Form SF 1435 SF 1435 Settlement Proposal (Inventory Basis)

OMB Control Number: 9000-0012
Expiration Date: 01/31/2014

SETTLEMENT PROPOSAL (INVENTORY BASIS)

Public reporting burden for this collection of information is estimated to estimated to average 2.5 hours per response, including the time for reviewing instructions,
searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments
regarding this burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the Regulatory Secretariat
(MVCB), Office of Acquisition Policy, GSA, 1800 F Street, NW, Washington, DC 20405.
FOR USE BY A FIXED-PRICE PRIME CONTRACTOR OR FIXED-PRICE SUBCONTRACTOR
THIS PROPOSAL APPLIES TO (Check one)
A PRIME CONTRACT WITH
THE GOVERNMENT

SUBCONTRACT OR
PURCHASE ORDER

SUBCONTRACT OR PURCHASE ORDER NO(S).

COMPANY
STREET ADDRESS

CONTRACTOR WHO SENT NOTICE OF TERMINATION

CITY AND STATE (Include ZIP Code)

NAME
NAME OF GOVERNMENT AGENCY
ADDRESS (Include ZIP Code)
GOVERNMENT PRIME CONTRACT NO. CONTRACTOR'S REFERENCE NO.
If moneys payable under the contract have been assigned, give the following:
NAME OF ASSIGNEE

EFFECTIVE DATE OF TERMINATION

ADDRESS (Include ZIP Code)

PROPOSAL NO.

CHECK ONE
INTERIM

SF 1439, SCHEDULE OF ACCOUNTING INFORMATION

IS

FINAL

IS NOT ATTACHED (If not, explain below)

SECTION I - STATUS OF CONTRACT OR ORDER AT EFFECTIVE DATE OF TERMINATION
FINISHED
PRODUCTS COVERED BY TERMINATED
CONTRACT OR PURCHASE ORDER

PREVIOUSLY
SHIPPED AND
INVOICED

(a)

(b)

UNFINISHED OR NOT
COMMENCED

ON HAND

TO BE
PAYMENT TO BE
INCLUDED IN THIS COMPLETED
RECEIVED
(Partial
THROUGH
PROPOSAL
termination only)
INVOICING
(e)
(c)
(d)

NOT TO BE
COMPLETED

TOTAL
COVERED BY
CONTRACT
OR ORDER

(f)

(g)

QUANTITY
$
QUANTITY
$
QUANTITY
$

SECTION II - PROPOSED SETTLEMENT
ITEM

NO.

(a)

(Use Columns (b) and (c) only where
previous proposal has been filed)
INCREASE OR
TOTAL
DECREASE BY
PREVIOUSLY
THIS PROPOSAL
PROPOSED

(b)

(c)

TOTAL
PROPOSED TO
DATE
(d)

FOR USE OF
CONTRACTING
AGENCY ONLY
(e)

1 METALS
2 RAW MATERIALS (other than metals)
3 PURCHASED PARTS
4 FINISHED COMPONENTS
5 MISCELLANEOUS INVENTORY
6 WORK-IN-PROCESS
7 SPECIAL TOOLING AND SPECIAL TEST EQUIPMENT
8 OTHER COSTS (from Schedule B)
9 GENERAL AND ADMINISTRATIVE EXPENSES (from Schedule C)
10

TOTAL (Items 1 to 9 inclusive)

11 PROFIT (explain in Schedule D)
12 SETTLEMENT EXPENSES (from Schedule E)
13

TOTAL (Items 10 to 12 inclusive)

14 SETTLEMENTS WITH SUBCONTRACTORS (from Schedule F)
15 ACCEPTABLE FINISHED PRODUCT
16 GROSS PROPOSED SETTLEMENT (Items 13 thru 15)
17 DISPOSAL AND OTHER CREDITS (from Schedule G)
18 NET PROPOSED SETTLEMENT (Item 16 less 17)
19 ADVANCE, PROGRESS & PARTIAL PAYMENTS (from Schedule H)
20

NET PAYMENT REQUESTED (Item 18 less 19)

(When the space provided for any information is insufficient, continue on a separate sheet.)
AUTHORIZED FOR LOCAL REPRODUCTION
Previous edition is unusable

STANDARD FORM 1435 (REV. 12/2013)
Prescribed by GSA - FAR (48 CFR) 53.2

SCHEDULE A - ANALYSIS OF INVENTORY COST (Items 4 and 6)
Furnish the following information (unless not reasonably available) for inventories of finished components and work-in-progress included in this proposal:

