Page 32: of Maritime Reporter Magazine (December 1986)
U.S. NAVY SHIP PROCUREMENT
THE FY 87 NAVY SHIPBUILDING AND CONVERSION
An Update On Market Developments
By James R. McCaul, President
International Maritime Associates, Inc.
International Maritime Asso- ciates, Inc. publishes quarterly mar- ket assessments of Navy ship and ship systems procurement. This ar- ticle is an excerpt from the Novem- ber quarterly review. Information in this article is current as of Novem- ber 1.
EDITORS NOTE: This Article is not the full quarterly report. It is an excerpt and repre- sents less than 15 percent of the actual data contained in the complete review.
HOW TO ORDER THE COMPLETE REVIEW
Every three months International Maritime Associates, Inc. publishes a detailed review of the U.S. Navy ship procurement market. These quarterly reviews (30 + pages) provide a totally objective assessment of current and prospective Navy busi- ness. Both shipbuilding and ship systems/ordnance procurement are addressed. Each reviews contains a hard hitting assessment of specific programs, lists all major con- tracts awarded by the Navy, identifies future market opportunities and provides a current directory of key Navy contacts.
More than 220 companies now subscribe to IMA's quarterly market review. The price of a one year subscription is $380. The market review can be ordered by contact- ing, International Maritime Associates, Inc., 3050 K Street N.W., Suite 345, Washing- ton, D.C. 20007, (202) 333-8501
The Navy requested funding for 24 ships in FY 1987. Congress au- thorized and appropriated funds for 21 ships. Details are shown in Ex- hibit 1.
Aegis Ships (CG and DDG)
Funds were provided to build three CG-47 cruisers and two DDG 51 destroyers. Three DDGs were au- thorized—but only two have been funded. One of the FY 87 DDGs is to be awarded to a second source builder. Todd, Ingalls, Avondale and NASSCO are planning to bid on the follow ship contract.
Coastal Minehunter (MHC)
Reflecting strong political pres- sure, the Navy developed a fall back plan to build all MHCs in the U.S. A
U.S. division of Intermarine (Italy) will receive the lead ship contract.
The Navy had wanted to build the first ship overseas and phase in pro- duction in this country. The appro- priations conferees instructed the
Navy to use FY 1986 MSH funds for this program "provided that all
MHC ships are built in the U.S. and that the follow-on ships be awarded competitively and selected by the
Navy." 34 Maritime Reporter/Engineering News