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To: 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. Maybe the large manufacturers will ignore it? It raises the question, why doesn't the DHS provide an explanation, if not to the general public, perhaps then to Congress?
87 posted on 08/13/2012 11:18:50 AM PDT by Errant
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To: Errant
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.

101 posted on 08/13/2012 12:18:40 PM PDT by PapaBear3625 (A deep-fried storm is coming, Mr Obama.)
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