Summary: GAO reviewed the major issues concerning the status of submarine construction at the General Dynamics Corporation's Electric Boat Division. Electric Boat is the designer and sole builder of the Trident class ballistic missile submarine and is one of the two builders of the SSN-688 Los Angeles class attack submarine.
GAO found that through the years, and especially in 1981, both programs have experienced delivery delays and construction problems. However, the situation at Electric Boat is more stable. With an increase in skilled workers and productivity improvements underway, contractual delivery dates are achievable. Electric Boat has taken action to increase its skilled work force, and the Navy and Electric Boat are working together in the early stages of a productivity improvement program. GAO found that Electric Boat continues to experience cost difficulties with its SSN-688 class submarine construction program. Planned modifications on some Trident and SSN-688 submarines will affect progress on construction and increase cost. With the introduction of the new Trident II (D-5), the construction period is estimated to be extended 1 year and add about 2 million labor hours to the construction estimate. However, the effect of the of the D-5 missiles and vertical launch system installation has not been fully determined.