UNCLASSIFIED. UNCLASSIFIED Navy Page 1 of 11 P-1 Line #16
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1 II xhibit -40, udget ine Item ustification: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506: ircraft rocurement, avy / 01: ombat ircraft / 1: ombat ircraft -1 ine Item umber / itle: 0193 / -8 oseidon I ode (=ervice eady, =ot ervice eady) : rogram lements for ode Items: ther elated rogram lements: ine Item /I ode: 334 esource ummary Item /I ode(s): rior ears ase otal o omplete rocurement Quantity (nits in ach) ross/weapon ystem ost ($ in illions) 8, , , , , , , , , ess dvance rocurement ($ in illions) , et rocurement (1) ($ in illions) 7, , , , , , , , , lus dvance rocurement ($ in illions) , otal bligation uthority ($ in illions) 8, , , , , , , , , (he following esource ummary rows are for informational purposes only. he corresponding budget requests are documented elsewhere.) Initial pares ($ in illions) lyaway nit ost ($ in housands) 187, , , , , , , , , ross/weapon ystem nit ost ($ in housands) 219, , , , , , , , , escription: he -8 ulti-mission aritime ircraft () system is a commercial derivative aircraft based on oeing's X. he -8 is the replacement system for the -3. he -8 will sustain and improve the armed maritime and littoral Intelligence, urveillance, and econnaissance capabilities for.. aval orces in traditional, joint and combined roles to counter changing and emerging threats. he -8 will have a substantial role in ea ower 21 and will satisfy several mission requirements in ea hield, ea trike and net. he primary roles of the -8 are persistent nti-ubmarine Warfare (W) and nti-urface Warfare (uw). he procurement funds the production of the aircraft, trainers and associated support equipment. otal I oseidon II avy age 1 of 11-1 ine #16 olume 1-131
2 II xhibit -40, udget ine Item ustification: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506: ircraft rocurement, avy / 01: ombat ircraft / 1: ombat ircraft -1 ine Item umber / itle: 0193 / -8 oseidon I ode (=ervice eady, =ot ervice eady) : rogram lements for ode Items: ther elated rogram lements: ine Item /I ode: 334 Item /I ode(s): xhibits chedule rior ears ase otal itle* xhibits I Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) 1 / -8 I-II II I () -5, -5a, / 8, / 3, / 2, / 3, / - 16 / 3, otal ross/weapon ystem ost 37 / 8, / 3, / 2, / 3, / - 16 / 3, *itle represents 1) the umber / itle for Items; 2) the umber / itle [I] for mmunition; and/or 3) the umber / itle (odification ype) for odifications. ote: otals in this xhibit -40 set may not be exact or add due to rounding. ustification: 2016 procurement funds are required for 14 ull ate roduction #3 aircraft with associated trainers and support. ealignment of requirements from to due to a change in acquisition strategy as part of the program's overall hould ost lan to reduce costs. his change in strategy, which was implemented as part of o's etter uying ower initiative will continue through the end of the program. ll cost savings associated with this initiative were consumed with the change in aircraft profile across the. 16 increase is due to the procurement of an additional 8 items which were previously procured as (22 items procured in 14, 30 items procured in 16 and out). mbedded in this acquisition strategy is the procurement of fifty-six (56) -10 adars via a multi-year procurement. he requirement of fifty-six (56) production radars is composed of nine (9) radars in 15, sixteen (16) radars in 16, twelve (12) radars in 17, twelve (12) radars in 18 and seven (7) radars in 19 with a savings of $20.7 million. funding profile reflects funding required to address remaining aircraft deficiency corrections and a higher rate of change orders anticipated in the first year of the -kit procurement and in line incorporation in the production configuration. irframe, vionics and ngine eculiar round upport quipment () requirements are derived by three factors: - ircraft quantities. - cheduled site stand up of two ain perating ases () and four rimary eployment ites (). he 14/15/16 irframe funds are in support of the 15 ite tand-up of ahrain, 16 ite tand-up of Whidbey Island and the 18 ite tand-ups of Kaneohe ay and igonella. - he establishment of epot repair capability for the entire weapon system. -8 depot investment requirements are derived from itle ore depot level maintenance and repair - and the Inter- ervice epot ource of epair () rocess. he raining ystem requirements are directly aligned to the scheduled site stand up of two ain perating ases (acksonville and Whidbey Island ) and three rimary eployment ites (Kadena, ahrain, and igonella ). ech ub funding profile reflects the requirement to develop source data and publish technical publications, such as the structural repair manual, needed as the -8 enters its operational life cycle. I oseidon II avy age 2 of 11-1 ine #16 olume 1-132
