Armed Reconnaissance Helicopter canceled

[unhappycamper]

Costly program
ARH was to replace the Kiowa Warrior, pictured.


Armed Reconnaissance Helicopter canceled
By Gina Cavallaro - Staff writer
Posted : Thursday Oct 16, 2008 21:29:48 EDT

The Defense Department late today scrapped the $6.2 billion program to replace the aging OH-58D Kiowa Warrior with the Armed Reconnaissance Helicopter, citing cost overruns.

The Army announced in July that the contract with Bell-Textron was then more than 40 percent over cost, triggering a program review under legislation known as the Nunn-McCurdy statute.

John Young, undersecretary of Defense for acquisition, technology and logistics announced late Thursday that DoD notified Congress that, as a result of the review, it would not re-certify the program because “the fundamental cost and schedule basis underlying award of the ARH is no longer valid.”

“Rather than continue this program,” Young said in a news release, “I have decided that the best course of action is to provide the Army with an opportunity to define a coherent, disciplined Kiowa Warrior helicopter replacement program, and to obtain more rigorous contract terms for its development.”

Army Secretary Pete Geren echoed those comments in a press release.


Rest of article at: http://www.armytimes.com/news/2008/10/army_arhprogram_cancelled_101608w/%2e



uhc comment: Nunn-McCurdy licks in at a 25% cost overrun.