F-22a Multiyear Procurement Program: an Assessment of Cost Savings

Congress asked RAND for an independent review of whether the estimated savings from proposed multi-year contracts for 60 F-22A aircraft over three years would yield the promised savings. Researchers found that a multi-year procurement of three lots of F-22A fighters would save an estimated $411 million-about 4.5 percent of the total contract value-and that savings attributed to the multi-year contract by the contractors appear to be reasonable.