Raytheon Missile Systems Company

Material Facts

• Raytheon manufactured Tomahawk Missiles under Contract No. N00019-04-C-0569.
• The appeal involved liability for a price increase in JP-10 jet fuel used in the Tomahawk Missiles.
• DESC Aerospace Energy issued annual pricing memoranda for the aerospace fuels it managed.
• The pricing memoranda identified the fuels managed by DESC Aerospace Energy CBU and provided their price histories.
• DESC published a description of its standard price.
• Raytheon based its pricing of JP-10 on the price history for JP-10 alone.
• Raytheon did not seek an economic price adjustment clause for JP-10 because it viewed the risk of price fluctuation as low.
• The prior decision sustained the appeal as to the portion of the price associated with construction of a DFSP and purchase of JP-10 to stock it.
• The prior decision denied the appeal as to the portion associated with losses experienced by DESC's Aerospace Energy CBU on other commodities.

Parties

Appellant

Raytheon Missile Systems Company

Contract Number

N00019-04-C-0569