{"id":2312,"date":"2019-08-26T19:43:09","date_gmt":"2019-08-26T19:43:09","guid":{"rendered":"https:\/\/www.bidlink.net\/news\/?p=2312"},"modified":"2019-09-09T17:26:15","modified_gmt":"2019-09-09T17:26:15","slug":"f-a-18-fuel-tank-valve-prices-double-after-oem-sells-division","status":"publish","type":"post","link":"https:\/\/www.bidlink.net\/news\/2019\/08\/f-a-18-fuel-tank-valve-prices-double-after-oem-sells-division\/","title":{"rendered":"F\/A-18 Fuel Tank Valve Prices Double After OEM Sells Division"},"content":{"rendered":"<figure id=\"attachment_2314\" aria-describedby=\"caption-attachment-2314\" style=\"width: 640px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/www.bidlink.net\/news\/wp-content\/uploads\/2019\/08\/FA18F_Super_Hornet.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-2314\" src=\"https:\/\/www.bidlink.net\/news\/wp-content\/uploads\/2019\/08\/FA18F_Super_Hornet.jpg\" alt=\"FA18F Super Hornet\" width=\"640\" height=\"512\" srcset=\"https:\/\/www.bidlink.net\/news\/wp-content\/uploads\/2019\/08\/FA18F_Super_Hornet.jpg 640w, https:\/\/www.bidlink.net\/news\/wp-content\/uploads\/2019\/08\/FA18F_Super_Hornet-300x240.jpg 300w\" sizes=\"auto, (max-width: 640px) 100vw, 640px\" \/><\/a><figcaption id=\"caption-attachment-2314\" class=\"wp-caption-text\">F\/A 18F Super Hornet (Photo credit: Thomas Hensely)<\/figcaption><\/figure>\n<p>It\u2019s not uncommon to see the cost of military spare parts increase when they are sole source or after a company is sold.\u00a0 <a href=\"https:\/\/www.bidlink.net\/register.php\">After reviewing NSN procurement history<\/a> on a manual check valve used on the F\/A-18 we saw significant price increases just after the sale of the original company producing that valve.\u00a0 We have seen this kind of price increase in past research based on company ownership changes, below is one example we found.<\/p>\n<p>The company initially manufacturing and selling this part to the Navy and DLA was GE Aviation \/ Smiths Aerospace up until the year 2017. \u00a0GE Aviation sold this division with new company operating (at the same location) under the name Integral Aerospace, LLC.\u00a0 We looked at the procurement history of this NSN <a href=\"https:\/\/www.bidlink.net\/register.php\">4820-01-559-1959<\/a> and at two contracts, one awarded to GE Aviation and the other awarded to Integral Aerospace.\u00a0 Contract SPE4A1-14-G-0009 was awarded to GE Aviation Systems in 2016 showing a delivery order for a quantity of 78 units, the cost was $1,333.00 each.\u00a0 Two years later Integral Aerospace LLC was awarded contract number SPE4A1-18-T-0010 for the same quantity at a price of $3,069.98 each which is more than double the price GE Aviation charged.<\/p>\n<p>GE Aviation Systems<br \/>\nSPE4A1-14-G-0009 &#8211; Quantity: 78 &#8211; Price: $1,333.00 each\u00a0 (January 2016)<\/p>\n<p>Integral Aerospace<br \/>\nSPE4A1-18-T-0010 &#8211; Quantity: 78 &#8211; Price: $3,069.98 (August 2018)<\/p>\n<p>This NSN 4820-01-559-1959 is currently open for bid again; solicitation <a href=\"https:\/\/www.bidlink.net\/register.php\">SPE7MC-19-T-160F<\/a> and DLA regularly posts requests for this item. DLA Land and Maritime notices in the past specifically stated they were looking for new sources to be qualified to manufacture this item.\u00a0 US valve manufacturers or companies capable of reverse engineering may want to look at this item.\u00a0\u00a0 This valve is classified under FSC 4820 Valves, Nonpowered; there are no drawings are available.\u00a0 The Defense Logistics Agency (DLA) currently buys over 80 of these valves per year.<\/p>\n<p><strong>What is it<\/strong>?<\/p>\n<p>This manual \u201cstop-check valve\u201d is assigned NSN 4820-01-559-1959, the current reference part numbers are 1180175-1 and 1200-1.\u00a0 This manual stop-check valve is part of the F\/A-18 aircraft fuel tank. \u00a0Several variants of F\/A-18s use this valve including the F\/A-18 Hornet and EA-18G Growler.<\/p>\n<p>DLA and its agencies are constantly looking to qualify new manufacturers on parts that have no drawings.\u00a0 Reverse engineering helps both the new manufacturer as well as the US Military.\u00a0 The new manufacturer potentially obtains new business and the Government secures a new source.\u00a0 Some companies\u2019 entire businesses exist on becoming new sources. \u00a0Foreign Military Sales (FMS) customers may also end up purchasing products from the new source. \u00a0There are 1000&#8217;s of these kinds of government contracting opportunities you just need to look for them.<\/p>\n<p>One of the best times to inquire and start the process of becoming a new government source is at open solicitation. <a href=\"https:\/\/www.bidlink.net\/register.php\">Take a look for yourself at BidLink<\/a>.<\/p>\n<p>Subscribe to BidLink.net and never miss another DoD contracting opportunity &gt;&gt;\u00a0<a href=\"https:\/\/www.bidlink.net\/register.php?id=2\" target=\"_blank\" rel=\"noopener noreferrer\">BidLink Free Trial Sign-up<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>It\u2019s not uncommon to see the cost of military spare parts increase when they are sole source or after a company is sold.\u00a0 After reviewing NSN procurement history on a manual check valve used on the F\/A-18 we saw significant price increases just after the sale of the original company producing that valve.\u00a0 We have &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.bidlink.net\/news\/2019\/08\/f-a-18-fuel-tank-valve-prices-double-after-oem-sells-division\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;F\/A-18 Fuel Tank Valve Prices Double After OEM Sells Division&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2312","post","type-post","status-publish","format-standard","hentry","category-industry_news"],"_links":{"self":[{"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/posts\/2312","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/comments?post=2312"}],"version-history":[{"count":10,"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/posts\/2312\/revisions"}],"predecessor-version":[{"id":2325,"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/posts\/2312\/revisions\/2325"}],"wp:attachment":[{"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/media?parent=2312"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/categories?post=2312"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bidlink.net\/news\/wp-json\/wp\/v2\/tags?post=2312"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}