SUBSIM Radio Room Forums - View Single Post - Report: Britain, Italy May Slash Eurofighter Orders

Skybird · 12-15-07, 03:08 PM

What is that you don't get?

The developement costs have been poayed by whom...? Heaven? Future generations? The man in the moon? No, they got payed by taxes. And that is real money. when selling the plane in the future, that payment is not nullified. It remains to have been a real transaction. You do not realise that you reason it out of the formula, as if the current fly-away-price is unlinked to that early investements. Boy, now don't make it more difficult then it is! why do you think they make a difference between so-called fly-away-price, program price, and system price? Fly-away price is the cost of a single unit at a given time, without support, logistic, future investement, additonal packages. System price includes all that, exclduing developement costs. Program price means all costs included, including developement. It is not wrong that you want to mention fyl-away-prices only, but you hide by that that there is a program price nevertheless. And if it is a foreign customer whose taxes were not used during developement, it simply means that you accept to sell hiom the item far below it's real value, and nthat American tax payers already had to compensate for that. That is what is called a self-subventing system.

really, we have these price spans concenring the eurofighter as well, fly away-price versus prograsm price, and I talked about it with people who really know that kind of stuff a bit. In the main I just repeat what I have learned from them, becasue it sounded perfectly reasonably to me.

the real value of an item is not the fly-awqay-price, but is calcuated by the program price, or project price as you call it. that's why the vlaue of an F-22 is much higher than the 135 Mio you have given. Only if oyu would have just copied it from somebody else, and did not had to spend any money into design, research and developement yourfself, your view would be correct. that is, in principßal, the situation for the foreign customer as long as he does not get added a share of develoepemnt costs to the fly-away price, or better: system price, since planes do get sold in service packages, not just the plane and that's it.

Yes, I know, you still disagree and think I have lost my mind. Well, so be it. But there is no reason in repeating myself again. So, file closed over here.

12-15-07, 03:08 PM	#15
Skybird Soaring Join Date: Sep 2001 Location: the mental asylum named Germany Posts: 42,731 Downloads: 10 Uploads: 0	What is that you don't get? The developement costs have been poayed by whom...? Heaven? Future generations? The man in the moon? No, they got payed by taxes. And that is real money. when selling the plane in the future, that payment is not nullified. It remains to have been a real transaction. You do not realise that you reason it out of the formula, as if the current fly-away-price is unlinked to that early investements. Boy, now don't make it more difficult then it is! why do you think they make a difference between so-called fly-away-price, program price, and system price? Fly-away price is the cost of a single unit at a given time, without support, logistic, future investement, additonal packages. System price includes all that, exclduing developement costs. Program price means all costs included, including developement. It is not wrong that you want to mention fyl-away-prices only, but you hide by that that there is a program price nevertheless. And if it is a foreign customer whose taxes were not used during developement, it simply means that you accept to sell hiom the item far below it's real value, and nthat American tax payers already had to compensate for that. That is what is called a self-subventing system. really, we have these price spans concenring the eurofighter as well, fly away-price versus prograsm price, and I talked about it with people who really know that kind of stuff a bit. In the main I just repeat what I have learned from them, becasue it sounded perfectly reasonably to me. the real value of an item is not the fly-awqay-price, but is calcuated by the program price, or project price as you call it. that's why the vlaue of an F-22 is much higher than the 135 Mio you have given. Only if oyu would have just copied it from somebody else, and did not had to spend any money into design, research and developement yourfself, your view would be correct. that is, in principßal, the situation for the foreign customer as long as he does not get added a share of develoepemnt costs to the fly-away price, or better: system price, since planes do get sold in service packages, not just the plane and that's it. Yes, I know, you still disagree and think I have lost my mind. Well, so be it. But there is no reason in repeating myself again. So, file closed over here. __________________ If you feel nuts, consult an expert.