The boards of Smiths Industries plc and TI Group plc gave the green light to the proposed merger of the two British industrial giants, citing strong market prospects and potential operational synergies. Investors however, voted with their wallets, pushing shares in both companies down more than 4% in London yesterday.
Sikorsky Aircraft Corp. said it has been selected as a finalist for the Nordic Standard Helicopter Program (NSHP). The company entered its S-92 helicopter in the competition. NSHP is an arrangement between Finland, Norway and Sweden to purchase 73 helicopters for search and rescue, transport and maritime missions. "We are totally committed to winning this campaign by offering the newest and finest medium-lift helicopter in the world, the multi-mission S-92," said Sikorsky President Dean Borgman.
Although Boeing seemed to score points Monday by flying its Joint Strike Fighter before competitor Lockheed Martin, officials of both companies agree that this won't be a consideration in picking a winner for the contract to produce some 3,000 of the jets. They disagree, however, on the importance of the similarity of their concept demonstrators to production aircraft.
GENERAL ELECTRIC said a $385 million U.S. Navy contract for 73 F414-GE-404 engines to power the F/A-18E/F (DAILY, Aug. 1) is the most recent contract in a long-range Navy plan to buy 1,096 of the engines for 548 Super Hornets. Under earlier contracts for 140 engines, GE Aircraft Engines said yesterday, 70 F414-GE-400s are in service, supporting 29 Super Hornets at Naval Air Stations Lemoore and China Lake in California. The latest contract includes an option for an additional 92 engines valued at $440 million.
Globalstar Telecommunications Ltd. has tapped a fresh source of financing, with New York-based investment house Bear Sterns agreeing to buy up to $105 million worth of common shares from the company. Going forward, Globalstar needs additional financing and there's been some "anxiety" on Wall Street about the company's ability to accomplish that task, said spokeswoman Jeanette Clonan.
Dreamtime, the Silicon Valley startup that won rights to set up a multimedia operation in NASA's International Space Station modules, is looking for about 20 commercial partners worldwide who will sponsor its operations, generating profits both for themselves and for Dreamtime.
Congress is gearing up to approve a one-year renewal of the Defense Production Act, including a provision aimed at ensuring adequate productive capacity for vital defense needs. The House was scheduled to approve the reauthorization legislation, which is considered non-controversial. Rep. Spencer Bachus (R-Ala.), chairman of the House Banking monetary policy subcommittee, introduced the bill at the request of the Clinton Administration.
CACI INTERNATIONAL INC., Arlington, Va., won a $27.2 million delivery order/contract from Defense Supply Services to handle analytical and software development support for the U.S. Army Training Models (ATM) project. The ATM helps the Army's Office of the Deputy Chief of Staff for Operations and Planning (ODCSOPS) relate dollars to readiness by linking costs to the execution of approved training strategies. The application, CACI said, enables the Army to evaluate the implications of resource allocations on training and operational capabilities.
BFGOODRICH AEROSPACE said its Transient Suppression Device has earned a supplemental type certificate. The device can help operators of Boeing 737-300, -400, and -500 aircraft equipped with BFGoodrich digital Fuel Quantity Indicating Systems to comply with Airworthiness Directive AD 99-03-04.
Lockheed Martin's KC-130J refueling aircraft for the U.S. Marine Corps passed a milestone when its drogue was successfully engaged by a Navy F/A-18 at NAS Patuxent River, Md., during an Aug. 30 test, the company said.
Northrop Grumman Corp., as part of an effort to boost information technology services and build shareholder value, has inked a definitive agreement to buy Sterling Federal Systems Group, a subsidiary of Computer Associates, for $150 million in cash. The move marks Northrop Grumman's second proposed IT acquisition in less than a month (DAILY, Sept. 7).
Shares in Rockwell International took a nosedive Monday, closing down more 20% at $30.50 for the day, as management lowered earnings expectations for this year and next. Rockwell pegged earnings per share for fiscal 2000, which ends Sept. 30, in the neighborhood of $3.35, nearly 11% higher than the prior year, but falling short of Wall Street's targeted range of $3.40 to $3.45. The company blamed the revision largely on a soft domestic market outlook for automation products, which accounts for the largest portion of Rockwell's revenues and earnings.
Eaton Corp. warned that it will post earnings per share for the third quarter of fiscal 2000 that are flat or 10% below the prior year's comparable period, at $1.45 a share, but substantially short of Wall Street's $1.55 a share consensus. Alexander M. Cutler, chairman and CEO, blamed the revision on "unanticipated events" in North American truck and automotive markets, "softer industry conditions" in fluid power segment and a weaker euro.
