Contract Pricing: Material Prices Overstated on Tank Thermal Sights

摘要

The report is a pricing review of the $404,943,970 multiyear contract, DAAA09-79-G-2001-0045, awarded to Texas Instruments Incorporated, Defense Systems and Electronics Group, Dallas, Texas, by the U.S. Army Armament, Munitions and Chemical Command, Rock Island, Illinois. This contract is for the 5-year production of 4,125 AN/VSG-2 tank thermal sights. The objective was to determine if Texas Instruments had complied with the Truth in Negotiations Act (Public Law 87-653) by providing accurate, complete, and current cost or pricing data and whether the contracting officer used the data to negotiate fair and reasonable prices.