Projecting cost based on LRIP contract price, and ignoring the built in increases, vs the projections of Dr Carter, Adm Vinlet, and DOD as expressed in budget documents is not exactly more accurate.
As of today, not including the results of the review, the average cost of the F-35 according to those overseeing the program is not affordable. Now one certainly hopes that they can bring costs down but to say they're not living in reality based on cherry picking LRIP numbers is really not supportable.
The LRIP contract does not include long lead funding from prior years, does not include the engine (GFE), and includes a cost overrun exposure of 120% past which LM is entirely responsible. When the aircraft are actually delivered then we'll know how much they actually cost.
As of today, not including the results of the review, the average cost of the F-35 according to those overseeing the program is not affordable. Now one certainly hopes that they can bring costs down but to say they're not living in reality based on cherry picking LRIP numbers is really not supportable.
The LRIP contract does not include long lead funding from prior years, does not include the engine (GFE), and includes a cost overrun exposure of 120% past which LM is entirely responsible. When the aircraft are actually delivered then we'll know how much they actually cost.
Forecast. An interesting term loaded with a huge amount of assumptions.
Let's deal with reality instead of assumptions. The cost of every single LRIP batch has been on a sliding scale downwards.
The latest known cost for LRIP IV aircraft is $8-9m per aircraft below this "forecast". There is no reason to believe this trend won't continue as production continues to increase.
Anyone who says otherwise is denying the reality that greater numbers of a platform being produced leads directly to the reduction in the cost of that individual platform...
Smoke and mirrors are all well and good. So are contract prices. Real contracts and real deliverables are where "costs" should be taken from.
I'll continue to refer to the contract prices, it would be nice if everyone else did...