[PapaBear3625]

An additional 750,000,000 round requirement on top of a previous 450,000,000 round government contract has got to have an effect on the ammo market. Seems pretty risky for any established bidder.

The contract obligates the bidder to deliver up to the contracted quantity at the contracted price, but does not obligate the government to actually buy at any particular time.

The net effect would be to give the government the ability to suck up all available amounts of the specified ammo types any time they want to, thus effectively removing them from the market to civilian purchasers. The bidders would also be required to maintain enough inventory to meet orders that might never come.

[Errant]

Yup, who'd want to sign a contract like that for five years, except maybe some unscrupulous crony of Obama or someone with dependable connections on the inside who'd ensure demand occured favorable to the vendor.