Naval Aviation

In the 1980s, the Navy began a program to replace its aging fleet of A-6 medium attack aircraft with a new aircraft--the A-12--that would incorporate stealth technology and could be launched from an aircraft carrier. In January 1991, the Navy canceled the A-12 contract due to problems the contractors had in executing the contract. This report details the status of A-12 appropriations and the expenditures that are planned because of the termination. It also discusses the lawsuit filed by the A-12's contractors against the government.

GAO found that: (1) about $3.7 billion of the $6.8 billion appropriated for the A-12 program remained unexpended when the Navy terminated the program; (2) the Navy proposed reprogramming $137.5 million of the unexpended appropriations to develop replacement aircraft; (3) the Navy proposed to use the remaining $89.3 million of unexpended appropriations for other purposes, including shutting down the A-12 program; (4) the Navy plans to spend $8.4 billion through fiscal year 1997 on the existing A-6E and F/A-18 aircraft programs due to the A-12 termination; and (5) additional expenditures related to the A-12 termination may occur if the two protesting contractors are successful in contesting the contract termination.