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Defense Industry Restructuring: Cost and Savings Issues

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Report Type Reports and Testimonies
Report Date April 15, 1997
Report No. T-NSIAD-97-141
Subject
Summary:

The issue of whether the Defense Department (DOD) should be paying for restructuring costs associated with acquisitions and mergers has been a controversial one--and one that is not well understood. This testimony provides a brief overview of (1) DOD's decision to pay restructuring costs, (2) the process DOD uses to ensure that paying restructuring costs is in the government's best interest, and (3) the amount and the nature of costs that DOD has paid and estimates of savings that it has realized.

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