Costs And Estimated Earnings In Excess Of Billings

9 Months Ended

Sep. 30, 2016

Costs and estimated earnings in excess of billings [Abstract]

Costs and estimated earnings in excess of billings

(4)     Costs and Estimated Earnings in Excess of Billings

Reported costs and estimated earnings in excess of billings consist of the following:

	September 30,		December 31,
(in thousands)	2016		2015
Claims	$	435,890	$	407,164
Unapproved change orders		183,759		270,019
Other unbilled costs and profits		200,594		227,992
Total costs and estimated earnings in excess of billings	$	820,243	$	905,175

Claims and unapproved change orders are billable upon the agreement and resolution between the contractual parties. Increases in claims and unapproved change orders typically result from costs being incurred against existing or new positions where recovery is concluded to be both probable and reliably estimable; decreases normally result from resolutions and subsequent billings. Other unbilled costs and profits are billable in accordance with the billing terms of each of the existing contractual arrangements and, as such, the timing of contract billing cycles can cause fluctuations in the balance of unbilled costs and profits. Ultimate resolution of other unbilled costs and profits typically involves the passage of time and, often, incremental progress toward contractual requirements or milestones.