2.2  Project Expenditure History

Date

Description

Base Date $m

Current $m

Contractor

Notes

2.2 Project Expenditure History

 

 

 

 

 

Prior to Jul 10

 

 

282.4

 

The Boeing Company

15

 

 

 

281.5

 

US Government (AT-P-LZY)

 

 

 

 

116.4

 

US Government (AT-P-LDG)

 

 

 

 

55.2

 

ELTA Systems Ltd

 

 

 

 

67.6

 

Raytheon

14

 

 

 

668.2

 

Other

12

 

 

 

 

1,471.3

 

 

FY to Jun 11

 

 

11.3

 

The Boeing Company

 

 

 

 

0.0

 

US Government (AT-P-LZY)

 

 

 

 

7.8

 

US Government (AT-P-LDG)

 

 

 

 

6.5

 

ELTA Systems Ltd

 

 

 

 

3.4

 

Raytheon

 

 

 

 

41.1

 

Other

13

 

 

 

 

70.1

 

 

Jun 11

Total Expenditure

 

 

1,541.4

 

 

 

 

 

 

 

 

 

Jun 11

Remaining Budget

 

 

376.1

 

 

 

 

 

 

 

 

 

Notes

1

Transfer from other phases of AIR 5376.

2

Transfer from AIR 5376 Phase 1 Hornet Air Crew Training System.

3

White Paper considerations.

4

Transfer to Facilities.

5

Scope increase for Hornet Air Crew Training System.

6

Administrative Savings Harvest.

7

Transfer to Facilities.

8

Decrease for Radio Frequency Jammer.

9

Skilling Australia's Defence Industry harvest.

10

Scope increase to include Hornet Electronic Warfare Self Protection Suite upgrade being conducted under Phase 2.3.

11

Up until July 2010, indexation was applied to project budgets on a periodic basis. The cumulative impact of this approach was $314.3m. In addition to this amount, the impact on the project budget as a result of out-turning was a further $9.2m having been applied to the remaining life of the project.

12

Other expenditure comprises: operating expenditure, contractors, consultants, other capital expenditure not attributable to the aforementioned top 5 contracts and minor contract expenditure. As the prime systems integrator, the Commonwealth is undertaking a strategy of incremental contracting of work packages as they are defined, this has included engaging in over 12 FMS cases with the US Government to support various stages of the project. Other expenditure includes an amount of $93.5m on aircraft software upgrade FMS cases and an additional $130.7m on other major FMS cases for items such as the Multifunctional Information Distribution System, Joint Helmet Mounted Cueing System, Risk Reduction, and Hornet Upgrade support activitiesIn addition $29.9m on Counter Measures Dispenser Sets and pylon modification kits from SAAB AB and $30.2m has been spent on fleet modifications by Boeing Defence and BAE Systems Australia.

13

Other expenditure comprises: operating expenditure, contractors, consultants, other capital expenditure not attributable to the aforementioned top 5 contracts and minor contract expenditure. In particular $5.4m on FMS Case AT-P-GOD for the procurement of Risk Reduction and Test and Evaluation services, $5.6m on FMS Case AT-P-GQP for 23X Software configuration set expenditure, $6.6m on Operating Expenditure, $1.0m on Hornet Data Recorder from Elbit, $1.2m for Defence Interagency agreements, $2.0m on Counter Measures Dispenser Sets and pylon modification kits from SAAB AB, $2.3m in Management Support, $13.0m in aircraft and pylon modification expenditure and $4.0m in miscellaneous expenditure.

14

Variance from previous reporting year due to incorrect reporting in US dollars.

15

Variances from previous reporting year due to duplication of spend against two separate purchase orders for this contract.