2.3 In-year Budget Expenditure Variance

Estimate
$m

Actual
$m

Variance
$m

Variance Factor

Explanation

(2.0)

FMS

Under-achievement against the plan of approximately $41m is driven mainly by slippage of two System Acquisition Contract (SAC) Milestones (approximately $30.0m), replanning of spend associated with further spares buys for In Service Support requirements (approximately $16.0m) and final invoice received from DSG for Tindal Facilities coming in $7.0m below the forecast figures. All are offset in part by bringing forward of approximately $16.0m associated with second spares delivery.

(29.1)

Overseas Industry

Local Industry

Brought Forward

Cost Savings

FOREX Variation

(9.8)

Commonwealth
Delays

217.1

176.2

(40.9)

Total Variance