Your company has just won a major contract with a foreign government, and before you can even break out the champagne, your customer instructs you to engage a specific local subcontractor.… Continue Reading
Posts Tagged: offset
There are no two ways about it. Indirect offset transactions are burdensome.
First, they’re hard to find. I’ve heard just about every idiom in the book used to describe their rarity.… Continue Reading
Satisfying offset obligations is hard. Readers will recall that offsets are financial obligations imposed on defense contractors by foreign government customers as a condition to defense procurements.
For every dollar of financial benefit the defense contractor creates in the country in question, it is given credit towards satisfying its obligation. … Continue Reading
Bill Steinman recently wrote a post for the FCPA Blog about compliance risks in offset obligations. I’d like to continue that discussion, this time with some information about international cooperation to clean up offset transactions, and how the U.S.… Continue Reading
Offset obligations. We love to hate them. While governments champion offset programs as a way to create social and economic benefits from international defense spending, aerospace and defense companies must begrudgingly accept them and then labor tirelessly to fulfill them.… Continue Reading
According to the Bureau of Industry and Security, U.S. defense firms incurred more than $30 billion in offset obligations over the last ten years.
Defense contractors face numerous risks in their efforts to satisfy offset obligations, from working with third party offset advisors to engaging subcontractors mandated by government customers. … Continue Reading