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Kathy Warden: Northrop to Merge Two Tech Services Business Areas Into One Entity

Kathy Warden

Kathy Warden, president and chief operating officer of Northrop Grumman (NYSE: NOC), has said the company will begin in 2019 to consolidate into a single unit its system modernization and advanced defense services areas that operate under its technology services business.

Warden, a three-time Wash100 recipient, told analysts Wednesday during the company’s earnings call that the plan seeks to support Northrop’s growth efforts and build up operational efficiency.

“The new structure at TS is aimed at creating a better focused organization on innovation and affordability,” she added.

Warden, who will succeed Wes Bush as Northrop CEO in January, noted that the consolidation comes as the company’s logistics business area continues to see growth and other TS segments secure new work.

She mentioned Northrop’s goal to deliver 116 F-35 aircraft fuselages this year and the company’s involvement in the competition for satellite payloads on the next-generation overhead persistent infrared GEO missile-warning platform.

Northrop ended the third quarter of 2018 with $52.6B in total backlog and reported a sales raise of 23 percent to $8.1B in the previous quarter.

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