John Martin, president of BFGoodrich Aerospace's Aviation Services Div., resigned to become CEO and president of Aviation Management Systems Inc. (AMS), a Phoenix-based aircraft overhauler. Jim Russell, currently vice president and general manager of BFG's components business unit, was named acting president of the Aviation Services Div., reporting directly to Bud Wexler, president of Aerostructures and Aviation Services Group.
Northrop Grumman deserves to trade at a premium, both because of what it has and what it doesn't - respectively, a strong operating outlook and lack of cyclical businesses, according to Prudential Securities analyst Todd B. Ernst.
Northrop Grumman Corp., Baltimore, Md., is being awarded a $43,017,332 (not-to-exceed) firm-fixed-price contract to provide for twenty AN/APG-68(V)7 fire control radar systems to the F-16 aircraft. This effort supports foreign military sales to Korea. Expected contract completion date is Sept. 30, 2003. Solicitation issue date was Sept. 15, 2000. Aeronautical Systems Center, Wright-Patterson AFB, Ohio, is the contracting activity. The point of contact is David Burkardt at (937) 255-2414. The contract number is F33657-00-C-2186.
Boeing and the Corpus Christi Army Depot in Texas have formed a partnership designed to reduce cost and boost readiness of the service's AH-64 Apache and CH-47 Chinook helicopter fleets. They will collaborate on engineering services, manufacturing technology, supply chain and material management, reliability-based analyses and configuration management.
General Dynamics' Armament Systems unit has been selected by Bell Boeing to develop a turreted gun system for the V-22 aircraft. Contract award and program start are slated for the first quarter of 2001. The $45 million contract will be for systems engineering and design, development, fabrication and testing for three full V-22 turreted gun systems, with spares, GD said Friday.
Top space officials here and in Washington are pushing for money to fund Russia's future contributions to the International Space Station, with officials of RSC Energia going so far as to suggest that its MirCorp joint venture could execute commercial contracts for space tourism and so-called reality television on the Station.
Lockheed Martin Corp., Lockheed Martin Fairchild Systems, Syosset, N.Y., is being awarded a $35,300,000 firm-fixed-price contract for the procurement of five AN/ASD-10(V) Advanced Tactical Air Reconnaissance Systems, including associated spares and engineering and logistics support for the F/A-18C/D aircraft. Work will be performed Syosset, N.Y., and is expected to be completed by July 2002. Contract funds will not expire at the end of the current fiscal year. This contract was not competitively procured.
CTL Aerospace, Inc., Cincinnati, Ohio, is being awarded a $9,183,774 requirements contract to provide for 151 (best estimated quantity) spare second stage fan stator cases applicable to the TF39 engine on the C-5 aircraft. Delivery schedules will be stated on each individual order, with earliest deliveries beginning approximately March 2001 and continuing throughout the contract period. Solicitation issue date was May 18, 2000. Negotiation completion date was July 22, 2000. San Antonio Air Logistics Center, Kelly AFB, Texas, is the contacting activity.
Raytheon Co., Tucson, Ariz., is being awarded a $9,086,270 increment as part of a $125,927,940 cost-plus-incentive-fee contract for a 42-month engineering and manufacturing development program in support of the tube-launched, optically tracked, wire-guided (TOW) fire and forget missile. Work will be performed in Tucson, Ariz. (88%); McKinney, Texas (10%), and Center Goleta, Calif. (2%), and is expected to be completed by March 15, 2004. Contract funds will not expire at the end of the current fiscal year. There were 11 bids solicited on Dec.
XM Satellite Radio, one of two companies hoping to build a new U.S. radio audience around satellite-relayed S-band broadcasts to high-end car radios, is nearing completion of the three elements it will need to make its network - two big satellites and ground repeater stations to carry the signal in urban areas, a studio complex where its 100 channels of digital radio will originate, and radios to receive the signals.
General Electric Aircraft Engines, General Electric Company, Lynn, Mass., is being awarded a $19,249,593 modification to previously awarded contract N00019-99-C-1175 to definitize the advanced acquisition contract to a firm-fixed-price for the production of 73 F414-GE-400 engines, devices, and production tooling for the F/A-18E/F aircraft. Work will be performed in Lynn, Mass. (58 %); Evendale, Ohio (25%); Rutland, Vt. (4%); Albuquerque, N.M. (4%); Madisonville, Ky. (4%); Hooksett, N.H. (3%) and Wilmington, N.C. (2%), and is expected to be completed by June 2003.
Aerospace and defense companies gave $5.2 million in soft money contributions to the Democratic and Republican national party committees in the first 18 months of the current election cycle, according to a new report by advocacy group Common Cause.
