Sept. 15, 1995
Brian Dunbar
Headquarters, 
Washington, D.C.
(Phone:  202/358-1547)

Allen Kenitzer
Goddard Space Flight Center, 
Greenbelt, Md.
(Phone:  301/286-8955)
Internet:  Allen.Kenitzer@ccmail.gsfc.nasa.gov

RELEASE 95-186


EOS CONTRACT HIGHLIGHTS NASA'S NEW BUSINESS PRACTICES

	After extensive discussions aimed at getting the best deal 
for U.S. taxpayers, NASA has awarded a $398.7 million contract to 
TRW Inc., Redondo Beach, Calif., for the Earth Observing System (EOS) 
Common Spacecraft.  

	"I'm very pleased with this contract," said NASA Administrator 
Daniel S. Goldin.  "It represents the new way of doing business at NASA:  
getting the absolute most for the dollar.  We asked the bidders to be 
innovative in technical design and management and realistic in estimating 
costs.  We've made NASA a better buyer and we're getting the most for the 
taxpayers."

	In May, NASA informed all offerors that their prices were 
unrealistic for the proposed technical approach.  After NASA and each 
individual firm discussed technical and cost-realism issues, each firm 
in the competitive range submitted a "best and final offer."  Those 
offers were the basis for the selection.

	The cost-plus-award-fee contract is for two spacecraft, EOS PM-1 
and EOS CHEM-1, with separate options for two additional spacecraft.  If 
both options are exercised, the contract's value will increase to $668.5 
million.  The contract became effective on Sept. 15, 1995 and with the 
exercise of both options would continue through 2012.

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	TRW will design, fabricate, integrate, test, deliver, and provide 
launch support and flight-operations support for the spacecraft.  The 
spacecraft launches begin in 2000 (PM-1).  NASA's Goddard Space Flight 
Center, Greenbelt, Md., will manage the contract.

	The EOS Common Spacecraft will serve as the platform for obtaining 
some of the 24 measurements that comprise the heart of the EOS mission.  
The EOS PM-1 spacecraft will focus on climate-related measurements of the 
Earth's atmosphere, cloud cover, precipitation, terrestrial snow cover and 
sea ice.  EOS CHEM-1 will measure a variety of chemicals in the Earth's 
atmosphere.

	EOS is the centerpiece of NASA's Mission to Planet Earth, a 
long-term coordinated program to study the Earth as a single, global 
environment.  MTPE data are already being used to study the connections 
among the Earth's air, water, land and life.  The first EOS spacecraft, 
EOS AM-1, is under construction and will be launched in 1998.  EOS will 
greatly expand MTPE's scope, with benefits ranging from improved long-term 
weather forecasting to a greater understanding of the Earth's climate.


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