Loren Data Corp.

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COMMERCE BUSINESS DAILY ISSUE OF AUGUST 27,1997 PSA#1918

Aeronautical Systems Center, ASC/WMGK, 102 West D Ave., Ste 300, Eglin AFB FL 32542-6808

14 -- AGM-65H PROGRAM SOL F08626-98-R-MAVE POC Becky Kirk, Contract Specialist (850) 882-8515, ext 2242; Ms. F. Jean Lavoie, Contracting Officer, (850) 882-8515, ext 2115 The Aeronautical Systems Center (ASC), Precision Strike System Program Office (SPO), Eglin AFB, Florida, anticipates award of a firm-fixed price, sole-source contract(s) to Hughes Missile Systems Company (HMSC) for the completion of the development and qualification of the AGM-65H seeker and initial production of the Maverick AGM/TGM-65H. The AGM/TGM-65H is an electro-optical (TV) guided, rocket propelled, air-to-ground missile developed for use against small hard targets such as tanks, armored vehicles and Surface-to-Air (SAM) sites. The AGM/TGM-65H is an upgrade to and will replace the AGM-65A/B (TV) guided missile, currently aging in the Air Force inventory. This effort consists of modifying the current AGM/TGM-65A/B inventory to the new system configuration, AGM/TGM-65H. The level of effort for this acquisition is best described as a systems level contract, with HMSC providing production and complete systems integration responsibilities for the AGM/TGM-65H to the government. The initial contract isa follow-on effort to: (1) complete the development and qualification of the AGM-65H seeker by correcting the deficiencies (risk reduction phase) identified under an R&M 2000 program conducted at OO-ALC/LIW; and (2) will include option(s) for the initial production of 200-400 AGM-65H missiles with a ten-year warranty, as well as a follow-on price commitment curve for subsequent production. The above will depend on the availability of funding and the effectiveness of the risk reduction phase. Currently, only an incomplete data package for the AGM-65A/B is available, and does not include verified changes for the AGM-65H version. Therefore, it is anticipated that the Government will also award a sole-source, follow-on production contract to HMSC for the production of the AGM-65H missile with a ten-year warranty, subject to price commitment curve limitations. The government estimates the number of missiles to be modified under this follow-on production contract to be between 1200-1400. The Air Force has not made a final determination as to the total number of AGM-65H missiles that will be procured and reserves the right to change production quantity based on program requirements. The government is contemplating the possibility of an Exchange Agreement whereby AGM/TGM-65A/B missiles will be exchanged for the risk reduction phase of this effort. The AGM/TGM-65A/B missiles will be provided as-is by the government to HMSC. This procurement is contingent upon receipt of funds. An Ombudsman has been appointed to address concerns from offerors or potential offerors during the proposal development phase of this acquisition. The Ombudsman does not diminish the authority of the program director or contracting officer, but communicates contractor concerns, issues, disagreements, and recommendations to the appropriate Government personnel. When requested, the Ombudsman shall maintain strict confidentiality as to the source of the concern. The Ombudsman does not participate in the evaluation of proposals or in the source selection process. Interested parties are invited to call Col Timothy R. Kinney (850) 882-9051. Routine contracting communications concerning this acquisition should be directed to Ms. F. Jean Lavoie, ASC/WMGK, Building 11, 102 West D Avenue, Suite 168, Eglin AFB FL 32542-6807, (850) 882-8515, ext 2115 or Ms. Becky Kirk at (850) 882-8515 ext 2242 and technical questions directed to Ms. Wanda Siefke, Program Manager, (850) 882-8515, ext 2103. Collect calls will not be accepted. Note 22 applies. (0237)

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