Lloyd3,
They are not really taking"advantage of volume pricing", what they have done is a deceptive business practice.They never intended to buy more than last year, but seemed to have advertised an"indefinate quanity, indefinate delivery contract", for "up to 1.4 Bil" rounds.By having the vendors think they will have a chance(which they never had)to sell that much ammo, they were decieved into giving lower prices.Also, for the life of the contract( limited to one year when I was working contracts),the vendor has to reserve the capacity to fill "delivery orders" up to that amount. This makes it harder for others to get ammo.A legimate way to take advantage of volume pricing, would have been to combine her real requirements with other agency's and allow either agency to issue "delivery orders".
Mike
The answer to this "shortage" comes from a movie-- Wall Street- Gordon Gecko's classic line- "Greed is Good"!! Loved his nickname "Blue Horseshoe" too!!
