F1SCHEDULERe-determination of contract price

PART 2Re-determination of price using a default pricing method

Change of default pricing method

Amendment of a F2default pricing method used for a F3... component of a contract

5.

(1)

This paragraph applies where the proposed pricing amendment will change the F4default pricing method used for a F5... component of the contract to another F4default pricing method (the “new F4default pricing amendment”).

(2)

The price payable in respect of the pricing amendment must be determined in accordance with the following formula—

(CPR×AC)+AC

where—

  1. (a)

    “CPR” is the contract profit rate for the F6pricing amendment, and

  2. (b)

    “AC” means the primary contractor’s allowable costs under the F7... component after the time of agreement, determined in accordance with the new F8default pricing method.

(3)

The price payable under the amended contract is the total of—

(a)

the price payable for performance under the contract (other than performance under the relevant F9... component),

(b)

the price payable for performance under the relevant F10... component on or before the time of agreement, and

(c)

the price payable in respect of the F11pricing amendment.