SI International purchased by UK company
Filed under: Acquisitions, England, SI International, Serco, U.S. Air Force
Serco, a large service provider from the UK with worldwide operations, announced that it had purchased the US defense contractor, SI International. The $400 M deal expands Serco into the US defense market and represents another broadening of their market base. This continues the trend of European companies buying US ones in order to reach the large DoD budget here. By buying a US company many of the technology transfer and security requirements that impact foreign companies doing business can be minimized. SI International has 4,500 employees and primarily supports the US Air Force, an area that Serco does not do much business with.
The Guardian has the story here.
GD good to Massachusetts
Filed under: Contract Awards, Federal Budget Process, General Dynamics, IT, Massachusetts, production program
According to this article, GD is rapidly expanding their facility in Pittsfield, MA due to several contracts from DoD. The Advanced Information Systems Division is responsible for developing weapon control systems and other electronic networks for Navy ships. They have recently built a new facility and have created over 140 jobs. This again illustrates how important the DoD budget is in creating high paid, high skilled jobs all over the country.
Another post on Seekingalpha.com
Filed under: Federal Budget Process, Force Protection, Industry Analysis, production program
An article I wrote about Force Protection was posted on SeekingAlpha.com here. It has received a good response, although most people don’t agree with what I wrote. The main point was that due to the cyclic nature of the DoD budget some companies are caught with a hot product that is procured in large amounts for a few years and then ends. It is not the fault of the company or DoD it is just how the budget works.
Congress, the media and the KC-45 award
Filed under: Boeing, Contract Awards, EADS, Northrop Grumman Corp., U.S. Air Force, commercial aviation, logistics, production program
I made the mistake of watching Lou Dobbs on CNN this Saturday who had a rant about the KC-45 award to Northrop Grumman and EADS. The only guest he had on was the head of the machinist union from Boeing who was obviously not unbiased. He had no guest from DoD or Northrop to talk about the award. It was clear that Mr. Dobbs does not understand how DoD buys things. Here is the video from Mr. Dobbs blog on this issue. Read more
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