Monday, January 12, 2009

Regarding JHSV and the Aluminium Industry

In follow-up to: Remember the JHSV Contract Awarded Overbudget? and JHSV Contract Awarded Well Over Budget and Aluminium and Steel Price History.

Here is a current financial report on one of the largest aluminium producers, Alcoa. (Australian video report.) These troubles should have resulted in the DoD's budgeted aluminium costs for JHSV coming down as much as 50%. Instead, what was awarded for one vessel was an effective increase in costs. How does that happen?

Aloha, Brad

No comments: