXED PRICE' of $40.18M are not detailed. A thorough review would examine if competitive bidding was truly infeasible and if the price reflects fair market value under the circumstances.
What is the long-term strategic value of fulfilling these urgent international partner needs?
Fulfilling urgent needs for international partners via Foreign Military Sales (FMS) can strengthen alliances, enhance interoperability, and contribute to regional stability, aligning with U.S. foreign policy objectives. The strategic value lies in maintaining partner military readiness and demonstrating U.S. commitment, which can have broader geopolitical implications beyond the immediate transaction.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
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: $40,177,407
Exercised Options: $40,177,407
Current Obligation: $40,177,407
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0001919G0008
IDV Type: BOA
Timeline
Start Date: 2021-07-26
Current End Date: 2026-06-30
Potential End Date: 2026-06-30 00:00:00
Last Modified: 2025-11-24
More Contracts from Lockheed Martin Corporation
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Department of Defense)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Department of Defense)
- THE Purpose of This Modification IS to Award F-35A Lrip 15 Usaf Aircraft* Long Lead Funding — $30.1B (Department of Defense)
- THE Purpose of This Contract IS to Award Long Lead Funding for F-35A, F-35B, and F-35C Aircraft for U.S. Services, Non-Dod Partners, and FMS Customers — $24.5B (Department of Defense)
- Lrip 11 AAC — $12.3B (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)