≈$9B Defense-wide DEFINITIVE CONTRACT N0001999C1226

Nine billion dollars obligated, zero dollars outlaid — this one record shows most plainly that awarding and paying are different

Defense Contract Management Agency 1999-02-12 〜 2017-12-06

A Boeing contract administered by the Defense Contract Management Agency with an obligated value of about $8.998 billion. Total outlays on the record stand at zero. Running from February 1999 to December 2017, it is a clear case of a contract record showing not spending itself but the ceiling within which spending may occur.

Contract key facts

  • RecipientBoeing
  • Contract value$8,997,913,572 (≈$9B)
  • BranchDefense-wide
  • Awarding agencyDepartment of Defense
  • Awarding sub-agencyDefense Contract Management Agency
  • Award typeDEFINITIVE CONTRACT
  • Period of performance1999-02-12 〜 2017-12-06
  • Contract ID (PIID)N0001999C1226

Contract scope (original)

199908!1700!0757!AA4E0!NAVAL AIR SYSTEMS COMMAND !N0001999C1226 !A!*!* !19990212!20000930!161213269!006265946!009256819!N!76301!MCDONNELL DOUGLAS CORPORATION !P.O. BOX 516 !SAINT LOUIS !MO!63166!65000!510!29!ST. LOUIS !ST. LOUIS (CITY) !MISSOURI !0001!+000040000000!N!N!000000000000!1510!AIRCRAFT FIXED WING !A1A!AIRFRAMES AND SPARES !2AFX!F-18 HORNET !3721!1!*!*!*!B!A!*!D !N!L!1!001!N!1A!A!N!F!* !* !N!C!*!A!A!A!A!A!*!* !*!N!A!A!N!*!*!*!*!*!

Key points

  • Obligated value is about $8.998 billion and total outlays on the record are $0; the recipient is The Boeing Company.
  • Obligation is the ceiling the government has committed to pay and outlay is what has actually been paid — different things.
  • Of the 207 defense contracts this site holds as of 2026-09-02, 115 (56 percent) show zero outlays.
  • Across the 92 with outlays recorded, the ratio against obligation has a median of 1 percent and a maximum of 32.6 percent.
  • The description field holds an internal code string, so what was procured cannot be read from it.

1A nine-billion-dollar contract with no outlay recorded

The obligated value on this USAspending record is about $9 billion. The total outlays field on the same record reads zero. Set side by side the figures look contradictory, but they count different things. Obligation is the ceiling the government has committed to pay; outlay is what has actually left the treasury. The distinction to grasp first when reading contract records appears here in its plainest form.

2Outlays are not accumulating overall either

Obligated value of this contractAbout $8.998 billionTotal outlays are $0
Contracts with zero outlays among the 207 defense contracts this site holds as of 2026-09-0211556 percent of the total
Outlay ratio across the 92 with outlays recordedMedian 1 percentAt most 32.6 percent

This contract is not the exception. Among the records this site holds as of 2026-09-02, more than half show zero outlays. Even where outlays are recorded, the ratio against obligation has a median of 1 percent. Obligations total $1.4566 trillion, and most of that either has not yet been paid or is not reflected as outlay in this data stream.

3It changes how the figures read

Reporting on defense contracts often treats the obligated value as though it were spending. On this data, obligation is a figure marking how much may be paid going forward. On large multi-year contracts, orders accumulate year by year as appropriations allow and payment follows later still.

Where outlays remain zero after a contract has ended, the possibility that far less was ordered than the original ceiling has to be read as one explanation.

4The description as a code string

The description field on this contract holds an internal code string including the Naval Air Systems Command, not a sentence describing the work. What the record yields is the structured fields — recipient, awarding component, value, period. What was procured cannot be read from that field. This site presents what the record states and does not supply what it does not.

Why it matters

Reading defense contract values as spending misses the reality badly. In the records this site holds as of 2026-09-02, more than half show zero outlays, so obligation has to be treated as a forward-looking ceiling.

FAQ

What data is this?
A single Department of Defense (DoD) federal procurement contract recorded in "USAspending," the U.S. open government-spending dataset. The recipient, awarding component, value, and scope are public. This site is not an official U.S. government website.
Why do obligation and outlay differ so much?
Obligation is the ceiling the government has committed to pay; outlay is what has actually been paid. On multi-year contracts, orders accumulate as appropriations allow and payment follows later still.
Is the amount final?
It is a cumulative figure as of collection. Large defense contracts accumulate modifications over many years, so amounts change. The latest figure is available at the source, USAspending.

Sources (primary)

This article is an independent organization based on the U.S. official spending data below. Verify the exact, latest details with the official source.

#Defense contracts#USAspending#Boeing#Obligations and outlays#Reading the data
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