3 II xhibit -5, ost nalysis: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1 I ode (=ervice eady, =ot ervice eady) : -1 ine Item umber / itle: 0193 / -8 oseidon /I ode: Item umber / itle [I]: 1 / -8 I-II II I () esource ummary rior ears ase otal rocurement Quantity (nits in ach) ross/weapon ystem ost ($ in illions) 8, , , , , ess dvance rocurement ($ in illions) et rocurement (1) ($ in illions) 7, , , , , lus dvance rocurement ($ in illions) otal bligation uthority ($ in illions) 8, , , , , (he following esource ummary rows are for informational purposes only. he corresponding budget requests are documented elsewhere.) Initial pares ($ in illions) ross/weapon ystem nit ost ($ in housands) 219, , , , , ote: ubtotals or otals in this xhibit -5 may not be exact or add, due to rounding. ost lements lyaway ost ecurring ost nit ost rior ears ase otal (ach) otal ost ($ ) nit ost (ach) otal ost ($ ) nit ost (ach) 1.1.1) irframe/ ( ) 129, , , , , , , , , , ) lectronics - - 1, ) lectronics ) ther ) ec lyaway ubtotal: ecurring ost - - 6, , , , , on ecurring ost 1.2.1) ncillary quip ) on-ecur ost (1) otal ost ($ ) nit ost ubtotal: on ecurring ost ubtotal: lyaway ost - - 6, , , , , upport ost 2.1) irframe ) ngine ) vionics ) ec rng q (ach) otal ost ($ ) nit ost (ach) otal ost ($ ) nit ost (ach) otal ost ($ ) I oseidon II avy age 3 of 11-1 ine #16 olume 1-133
4 II xhibit -5, ost nalysis: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1 I ode (=ervice eady, =ot ervice eady) : ote: ubtotals or otals in this xhibit -5 may not be exact or add, due to rounding. ost lements nit ost -1 ine Item umber / itle: 0193 / -8 oseidon /I ode: Item umber / itle [I]: 1 / -8 I-II II I () rior ears ase otal (ach) otal ost ($ ) nit ost (ach) otal ost ($ ) nit ost (ach) 2.5) ub/ech q ) rod ng upt ) ther I ubtotal: upport ost - - 1, ross/weapon ystem ost 219, , , , , , , , , , emarks: : otals may not add due to rounding. otal ost ($ ) nit ost (ach) otal ost ($ ) nit ost (ach) otal ost ($ ) nit ost (ach) otal ost ($ ) ( ) indicates the presence of a -5a ootnotes: (1) he has increased due to the receipt of actuals to date for iminishing anufacturing ource aterial hortage (). I oseidon II avy age 4 of 11-1 ine #16 olume 1-134
5 II xhibit -5a, rocurement History and lanning: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1 ost lements ontractor and ocation -1 ine Item umber / itle: 0193 / -8 oseidon ethod/ype or unding ehicle ocation of ward ate ate of irst elivery Item umber / itle [I]: 1 / -8 I-II II I () (ach) nit ost pecs vail ow? ate evision vailable 1.1.1) irframe/ ( ) 2010 he oeing ompany (2) / eattle, W / I I an 2011 eb , ar ) irframe/ ( ) 2011 he oeing ompany (2) / eattle, W / I I ov 2011 ar , ar ) irframe/ ( ) 2012 he oeing ompany (2) / eattle, W / I I ep 2012 un , ay ) irframe/ ( ) 2013 he oeing ompany (2) / eattle, W / I I ul 2013 ay , un ) irframe/ ( ) 2014 he oeing ompany (2) / eattle, W / I I ar 2014 ay , un ) irframe/ ( ) 2015 he oeing ompany (2) / eattle, W / I I un 2015 ay , ar ) irframe/ ( ) 2016 he oeing ompany (2) / eattle, W / I I eb 2016 ay , ar 2014 Issue ate ( ) indicates the presence of a -21 ootnotes: (2) anufacturer roduction ead ime does not reflect additional 10-month lead time required for long lead items procured through the dvance rocurement contract. I oseidon II avy age 5 of 11-1 ine #16 olume 1-135
6 II I oseidon II avy age 6 of 11-1 ine #16 xhibit -21, roduction chedule: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1-1 ine Item umber / itle: 0193 / -8 oseidon Item umber / itle [I]: 1 / -8 I-II II I () ost lements (nits in ach) iscal ear 2011 iscal ear 2012 alendar ear 2011 alendar ear 2012 # I Q I ) irframe/ olume 1-136
7 II I oseidon II avy age 7 of 11-1 ine #16 xhibit -21, roduction chedule: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1-1 ine Item umber / itle: 0193 / -8 oseidon Item umber / itle [I]: 1 / -8 I-II II I () ost lements (nits in ach) iscal ear 2013 iscal ear 2014 alendar ear 2013 alendar ear 2014 # I Q I ) irframe/ olume 1-137
8 II I oseidon II avy age 8 of 11-1 ine #16 xhibit -21, roduction chedule: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1-1 ine Item umber / itle: 0193 / -8 oseidon Item umber / itle [I]: 1 / -8 I-II II I () ost lements (nits in ach) iscal ear 2015 iscal ear 2016 alendar ear 2015 alendar ear 2016 # I Q I ) irframe/ olume 1-138