TOTAL DIRECT
MATERIALS

TOTAL DIRECT
LABOR

TOTAL INDIRECT
EXPENSES

TOTAL

FINISHED COMPONENTS
WORK-IN-PROGRESS

NOTE: Individual items of small amounts maybe grouped into a single entry in Schedules B, C, D, and G.
SCHEDULE B - OTHER COSTS (Item 8)

EXPLANATION

ITEM

AMOUNT

FOR USE OF
CONTRACTING
AGENCY ONLY

AMOUNT

FOR USE OF
CONTRACTING
AGENCY ONLY

AMOUNT

FOR USE OF
CONTRACTING
AGENCY ONLY

SCHEDULE C - GENERAL AND ADMINISTRATIVE EXPENSES (Item 9)

DETAIL OF EXPENSES

SCHEDULE D - PROFIT (Item 11)

EXPLANATION

(Where the space provided for any information is insufficient, continue on a separate sheet.)
STANDARD FORM 1435 (REV. 12/2013) PAGE 2

SCHEDULE E - SETTLEMENT EXPENSES (Item 12)

ITEM

EXPLANATION

AMOUNT

FOR USE OF
CONTRACTING
AGENCY ONLY

SCHEDULE F - SETTLEMENTS WITH IMMEDIATE SUBCONTRACTORS AND SUPPLIERS (Item 14)

NAME AND ADDRESS OF SUBCONTRACTOR

BRIEF DESCRIPTION OF PRODUCT CANCELED

AMOUNT OF
SETTLEMENT

FOR USE OF
CONTRACTING
AGENCY ONLY

AMOUNT

FOR USE OF
CONTRACTING
AGENCY ONLY

SCHEDULE G - DISPOSAL AND OTHER CREDITS (Item 17)

DESCRIPTION

(If practicable, show separately amount of disposal credits applicable to acceptable finished product included in Item 15.)
(Where the space provided for any information is information is insufficient, continue on a separate sheet.)
STANDARD FORM 1435 (REV. 12/2013) PAGE 3

SCHEDULE H - ADVANCE, PROGRESS AND PARTIAL PAYMENTS (Item 19)

DATE

AMOUNT

TYPE OF PAYMENT

FOR USE OF
CONTRACTING
AGENCY ONLY

(Where the space provided for any information is insufficient, continue on separate sheet.)

CERTIFICATE
This is to certify that the undersigned, individually, and as an authorized representative of the Contractor, has examined this termination settlement proposal
and that, to the best knowledge and belief of the undersigned:
(a) AS TO THE CONTRACTOR'S OWN CHARGES. The proposed settlement (exclusive of charges set forth in Item 14) and supporting schedules and
explanations have been prepared from the books of account and records for the Contractor in accordance with recognized commercial accounting practices;
they include only those charges allocable to the terminated portion of this contract; they have been prepared with knowledge that they will, or may, be used
directly or indirectly as the basis of settlement of termination settlement proposal or claim against an agency of the Unites States; and the charges as stated are
fair and reasonable.
(b) AS TO THE SUBCONTRACTORS' CHARGES. (1) The contractor has examined, or caused to be examined, to an extent it considered adequate in the
circumstances, the termination settlement proposals of its immediate subcontractors (exclusive of proposals filed against these immediate subcontractors by
their subcontractors); (2) The settlements on account of immediate subcontractors own charges are fair and reasonable, the charges are allocable to the
terminated portion of this contract, and the settlements were negotiated in good faith and are not fair and reasonable to its immediate subcontractors than those
that the Contractor would make if reimbursement by the Government were not involved; (3) The Contractor has received from all its immediate subcontractors
appropriate certificates with respect to their termination settlement proposals, which certificates are substantially in the form of this certificate; and (4) The
Contractor has no information leading it ti doubt (i) the reasonableness of the settlements with more remote subcontractors or (ii) that the charges for them are
allocable to this contract. Upon receipt by the Contractor of amounts covering settlements with its immediate subcontractors, the Contractor will pay or credit
them promptly with the amounts so received, to the extent that it has not previously done so. The term "subcontractors," as used above, includes suppliers.
NOTE: The Contractor shall, under conditions stated in FAR 15.403, be required to submit a Certificate of Current Cost or Pricing Data (see FAR 15.406-2 and
15.408 Table 15-2).)

NAME OF CONTRACTOR

BY (Signature of authorized official)

TITLE
NAME OF SUPERVISORY ACCOUNTING OFFICIAL

DATE

TITLE

STANDARD FORM 1435 (REV. 12/2013) PAGE 4