Lockheed Martin Knew the Rules
- Share via
Re “Panel Backs Lockheed as Tollways Collector,” July 24:
In today’s government-contract bidding world it is very different than the old “cost plus” days. If you underbid, you might negotiate to recover your losses, but don’t plan on negotiating a profit. As a major defense contractor, Lockheed Martin is well aware of how this works.
The government’s new bidding system keeps shady operators from low-balling to undercut honest bidders and then coming back to ask for what was the real cost. The Times has pointed out that Lockheed Martin is doing toll collecting all over the country. How did they bid so badly? If it was an honest mistake, they can forgo their profits on this contract, but shouldn’t take a loss.
LEON H. COLEMAN
Westminster
Inside the business of entertainment
The Wide Shot brings you news, analysis and insights on everything from streaming wars to production — and what it all means for the future.
You may occasionally receive promotional content from the Los Angeles Times.