9 II I oseidon II avy age 9 of 11-1 ine #16 xhibit -21, roduction chedule: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1-1 ine Item umber / itle: 0193 / -8 oseidon Item umber / itle [I]: 1 / -8 I-II II I () ost lements (nits in ach) iscal ear 2017 iscal ear 2018 alendar ear 2017 alendar ear 2018 # I Q I ) irframe/ olume 1-139
10 II I oseidon II avy age 10 of 11-1 ine #16 xhibit -21, roduction chedule: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1-1 ine Item umber / itle: 0193 / -8 oseidon Item umber / itle [I]: 1 / -8 I-II II I () ost lements (nits in ach) iscal ear 2019 iscal ear 2020 alendar ear 2019 alendar ear 2020 # I Q I ) irframe/ olume 1-140
11 II xhibit -21, roduction chedule: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1 roduction ates (ach / ear) ef # ame - ocation or or 2016 X or ine Item umber / itle: 0193 / -8 oseidon rior to ct 1 fter ct 1 Initial fg rocurement eadtime (onths) otal fter ct 1 rior to ct 1 Item umber / itle [I]: 1 / -8 I-II II I () fter ct 1 eorder fg otal fter ct 1 1 (2) he oeing ompany - eattle, W "" in the elivery chedule indicates the ontract ward ate. ote: ue to space limitations, quantities in the xhibit -21 delivery calendar are truncated and rounded based on the maximum quantity in the calendar as follows. If the maximum quantity is less than or equal to than 9,999, all quantities are shown as each. If the maximum quantity is between 10,000 and 999,999 all quantities are shown in thousands. If the maximum quantity is between 1,000,000 and 999,999,999 all quantities are shown in millions (rounded to the nearest thousand).if the maximum quantity is equal or greater than 1,000,000,000 all quantities are shown in billions (rounded to the nearest million). ootnotes: (2) anufacturer roduction ead ime does not reflect additional 10-month lead time required for long lead items procured through the dvance rocurement contract. I oseidon II avy age 11 of 11-1 ine #16 olume 1-141
12 II HI II K II olume 1-142
13 II xhibit -40, dvance rocurement udget ine Item ustification: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506: ircraft rocurement, avy / 01: ombat ircraft / 1: ombat ircraft rogram lements for ode Items: ine Item /I ode: 334 esource ummary Item /I ode(s): rior ears ase ine Item umber / itle: 0193 / -8 oseidon ther elated rogram lements: 2016 otal o omplete ross/weapon ystem ost ($ in illions) , et rocurement (1) ($ in illions) , otal bligation uthority ($ in illions) , escription: he -8 ulti-mission aritime ircraft () system is a commercial derivative aircraft based on oeing's X. he -8 is the replacement system for the -3. he -8 will sustain and improve the armed maritime and littoral Intelligence, urveillance, and econnaissance capabilities for.. aval orces in traditional, joint and combined roles to counter changing and emerging threats. he -8 will have a substantial role in ea ower 21 and will satisfy several mission requirements in ea hield, ea trike and net. he primary roles of the -8 are persistent nti-ubmarine Warfare (W) and nti-urface Warfare (uw). he dvanced rocurement funds the long lead time items required for production of the aircraft. ote: -8 will combine -14 ($152) with -15 ($29) funds for long lead-time components, material and associated effort in support of the -16 ot 7 production buy and the remaining -15 ($19) supports -10 Q for funds are available for -16 aircraft due to the decrease in the -15 aircraft quantity at -15. his provided a total of $187 for vice the normally required $300. he program plans to execute this strategy by accelerating award of the ot 7 contract from une 2016 to ebruary his accelerated award date will reduce ot 7 requirements to the $187 available. ccelerated contract award is possible in 16 only because ot 7 will be a priced option on the ot 6 base contract. otal I oseidon II avy age 1 of 4-1 ine #17 olume 1-143
