Naval Aviation:

Navy A-12 Aircraft Funding Status

NSIAD-91-171: Published: Mar 22, 1991. Publicly Released: Mar 22, 1991.

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Pursuant to a congressional request, GAO provided information on funding, expenditures, and progress payments for the Navy's A-12 aircraft contract, which the Navy terminated for default in January 1991.

GAO found that: (1) appropriations for the A-12 program totalled just over $6.7 billion, and the Navy had spent just over $3 billion at termination; (2) research and development and miscellaneous support costs accounted for $300 million of the expenditures; and (3) the Navy demanded that the contractor return $1.35 billion of the $2.7 billion it paid for the full-scale development effort and for the first two production options, since the $1.35 billion represented progress payments for work it had not accepted as of contract termination.