Guide
What is a system support buyout?
When a U.S. stops supporting a system, it offers the countries that operate it a last chance to buy the spare and repair parts they will need for the rest of the system's life: a , also called a life-of-type buy. The purchaser should have at least two years to place that final order. Afterwards no Supply Support Arrangement is kept for the system, and items with no demand for four years, counting the buyout period, may be processed for disposal.
What is a system support buyout?
When a U.S. MILDEP is terminating support for a particular system, or, in some instances, components of a system, it is normal practice to offer those countries having the system an opportunity to participate in what is referred to as a life-of-type buy or . If this is offered, the purchasing country must inform the MILDEP of the total remaining expected service life of the equipment and other supporting information. The MILDEP then recommends those spares and repair parts that will be required to support the system for its intended life. A list of these items is forwarded to the country for review and adjustment prior to the eventual request for an case for the agreed upon items. The international partner should have a minimum of two years to place a final order for secondary items to support the system for its remaining useful life. After the is completed, no further is maintained, nor are standard item follow-on support cases rendered for that system/component.
References
SAMM
- SAMM C6.4.7 — System Support Buyout.
- SAMM C6.7.2.2 — Follow-on Support Services.
Facts referenced
- System support buyout: the minimum period a purchaser should have to place a final order for secondary items once a MILDEP announces the system's phase out — two years (as of 11 September 2026) — SAMM C6.4.7
- System support buyout: the period without demand, counting the buyout period, after which an item may be processed for disposal — four years (as of 11 September 2026) — SAMM C6.4.7.1
Related
Military Department (MILDEP)
One of the departments within the DoD created by the National Security Act of 1947, as amended. The Military Departments are: the Department of the Air Force, the Department of the Army, and the Department of the Navy.
SAMM Glossary, as of 12 September 2026
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System Support Buyout
An opportunity for international partners to make a final purchase of major items and associated spares and support equipment of a major system that is being terminated in the DoD inventory, prior to the contracts or production being discontinued.
SAMM Glossary, as of 12 September 2026
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Cooperative Logistics
The logistics support provided a foreign government/agency through its participation in a U.S. DoD logistics system, with reimbursement paid to the USG for the support provided.
SAMM Glossary, as of 12 September 2026
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FMS — Foreign Military Sale
SAMM Acronyms, as of 12 September 2026
CLSSA — Cooperative Logistics Supply Support Arrangement
SAMM Acronyms, as of 12 September 2026
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Security Assistance (SA)
A group of programs authorized by federal statutes by which the United States provides defense articles, military training, and other defense-related services by grant, lease, loan, credit, or cash sales in furtherance of national policies and objectives, and those that are funded and authorized through the Department of State to be administered by Department of Defense/Defense Security Cooperation Agency, which are considered part of security cooperation.
SAMM Glossary, as of 12 September 2026
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LOA — Letter of Offer and Acceptance
SAMM Acronyms, as of 12 September 2026
Implementing Agency (IA)
The military department or defense agency responsible for the execution of military assistance programs. With respect to FMS, the military department or defense agency assigned responsibility by the Defense Security Cooperation Agency to prepare an LOA and to implement an FMS case. The implementing agency is responsible for the overall management of the actions that will result in delivery of the materials or services set forth in the LOA that was accepted by a foreign country or international organization.
SAMM Glossary, as of 12 September 2026
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Letter of Request (LOR)
The term used to identify a request from an eligible FMS participant country for the purchase of U.S. defense articles and services. The request may be in message or letter format.
SAMM Glossary, as of 12 September 2026
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DSAMS — Defense Security Assistance Management System
SAMM Acronyms, as of 12 September 2026
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LOR — Letter of Request
SAMM Acronyms, as of 12 September 2026
Change in Scope
A change in scope occurs when there is a change to the materiel or service requirements that change the original purpose of a contract or Letter of Offer and Acceptance (LOA). These changes may or may not change the total estimated cost of the contract or LOA as a result of (1) changes to the function/type of work; (2) increases or decreases in quantity of items; (3) increases or decreases to the amount of man years; and (4) increases or decreases to the performance period or Months.
SAMM Glossary, as of 12 September 2026
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