Costs And Estimated Earnings In Excess Of Billings

9 Months Ended

Sep. 30, 2017

Costs and estimated earnings in excess of billings [Abstract]

Costs and Estimated Earnings in Excess of Billings

(5)     Costs and Estimated Earnings in Excess of Billings

Costs and estimated earnings in excess of billings, as reported on the Condensed Consolidated Balance Sheets, consisted of the following:

	As of September 30,		As of December 31,
(in thousands)	2017		2016
Claims	$	505,069	$	477,425
Unapproved change orders		295,204		207,475
Other unbilled costs and profits		102,039		146,926
Total costs and estimated earnings in excess of billings	$	902,312	$	831,826

Claims and unapproved change orders are billable upon the resolution of any disputed or open items between the contractual parties and the execution of contractual amendments. 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. For both claims and unapproved change orders, the Company recognizes revenue, but not profit. 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.