The need for reliable parametric cost information in the early design stage is paramount in both the commercial and military aircraft industries. This cost information is typically used for establishment of market prices, design-to-cost targets and decision support for evaluation of bid decisions and proposals. Northrop Grumman' s Commercial Aircraft Division (CAD) has combined Artificial Intelligence techniques and Parametric Cost Analyses to provide our management the opportunity to make informed decisions regarding the cost of an aircraft or aircraft component in the concept development or requirements phase of a program. This paper is presented to show an overview of CAD's method of Artificial Intelligence and Parametric Analysis techniques already in use.