60131

Exelis, Inc.

March 1, 2017Judge D'Alessandris
Denied / Government PrevailedCost Accounting Standards (CAS)DCMA InvolvedCAS at Issue

Exelis, Inc. appealed a contracting officer's final decision asserting a government claim for noncompliance with Cost Accounting Standard (CAS) 404 regarding lease accounting. The Board denied the government's motion for reconsideration of its prior ruling.

Material Facts

  • Exelis appealed from a contracting officer's final decision asserting a government claim pursuant to CAS 404.
  • The contracting officer found that Exelis improperly treated a building lease as an operating lease rather than a capital lease.
  • The government claimed increased costs purportedly paid by the government on Exelis' contracts from 2003 through the present.

Parties

Appellant
Exelis, Inc.
Respondent Agency
Defense Contract Management Agency
Contract Number
N65236-07-C-5876
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