A Note From Our President & Founder Jim Garrettson
What will the U.S. government services market look like when we enter 2016 and who will be in it? We received some clarity to that question early Thursday morning when Britainâs BAE Systems said it would hold onto its U.S. government manpower and services business and not push forward on efforts to sell the unit.
Market conditions, company valuations, federal budget movement and recent contract wins are the shifting sands that make handicapping the GovCon marketplace and this potential sale a murky equity equation and best left to those with an appetite for risk while eliminating the faint of heart.
BAE launched a review of the business in April after the worldâs third-largest defense contractor reported âexternal interest and a number of enquiriesâ for the unit that posted $800 million in revenue during its last fiscal year.
GovCon observers are now shifting their attention toward Lockheed Martin and L-3 Communications to find out what those companies will do with their respective government services segments.
Both companies have indicated to Wall Street they would like to reach a decision by the end of this year on whether to sell their respective units as a whole, offload in pieces or spin them off entirely into publicly-traded businesses.
One factor that could decide both outcomes is the Federal Reserveâs December meeting as investors are betting interest rates will rise from the near-zero levels Lockheed cited in its rationale behind the $9 billion Sikorsky acquisition.
Lockheedâs services unit posted nearly $6 billion in 2014 revenue and L-3âs services business recorded $1.1 billion in sales last year.
Congress OKs Revised Fiscal 2016 Defense Bill
House and Senate negotiators took out $5 billion from this new version to fall within limits set by the recent two-year budget agreement.
Executive Mosaic, the preeminent media, events and membership organization of the government contracting sector, is proud to announce the winners of the prestigious 2024 Wash100 Award. Each year, Executive Mosaic’s coveted Wash100 Award recognizes the most promising and outstanding executives to watch in the coming year. Read below for the full list of winners.
Peter Torrellas, an industry executive who has led digital transformation initiatives, has officially assumed responsibilities as a senior vice president of Cubic and president of the company’s transportation systems business division. He succeeds Jeff Lowinger, who went into retirement after being at the helm of Cubic Transportation Systems for over three years, the company said
Dan Abernathy, a two-decade government market veteran, has been named vice president and general manager of federal civilian at technology services provider Zolon Tech. The Herndon, Virginia-based company announced Abernathy’s appointment Wednesday on LinkedIn and said he brings to the role leadership, sales, marketing and business development experience. In his new capacity, he will lead