LETTER (SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-03330A000800080016-4
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 3
• Document Creation Date: December 23, 2016
• Document Release Date: March 18, 2014
• Sequence Number: 16
• Publication Date: March 10, 1955
• Content Type: LETTER

ima et Iirugrs
Declassified in Part - Sanitized Copy Approved for Release 2014/03/18: CIA-RDP78-03330A000800080016-4
'MOW Ilel NO
U.S. OFFI ALS ONLY CONFluLiA
?
10 March 1955
Via Airmail - Registered
Return Receipt Requested
CMCC Doc. No. 151.603
Copy of 3
Page T-of 3
has asked me to write and advise you of the following facts
regarding Contract
Unexpected difficulties are being experienced in securing proper
operation of the high-seed magnetic recorder constructed under Schedule B
of the contract. These difficulties arise from the great increase in tape
speed over that previously emoloveci when the equipment was used in con-
nection with As a result of the recorder
difficulties, initiation of field testing has been delayed approximately five
weeks, and hence the completion of the work and submission of the final
report will be correspondingly delayed.
Althou h our initial proposal for this work was based on an overhead
rate of we now anticip the company overhead rate for 1954
will be in the neighborhood of Air Force audit of our 1954 operations
is still in process, and it w ome little time yet before the overhead
rate is finally established. s the present estimate for overhead during
the first half of 1955, although it is also difficult to forecast this rate pre-
cisely. Based on these assumptions regarding overhead rates, we anticipate
that the funds originally planned to cover Schedule B of the contract will be
expended as of the presently scheduled termination date of 18 March 1955.
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Accordingly, an extension of the expiration date on Schedule B of the
contract is requested from 18 March to 25 April 1955, involving additional
costs of the detail of which is shown on the attached sheet. This 50X1
extension will include the time necessary for the preparation and completion
of the final report.
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LTS. OFFICI RONET cONri RIAU
Declassified in Part - Sanitized Copy Approved for Release 2014/03/18: CIA-RDP78-03330A000800080016-4
Ask Rem
Declassified in Part - Sanitized Copy Approved for Release 2014/03/18: CIA-RDP78-03330A000800080016-4
%IF Ism ihar Ism I
U.S. OFFICIA ONLY
10 March 1955
CMCC Doc. No. 151.603
Copy 21 of 3
Page 2?of 3
Work on Schedule A is expected to terminate on 18 March 1955 as
planned, but it is our understanding that charges can continue during an
additional three-week period for the preparation and submission of the final
report. No overrun of costs is anticipated on Schedule A.
Enclosure:
Additional Cost Estimate
Schedule A, Contract
Yours very truly,
Director of
Administration and Finance
:
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hale r ? p
S 0 SRI
SE
U.S. OFFICI S ONLY
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Declassified in Part - Sanitized Copy Approved for Release 2014/03/18: CIA-RDP78-03330A000800080016-4
Declassified in Part - Sanitized Copy Approved for Release 2014/03/18: CIA-RDP78-03330A000800080016-4
m.01
Engineering
Technician
Drafting
Total Direct Labor
Overhead at
Total Cost
U.S. OFFICIALS ONLY
CMCC Doc. No. 151.603
Copy of 3
Page T-of 3
10 March 1955
ADDITIONAL COST ESTIMATE
SCHEDULE A, CONTRACT
ET
U.S. OFFICIALS ONLY
Declassified in Part - Sanitized Copy Approved for Release 2014/03/18: CIA-RDP78-03330A000800080016-4
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