âWhile we canât get into specifics of individual actions, the savings include efforts such as combining our information technology infrastructure and consolidating our human resources and contracting policies and processes,â William Phelps, a spokesman for Lockheed, said in an email.
Phelps added that Lockheed continues talks with the government over the restructuring cost claim that would potentially apply to contracts held by the companyâs rotary and missions systems business in the next five years.
Pentagon agencies that include the Defense Contract Management Agency have begun to audit Lockheedâs request.
DoDâs acquisition rules authorize the reimbursement of allowable restructuring costs that include early retirement incentives and severance pay for employees if projected savings are more than $2 on every dollar spent, the report added.