Comments on: Navy and Marines buy more M16s

By: Steve

Steve — Wed, 19 Mar 2008 08:10:40 +0000

haha, mistake in pricing. Is this a common practice?

Thanks for the update

By: Daniel E. Watters

Daniel E. Watters — Tue, 18 Mar 2008 23:20:10 +0000

I was scouring through TACOM-RI to see if any contracts had been updated, and noticed new entries for W52H09-08-D-0122. The upshot is that Colt claimed a mistake in their pricing, and TACOM wouldn’t budge on the quoted price. As a result, TACOM allowed Colt to back out of their delivery order of 20,000 M16A4 for the USMC. To keep the contract on life support, TACOM added a mere 154 M16A4 for FMS.

The value of the contract dropped from $15,925,000 to $122,430. OUCH!

By: Steve

Steve — Sat, 09 Feb 2008 00:30:30 +0000

Thanks for the info. Much appreciated!

By: Daniel E. Watters

Daniel E. Watters — Sat, 09 Feb 2008 00:28:17 +0000

Bushmaster does not supply rifles for US military issue. However, TACOM has ordered from them in the past to fulfill Foreign Military Sales (FMS).

By: Steve

Steve — Sat, 09 Feb 2008 00:14:30 +0000

Thanks for the update.

To what extent, relative to colt and FN, has bushmaster supplied the US military?

By: Daniel E. Watters

Daniel E. Watters — Sat, 09 Feb 2008 00:09:17 +0000

Oops, it looks like Bushmaster’s award for USN M16A3 was canceled on January 30.

By: Steve

Steve — Sun, 03 Feb 2008 01:11:48 +0000

Very interesting, thanks.

By: Daniel E. Watters

Daniel E. Watters — Sun, 03 Feb 2008 00:28:56 +0000

While attempting to look up the particulars on the recent TACOM awards to FN and Colt for US Navy M16A3 and USMC M16A4, I found a third contract award from the same solicitation. Bushmaster got it: W52H09-08-D-0120. Details of the delivery order follow:

SUPPLEMENTAL INFORMATION
1. Delivery Order 0001 obligates a quantity of 5,631 M16A3 Rifle, NSN 1005-01-357-5112, PN 12012000 in accordance with the terms and conditions of the basic contract W52H09-08-D-0120. As this order is in excess of the guaranteed minimum quantity of 5,630 each, the Government is under no further obligation to place any additional orders.

2. The award is processed against Ordering Period 1 (Award through 31 December 2008) and the following CLINS are awarded:

Clin 0008AA - First Article Test for $20.000.00.
Clin 0008AB - 5,631 M16A3 Rifle, 5.56mm, NSN 1005-01-357-5112 at unit price of $715.00 each for a total of $4,026,165.

3. This delivery order is awarded FOB Origin.

4. Accelerated deliveries are acceptable at no cost to the Government and only at the express permission of the Contracting Officer.

5. Total value of Delivery Order 0001 is $4,046,165.

Delivery is to NSWC-Crane. This does not appear to be a FMS order given that the latter are typically billed by TACOM to the US Army, not the US Navy. In addition, no FMS Country Code was listed.

Of course, the acid test is whether Bushmaster’s rifle will pass the First Article Test. Previous TACOM orders for Bushmaster were for commercial rifles and carbines; note the lack of a proper NSN on the previous orders for FMS clients.