ANNEX A SUMMARY OF RECENT POSTCOSTING RESULTS 

Results from 2010 (with 2009 figures for comparison)

1. Eight contracts priced at £1.404 billion were investigated, as follows:

 

2010
Number of
contracts

2010
Value £M
(contract price)

2009
Number of
contracts

2009
Value £M
(contract price)

Total

a.  Contracts yielding profit higher than target return agreed in contract price

b.  Contracts yielding profit less than target return agreed in contract price

8

6


2

1,404

1,227


177

8

7


1

1,057 

1,043


14

 

 

 

 

 

 

2010
Number of
contracts

2010
Value £M
(contract price)

2009
Number of
contracts

2009
Value £M
(contract price)

Contracts at (a) above which involve profit variation in excess of the 10%> "trigger figure"

Contracts at (b) above which involve losses in excess of "trigger figure"

3



1

240



23

2



0

153 



0

 

2. The overall results for all contracts, prior to any repayment to the MOD (report para 11 refers), are as follows:

 

2010

2009

Profit included in prices 
Actual profit on actual costs Variation as % on agreed costs

8.33%

11.99%

3.26%

7.38%

16.72%

8.01%

* "Trigger figure": see Annex C