DoD's $52M MI-17/MI-171 Overhaul Contract Awarded to AAL GROUP LTD

Contract Overview

Contract Amount: $52,121,673 ($52.1M)

Contractor: AAL Group Ltd.

Awarding Agency: Department of Defense

Start Date: 2010-12-08

End Date: 2014-01-31

Contract Duration: 1,150 days

Daily Burn Rate: $45.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: [PIIN: W91B4M-11-C-0007] MI-17/MI-171 OVERHAUL

Plain-Language Summary

Department of Defense obligated $52.1 million to AAL GROUP LTD. for work described as: [PIIN: W91B4M-11-C-0007] MI-17/MI-171 OVERHAUL Key points: 1. Contract awarded for aircraft manufacturing services. 2. AAL GROUP LTD. is the contractor. 3. The contract value is $52,121,673. 4. The contract period spans from December 2010 to January 2014. 5. This was a full and open competition.

Value Assessment

Rating: fair

The contract value of $52.1 million for aircraft manufacturing is substantial. Without specific per-unit cost data or comparison to similar overhauls, assessing its value relative to market benchmarks is difficult. The firm fixed price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, aiming to secure fair market value for the aircraft overhaul services.

Public Impact

Ensures continued operational readiness of critical MI-17/MI-171 aircraft. Supports the Department of the Army's aviation fleet maintenance. Contract value represents significant investment in aircraft sustainment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed per-unit cost data for benchmarking.
Contract duration is relatively long (1150 days).

Positive Signals

Awarded under full and open competition.
Firm fixed price contract type.

Sector Analysis

This contract falls within the Aircraft Manufacturing sector, specifically supporting military aviation. Spending benchmarks in this area are highly dependent on aircraft type, age, and the scope of overhaul required.

Small Business Impact

The data indicates this contract was not awarded to small businesses (ss: false, sb: false). Analysis of small business participation is not possible with the provided information.

Oversight & Accountability

The contract was awarded by the Department of the Army, a component of the Department of Defense. Standard DoD oversight mechanisms would apply, focusing on contract performance, quality, and financial accountability.

Related Government Programs

Aircraft Manufacturing
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Lack of detailed cost breakdown.
Limited insight into contractor performance.
No information on specific overhaul tasks.
No data on small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $52.1 million to AAL GROUP LTD.. [PIIN: W91B4M-11-C-0007] MI-17/MI-171 OVERHAUL

Who is the contractor on this award?

The obligated recipient is AAL GROUP LTD..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $52.1 million.

What is the period of performance?

Start: 2010-12-08. End: 2014-01-31.

What was the specific scope of work for the MI-17/MI-171 overhaul, and how did it compare to industry standards for similar aircraft?

The provided data does not detail the specific overhaul tasks. A comprehensive assessment would require reviewing the contract's Statement of Work (SOW) to understand the extent of repairs, part replacements, and system upgrades. Comparing this to industry standards for similar helicopter models would reveal if the scope was typical or unusually extensive, impacting the overall value.

Were there any performance issues or contract modifications during the 2010-2014 period that impacted the final cost or delivery timeline?

The data indicates the contract was awarded in 2010 and completed in 2014, with a duration of 1150 days. Without access to contract modification history or performance reports, it's impossible to determine if there were any issues. Such issues could lead to cost overruns or delays, affecting the overall effectiveness and taxpayer value.

How did the final cost compare to the initial bid price, and were there any cost savings achieved through the firm fixed price structure?

The data provides the award amount ($52,121,673) but not the initial bid price or any details on cost savings. A firm fixed price contract aims to cap costs, but actual savings or overages depend on the contractor's efficiency and any negotiated changes. A post-award analysis would be needed to confirm the financial outcomes.

Industry Classification

NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing

Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: PLOT OF LAND O4-02 SAIF ZONE, SHARJAH

Business Categories: Category Business, Foreign Owned, International Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $52,121,673

Exercised Options: $52,121,673

Current Obligation: $52,121,673

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Timeline