Who is involved in the Offer stage?

AFSAC Command Country Manager, DSCA Country Finance Director, DSCA Country Portfolio Director, Embassy SCO Chief (ODC / OSC), Foreign Liaison Officer (FLO), Industry Business Development, NAVSUP WSS Case Manager, Weapon System Program Office, USASAC Country Program Manager

Stage 05

LOA Offered in Foreign Military Sales

Q: How long does the Offer stage take?

LOA Offered: Single action; the LOA carries an Offer Expiration Date set by the Implementing Agency — extensions per SAMM C5.6.12.1.

Timeline: Single action; the LOA carries an Offer Expiration Date set by the Implementing Agency — extensions per SAMM C5.6.12.1

Updated 11 September 2026

After DSCA's review and approval, the Implementing Agency signs the LOA and sends it to the purchaser. The LOA is now a binding offer with a defined expiration date.

What Happens

The offer

The FMS case LOA document represents a bona fide offer by the USG to sell the described items identified in the document. The LOA becomes a case when the international partner accepts (signs) it and provides the initial deposit payment specified in the LOA. While P&A and LOA data are both estimates, an LOA is developed based on the international partner’s specific requirements and contains the most precise data available at the time the document is prepared.

Under the FMS process, a formal USG offer to sell military articles or services is communicated by presenting an LOA, complete with the authorized USG signatures, to the prospective international partner. LOAs are generally only offered in response to a specific international partner’s Letter of Request (LOR). The international partner’s LOR is referenced in each offered LOA. The LOA offer remains valid through the offer expiration date cited in the LOA. After the offer expiration date, the LOA is no longer an offer and cannot be accepted unless reinstated or reissued by the USG.

Each LOA will contain a written/digital signature by a representative of the implementing agency (IA) that generated the LOA. Additionally, each LOA will contain an electronic countersignature signifying that DSCA has reviewed and approved the LOA.

The Offer Expiration Date

Every LOA document includes an offer expiration date (OED) on the cover page.

SAMM C5.6.12.1 — Offer Expiration Date Changes.

Normally, the greater the period of time between Offer and Acceptance, the greater the likelihood of decreased accuracy of the LOA data. The OED may be extended, without a requirement for case restatement, only if requested no later than 6 months after the current valid OED expiration, the document is not cancelled (see Section C5.6.11.9.2.), and completion of IA review by the IA ensuring data are still valid for the extended period. All concerned should be advised of any consequences associated with the extension. Minor (see Section C5.6.12.2.) and MOS changes that result from the extension are updated as well. Payment schedules can only be updated to correspond with the MOS changes (see Section C5.6.12.3.).

Synced 11 September 2026 · View on samm.dsca.mil

Changes before acceptance

A pen and ink change refers to a minor change that is authorized after an LOA or LOA amendment is offered to the international partner but is made prior to the international partner’s acceptance. Pen and ink changes are generally used to correct minor administrative or arithmetic errors. The IA authorizes the international partner to make any pen and ink changes by issuing a message or memorandum.

SAMM C5.6.12.3 — Major Changes.

More significant changes, such as an increase or decrease in program scope, including a revision of the terms of sale or total costs, generally require a new or restated document. Pen and Ink changes for scope changes may be done only in exceptional circumstances and with prior DSCA (OBO/FPRE/FP) and DSCA (SPP) concurrence. Pen and Ink changes to the initial deposit or payment schedule adjustments must be approved by DSCA (OBO/FPRE/CFD) and requires an IA level evaluation of the requested changes to the payment schedule for feasibility. Changes initiated after the purchaser has signed the LOA are accomplished through a corrective Amendment or Modification implemented after the basic LOA See Section C6.7.1.6. and Section C6.7.2.3.

Synced 11 September 2026 · View on samm.dsca.mil

Key Players at This Stage

Partner nation

Foreign Liaison Officer (FLO)Partner nation military, embedded at a U.S. Implementing Agency (AFSAC, USASAC, NAVSUP WSS, or a SYSCOM)

Embassy — Security Cooperation Organization

Embassy SCO Chief (ODC / OSC)U.S. Embassy Security Cooperation Organization, under the Senior Defense Official / Defense Attaché (SDO/DATT)

DSCA

DSCA Country Portfolio DirectorDefense Security Cooperation Agency — International Operations (IOPS) / Regional Execution (REX)
DSCA Country Finance DirectorDefense Security Cooperation Agency — Office of Business Operations, Financial Policy & Regional Execution Directorate (OBO/FPRE)

Case manager

Air Force: AFSAC Command Country ManagerAir Force Security Assistance & Cooperation Directorate (AFSAC), AFLCMC/WF
Army: USASAC Country Program ManagerU.S. Army Security Assistance Command (USASAC), Regional Operations Directorate
Navy: NAVSUP WSS Case ManagerNaval Supply Systems Command Weapon Systems Support (NAVSUP WSS)

Program office

Weapon System Program OfficeMilitary Department program management office for the weapon system

Industry

Industry Business DevelopmentU.S. defense contractor

Common Pitfalls

Partner misreads LOA pricing as fixed and pushes back on later billing adjustments
OED passes without acceptance because the partner's internal approval process wasn't scoped into the offer window
The partner asks for changes too large for a pen-and-ink correction, and the LOA has to be restated and offered again
Standard Terms and Conditions translation issues delay partner-side signature

What Practitioners Watch For

International partners should strive to accept a case by the offer expiration date (OED). If this is not feasible, the international partner may request an extension from the IA. If an extension is required, the international partner should notify the IA as soon as possible, preferably in the LOR. Many considerations, such as contract deadlines for multi-country programs or policy concerns, may preclude granting an extension. International partners should note that, even if an extension is granted, cost and delivery data are estimates and subject to change over time. An extended time period between the LOA offer and acceptance may result in less accurate cost and delivery estimates. Occasionally, the USG will give the international partner a shorter than authorized OED, generally in conjunction with contractual requirements (e.g., grouping purchases for economy of scale and reduced prices for all concerned). When this occurs, the USG should advise the international partner in advance and must include a special note in the LOA explaining the reason for the short OED.

References

Drawn exclusively from publicly available authorities.

SAMM

SAMM C5.6.12.1 — Offer Expiration Date Changes.
SAMM C5.6.12.2 — Minor Changes.
SAMM C5.6.12.3 — Major Changes.
SAMM C9.3.8 — Use of Estimated Prices.
SAMM C5.6.12.4 — Unauthorized Pen and Ink Changes.
SAMM C5.6.11 — Coordination and Countersignature of Letter of Offer and Acceptance Documents.
SAMM C5 — C5 - Foreign Military Sales Planning and Case Development
SAMM C5.F9 — Letter of Offer and Acceptance Standard Terms and Conditions
SAMM C5.6.11.9
SAMM C6.1.3 — Delayed Case Implementation.
SAMM C5.6.12 — Pen and Ink Changes.

Public authorities

Letter of Offer and Acceptance Standard Terms and Conditions — LOA Standard Terms

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