Executive Mosaic’s Weekly GovCon Round-Up: Platform Companies Overview, Recent Contract Wins and Top 10 Stories
Jim Garrettson, Executive Mosaic CEO
Platform Companies: A May Overview
As we look back at May, I’d like to highlight some significant contract activity and financial reporting for the major platform manufacturers and the executives that are driving the deals.
Firat H. Gezen is the president of ordnance and tactical systems at General Dynamics Mission Systems.
On May 25th, the Defense Department announcedGD won a position on a five-year, $511.2 million contract with the U.S. Army to manufacture mortar-propelling charges. The Falls Church, Va., company will compete with munitions maker American Ordnance for task orders under the firm-fixed-price contract, with work set to run through May 24, 2023. GD reportedfirst quarter 2018 net earnings of $799 million, a 4 percent increase from the same period last year, and revenue of $7.5 billion, a 1.3 percent increase over first quarter 2017.
Orlando Carvahlo is the executive vice president of aeronautics at Lockheed Martin.
On May 24th, the DoD awardedLockheed a potential $558.3 million contract with the U.S. Navy to provide sustainment services for initial production of Lot 11 F-35 Lightning II fighter jets. In addition to the Navy, the firm-fixed-price contract covers purchases from the Air Force, Marine Corps, and foreign military sales customers, with work set to run through February 2023. The Bethesda, Md., company reportedfirst quarter 2018 net earnings of $1.2 billion, compared with $789 million during the same period last year, and net sales of $11.6 billion, up from $11.2 billion in first quarter 2017.
Dr. Taylor Lawrence is vice president of Raytheon Missile Systems.
On May 30th, Reuters reportedthat Sweden plans to finalizea potential $3 billion purchase of Raytheon’s Patriot missile defense system within the next few weeks. Sweden will seek U.S. approval for the contract, which includes an option for the supply of up to 300 missiles. On May 10th, the DoD announcedthat the Waltham, Mass., company secured a potential $529.7 million contract to provide updated Rolling Airframe Missiles to the Navy and three foreign customers. Work will run through September 2023. Yesterday, May 31st, the DoD said Raytheon wona potential $847.6 million award to make an “over-the-horizon” weapon system for the Navy‘s littoral combat and frigate ships. Raytheonreportedfirst quarter 2018 net sales of $6.3 billion, an increase of 4.5 percent during the same period last year.
Leanne Caret, president and chief executive officer of Boeing Defense, Space & Security, is a two-time Wash100 award winner.
GovConWire reportedMay 30th that the Navy intends to negotiate a potential 10-year, $1.86 billion contract with Boeing for new and updated P-8A Poseidon training systems. The indefinite-delivery/indefinite-quantity contract will encompass upgrading aircrew and maintenance training systems for the Navy and the Australian air force through a foreign military sales transaction. On May 24th, the DoD announcedBoeing secured a $416.4 million contract modification covering three Lot 9 P-8A multi-mission aircraft for the Navy, with work set to occur through October 2020. Boeing postedfirst quarter 2018 revenue of $23.4 billion, a 6 percent increase during the same period last year.
Shawn Purvis is a corporate vice president and president of enterprise services at Northrop.
On May 22nd, the State Department announcedNorthrop won a $434.2 million award for updates to its ConsularOne program, used to process visas, passports and emergency services for U.S. nationals abroad. The contract stipulates that Northrop provide a “user-friendly” website to facilitate self-service, a paperless workflow, standardized functions, operational scalability and integrated information. Northrop reportedfirst quarter 2018 sales of $6.7 billion, an increase of 5 percent from first quarter 2017, and net earnings of $739 million, an increase of 14 percent during the same period last year.
Recent Contract Wins
Other significant contract wins we’re recapping include:
Orbital ATK wins Navycontract for $171M.
Carahsoft secures potential $125M agreement with DoD to provide Red Hat products.
Navyplans $1.86B contract with Boeing.
Leonardo DRS wins potential $841M Army contract.
NASAawards Ball Aerospace a$113M contract.
