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Air Force

Cost Escalation of U-2 Repairs One of 21 Depot Maintenance Contracts of Concern for DoD IG

Frank Wolfe

Monday, July 25th, 2022

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Cost Escalation of U-2 Repairs One of 21 Depot Maintenance Contracts of Concern for DoD IG

A U.S. Air Force U-2 Dragon Lady pilot sits in the cockpit of the aircraft on Sept. 29, 2021 at Beale AFB, Calif. (Air Force Photo)

A potentially $2.6 billion contract awarded on Apr. 1, 2019 to Lockheed Martin [LMT] for sustaining the U-2 reconnaissance aircraft is one of 21 depot maintenance contracts of concern for the Pentagon Inspector General (IG). "DoD contracting officials may not have negotiated fair and reasonable prices for 21 of 34 sole‑source and single‑source depot maintenance contracts in our sample, valued at $4.6 billion, as required by the FAR [Federal Acquisition Regulations]," the DoD IG said in a new report. For…

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