Supreme Foodservice GmbH
Docket: ASBCA 60250, ASBCA 60309
Decision date: 2021-03-02

ARMED SERVICES BOARD OF CONTRACT APPEALS 
 
OPINION BY ADMINISTRATIVE JUDGE O’CONNELL 
 
 In the Board’s May 27, 2020, post-hearing decision, we remanded to the parties 
for a limited quantum determination.  Specifically, the Board remanded for the parties to 
calculate final truck rates based on our various findings.  In addition, we directed the 
parties to calculate the net amount due a party after consideration of the final truck rates 
and government withholdings.  Supreme Foodservice GmbH, ASBCA No. 57884 et al., 
20-1 BCA ¶ 37,618, recon. denied, 20-1 BCA ¶ 37,716. 
 
 In a January 29, 2021, joint letter to the Board (jt. ltr.), the parties reported that 
they had completed these calculations and requested that the Board issue an order 
adopting their quantum amounts.  The Board grants this request, as follows.   
 
  
Appeals of - )  
 )  
Supreme Foodservice GmbH ) 
) 
ASBCA Nos. 57884-QUAN, 58666-QUAN 
                       59636-QUAN, 61361-QUAN 
 )  
Under Contract No. SPM300-05-D-3130 )  
   
APPEARANCES FOR THE APPELLANT: Philip J. Davis, Esq. 
John R. Prairie, Esq. 
Rand L. Allen, Esq. 
Tara L. Ward, Esq. 
J. Ryan Frazee, Esq. 
  Wiley Rein LLP 
  Washington, DC 
     
APPEARANCES FOR THE GOVERNMENT: Daniel K. Poling, Esq. 
    DLA Chief Trial Attorney 
 Steven C. Herrera, Esq. 
Kari L. Scheck, Esq. 
J. Maxwell Carrion, Esq. 
    Trial Attorneys 
    DLA Troop Support 
  Philadelphia, PA 

2 
 Final Truck Rates  
 
 For the period from December 2005 until December 14, 2012, the final rate is 
$0.23 per pound.  During this period, Supreme delivered 2,392,143,150 pounds of 
Premium Outbound Transportation (POT) cargo.  It is entitled to POT fees of 
$550,192,924.50 for this period.  (Jt. ltr. at 1-2)  
 
From December 15, 2012 to December 14, 2013, the final rate is $0.24 per pound.  
During this period, Supreme delivered 380,068,757 pounds of POT cargo.  It is entitled to 
fees of $91,216,501.68 for this period.  (Jt. ltr. at 1-2)    
 
Gross trucking quantum is $641,409,426.181 (jt. ltr. at 2).    
 
Net Amount Due 
 
As a result of the findings in the Board’s May 27, 2020, opinion with respect to 
rotary and fixed wing deliveries and the above determination of trucking quantum, 
Supreme is entitled to a total of $1,369,618,849.55 in POT fees2 (jt. ltr. at 2). 
 
DLA paid Supreme $1,767,473,638 for POT.  Supreme Foodservice GmbH, 20-1 
BCA ¶ 37,618 at 182,631.  (Jt. ltr. at 2)  Thus, DLA overpaid Supreme by 
$397,854,788.453 (id.)  The government subsequently withheld more than this amount 
from payments to Supreme.  Specifically, it withheld $540,832,442.70 (id.).  Of this  
  
                                              
1 $550,192,924.50 + $91,216,501.68 = $641,409,426.18  
2  $405,472,897.96 (rotary) + $172,785,730.61 (rotary with government provided fuel) + 
$149,950,794.80 (fixed wing) + $641,409,426.18 (truck)  
= $1,369,618,849.55.  Supreme Foodservice GmbH, 20-1 BCA ¶ 37,618 
at 182,635-36; (jt. ltr. at 2)      
3 $1,767,473,638 - $1,369,618,849.55 = $397,854,788.45  

3 
withheld amount, the government is entitled to retain $397,854,788.45.  Supreme is 
entitled to the remainder, $142,977,654.254 (id.). 
 
 Dated:  March 2, 2021 
 
 
 
 
 
 
 
 
 
 
 
MICHAEL N. O’CONNELL 
Administrative Judge 
Armed Services Board 
of Contract Appeals 
I concur 
 
 
 
RICHARD SHACKLEFORD 
Administrative Judge 
Acting Chairman 
Armed Services Board 
of Contract Appeals 
 I concur 
 
 
 
 J. REID PROUTY 
Administrative Judge 
Vice Chairman 
Armed Services Board 
of Contract Appeals 
 
 
  
                                              
4 DLA states in the Joint Letter that it has claims totaling $88,494,087.78 against 
Supreme in three pending appeals (ASBCA Nos. 60250, 60309, and 61370) and 
that it anticipates that the Defense Finance and Accounting Service will continue 
to withhold from payment to Supreme this amount, as well as any applicable 
interest or fees on the $397,854,788.45 overpayment (jt. ltr. at 2).  The Board 
expresses no opinion with respect to either the merits of ASBCA Nos. 60250, 
60309, and 61370, or the government’s entitlement to interest or fees on the 
overpayment.   


4 
 I certify that the foregoing is a true copy of the Opinion and Decision of the 
Armed Services Board of Contract Appeals in ASBCA Nos. 57884-QUAN, 
58666-QUAN, 59636-QUAN, 61361-QUAN, Appeals of Supreme Foodservice GmbH, 
rendered in conformance with the Board’s Charter. 
 
 Dated:  March 3, 2021  
 
 
 
 
 
 
 
 
PAULLA K. GATES-LEWIS 
Recorder, Armed Services 
Board of Contract Appeals