Orbital ATK has received a two-year, $171.2 million contract option to produce a seventh batch of Advanced Anti-Radiation Guided Missile systems for the U.S. Navyand foreign military sales customers. The company will convert 271 AGM-88B High Speed Anti-Radiation Missiles from the Navy into 253 AGM-88E AARGM all-up-rounds and eight Captive Air Training Missiles, the Defense Departmentsaid Wednesday.
Carahsoft Technology has received a potential five-year, $125 million blanket purchase agreement to provide Red Hat’s software and services to theDefense Department and related agencies. The BPA will run through April 1, 2023, and includes training and maintenance support services for DoD, the U.S. Coast Guard and intelligence agencies, Carahsoft said Wednesday.
The U.S. Navy plans to negotiate a potential 10-year, $1.86 billion contract with Boeing for the procurement of new and updated P-8A Poseidon training systems. A FedBizOpps notice posted Tuesday says the indefinite-delivery/indefinite-quantity contract will include upgrade work on aircrew and maintenance training systems for the Navy and the Australian air force through a foreign military sales transaction.
Leonardo DRS has received a potential 10-year, $841.5 million contract to supply new hardware and provide engineering services for a computing platform the U.S. Armyuses to manage networked-battle command information. DRS’ network and imaging systems team in Melbourne, Fla., will help address the Army’s Mounted Family of Computer Systems II requirement under the indefinite-delivery/indefinite-quantity contract from the Defense Information Systems Agency, the Defense Department said Friday.
Ball Aerospace and Technologies has received a $113.2 million contract to develop, build and test the main instrument components of NASA‘s upcoming observatory known as the Wide Field Infrared Survey Telescope. Ball will deliver design, analysis, fabrication, test and evaluation services supporting the development of WFIRST Wide Field Instrument components under the WFI Opto-Mechanical Assembly contract, the space agency said Thursday.
THIS WEEK’S TOP 10 NEWS STORIES
Weekly Contract Awards This week’s top GovCon contract awards: Lockheed Martin, Pond-Woolpert JV, Serco, General Dynamics and Deloitte, among others.
Steve Fieler to Succeed Cathie Lesjak as HP CFO
Steve Fieler, head of treasury and corporate finance at HP Inc. (NYSE: HPQ), has been promoted to chief financial officer of the personal computer and printer systems maker in a move that takes effect July 1.
The National Geospatial-Intelligence Agency has tapped 10 companies for content management of community-sourced data on topographic and human geography under a potential 10-year contract worth $920 million.
Mike Lawrie: DXC Eyes ‘Tuck-In’ Acquisitions
Mike Lawrie, chairman, president and CEO of DXC Technology, has said the company plans to close more “tuck-in” acquisitions as part of efforts to build up its digital offerings, CRN reported Thursday.
The Senate Armed Services Committee passed on Thursday a bill that would authorize $617.6 billion in base budget for the Defense Department and $68.5 billion in overseas contingency operations funds for fiscal 2019, The Hill reported Thursday.
AT&T plans to broaden its coverage in rural areas and advance software upgrades to facilitate the delivery of 5G services through its cell cites by leveraging its work on a national public safety broadband network with the First Responder Network Authority, Urgent Communications reported Wednesday.
A team of Raytheon Technologies (NYSE: RTX) and Northrop Grumman (NYSE: NOC) has won a five-year, $985.3 million contract to build and demonstrate an air-launched, scramjet-powered weapon system designed to operate at a speed greater than Mach 5. The service branch is obligating $100 million for the Hypersonic Attack Cruise Missile procurement effort at the
Brad Pedersen, a more than 35-year aerospace and defense industry veteran, has been named president and CEO of MD Helicopters following the acquisition of the company by an investment consortium led by MBIA Insurance and MB Global Partners. He brings to the role decades of leadership experience at aerospace and defense companies, including Boeing’s (NYSE:
The government of Poland has selected Boeing (NYSE: BA) to supply its AH-64E Apache aircraft for the Polish armed forces’ Kruk attack helicopter program. Boeing issued a statement Thursday saying the selection of its aircraft strengthens military ties between the U.S. and Poland by improving cooperation and interoperability between the U.S. Army, Poland and other