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Contractor Self-Oversight Now A Reality At Lockheed Martin

Fort Worth, Texas, January 21st, 2000 -- Lockheed Martin Tactical Aircraft Systems and the government recently signed a Memorandum of Agreement (MOA) for the aircraft manufacturer to have significantly more direct oversight on the management of property owned by the government.

Traditionally, the government leases to contractors many properties used by government contractors and exercises detailed surveillance tasks related to government property. With this MOA, those tasks are assumed by the contractor, thereby shifting the burden of property management oversight from the government to the contractor. Out of 15 property elements normally administered by the government, 14 will be subject to direct oversight by Tactical Aircraft Systems.

"We agreed to this MOA because Tactical Aircraft Systems has exhibited a real willingness to follow government procedures and perform self-oversight according to government requirements," said Dianne Blankenstein, property administrator for the Defense Contract Management Command (DCMC). "The agreement is a testament to our confidence in their management and the people they have assigned to perform this oversight."

"The signing of this MOA could not have happened without a strong sense of trust and teamwork between Tactical Aircraft Systems and the customer," said George E. Nolet, director of Compliance Assessment & Verification for Lockheed Martin. "The relationship was cultivated over the last few years where joint audits and the sharing of audit results have taken place. With the MOA, we are formalizing a relationship which is already there."

Col. Deborah Gable, commander of DCMC, said: "By the contractor taking over this important function, it relieves the government from a considerable administrative burden. This is an example of successful acquisition reform between the government and the contractor."

The MOA, which was signed in December 1999, will expire Sept. 30, 2000, with the option of renewal for the following year. That renewal will be based on fulfilling the terms and conditions of the MOA.

Lockheed Martin Tactical Aircraft Systems is a leader in the design, development, system integration and support of fighter aircraft. Its customers include the military services of the United States and allied countries throughout the world. LMTAS employs approximately 11,000 people at facilities in Fort Worth, Texas, and is a unit of Lockheed Martin Corporation.

Lance Lamberton
(817) 777-4100
e-mail: lance.c.lamberton@lmco.com