DEF-16 REDUCE THE NUMBER OF AIRCRAFT CARRIER BATTLE GROUPS TO 10

                                   Annual Savings                 Cumulative
                                (Millions of dollars)              Five-Year
Savings from         -----------------------------------------      Savings
CBO Baseline         1994     1995      1996     1997     1998
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Savings in Total Federal Budget

Budget Authority      570     4,980     2,680    3,690    4,460     16,380

Outlays               410     1,510     2,670    3,850    4,560     13,000

Savings in Defense Budget

Budget Authority      650     5,210     3,030    4,180    5,040     18,110

Outlays               480     1,730     3,010    4,310    5,130     14,660
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NOTE:  Savings in the federal and Department of Defense budgets differ
       because of the effects of accrual accounting for military retirement
       and other pay costs that are offset in the federal budget.

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