14 II xhibit -40, dvance rocurement udget ine Item ustification: 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506: ircraft rocurement, avy / 01: ombat ircraft / 1: ombat ircraft rogram lements for ode Items: ine Item /I ode: 334 Item /I ode(s): -1 ine Item umber / itle: 0193 / -8 oseidon ther elated rogram lements: xhibits chedule rior ears ase otal itle* xhibits I Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) Quantity / otal ost (ach) / ($ ) 1 / -8 I-II II I () / / / / / - - / otal ross/weapon ystem ost - / / / / / - - / *itle represents 1) the umber / itle for Items; 2) the umber / itle [I] for mmunition; and/or 3) the umber / itle (odification ype) for odifications. ote: otals in this xhibit -40 set may not be exact or add due to rounding. ustification: I 2016 Q: dvanced procurement () funding is required in 2016 for long lead requirements associated with the procurement of 12 aircraft in egular ircraft rocurement funds to execute long lead requirements associated with the procurement of 16 aircraft in he dvance rocurement () funding will be used to procure long lead items such as basic commerial aircraft long lead requirements (33 months); mission/weapons systems components and -8 unique airframe components (24 months or greater production lead time). funding will also be used to procure long lead mission/weapons systems components (up to 24 months production lead time) due to the change in acquisition strategy as part of the program's overall hould ost lan to reduce costs per the o's etter uying ower initiative procures Q items for the 10 adar ulti-year rocurement. ll of these long lead items are essential to maintaining the current schedule in support of the avy leet artime atrol and econaissance () force transition from -3 to -8. rocurement Quantity should reflect: o omplete: 0 otal: 109 I oseidon II avy age 2 of 4-1 ine #17 olume 1-144
15 II xhibit -10, dvance rocurement equirements nalysis (page 1 - udget unding ustification): 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1 irst ystem (2016) ward ate: anuary I-II II I () irst ystem (2016) ompletion ate: anuary 2013 roduction eadtime (onths) -1 ine Item umber / itle: 0193 / -8 oseidon rior ears (ach) Interval etween ystems: 0 onths 2014 (ach) -5 umber / itle: 1 / -8 I-II II I () Quantity (ach) 2016 (ach) ost lement When qd (onths) rior ears ($ ) 2014 ($ ) 2015 ($ ) 2016 ($ ) - irframe.. (1) or 15 - irframe or 16 - irframe or 17 - irframe ission/weapons ystems.. (2) otal: Q or 2016 Q/ong ead or 2017 Q/ong ead or 2018 Q/ong ead or 2019 Q/ong ead otal: Q otal dvance rocurement/bligation uthority I oseidon II avy age 3 of 4-1 ine #17 olume 1-145
16 II xhibit -10, dvance rocurement equirements nalysis (page 2 - udget unding ustification): 2016 avy ate: ebruary 2015 ppropriation / udget ctivity / udget ub ctivity: 1506 / 01 / 1 ost lements -1 ine Item umber / itle: 0193 / -8 oseidon Q (ach) roduction eadtime (onths) nit ost ontract orecast ate umber / itle: 1 / -8 I-II II I () 2016 (ach) or otal ost equest ($ ) - irframe.. (1) - - or 15 - irframe - - or 16 - irframe - - or 17 - irframe ission/weapons ystems.. (2) otal: Q or 2016 Q/ong ead - - or 2017 Q/ong ead or 2018 Q/ong ead or 2019 Q/ong ead otal: Q otal dvance rocurement/bligation uthority escription: dvance rocurement will be used to procure long lead items. ootnotes: (1) he -8 ulti-mission aritime ircraft () program provides the replacement systems for the aging -3 aircraft. he dvanced rocurement funds the long lead time items required for production of the aircraft. reflects the production of the aircraft as reflected on -21. dvanced procurement () funding is required in 2016 for long lead requirements associated with the procurement of 12 aircraft in egular ircraft rocurement funds to execute long lead requirements associated with the procurement of 16 aircraft in he dvance rocurement () funding will be used to procure long lead items such as basic commerial aircraft long lead requirements (35 months); mission/weapons systems components and -8 unique airframe components (24 months or greater production lead time). ll of these long lead items are essential to maintaining the current schedule in support of the avy leet artime atrol and econaissance () force transition from -3 to -8. nit costs reflect prime vendor only and do not include production costs. (2) funding will be used to procure long lead mission/weapons systems components due to the change in acquisition strategy as part of the program's overall hould ost lan to reduce costs per the o's etter uying ower initiative procures Q items for the 10 adar ulti-year rocurement. ll of these long lead items are essential to maintaining the current schedule in support of the avy leet artime atrol and econaissance () force transition from -3 to -8. I oseidon II avy age 4 of 4-1 ine #17 olume 1-146
UNCLASSIFIED. UNCLASSIFIED Navy Page 1 of 11 P-1 Line #16
II xhibit -40, udget ine Item ustification: 2017 avy ate: ebruary 2016 ppropriation / udget ctivity / udget ub ctivity: 1506: ircraft rocurement, avy / 01: ombat ircraft / 1: ombat ircraft -1 ine Item
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