Raytheon Technologies (NYSE: RTX) plans to realign its four current businesses into three focused segments – Collins Aerospace, Pratt & Whitney and Raytheon – as part of efforts to drive the company’s technology synergies, market growth and financial targets.
Christopher Calio, chief operating officer of Raytheon, will assume additional responsibilities as president of the Arlington, Virginia-based aerospace and defense contractor on March 1 and lead the portfolio realignment initiative, which will be implemented during the second half of 2023, Raytheon said Tuesday.
“By more fully leveraging our scale, we will deliver enhanced customer solutions and unlock cost savings opportunities with improved resource allocation and a streamlined footprint,” said Calio.
Calio will bring to the expanded role his decades of experience in strategy, business management and legal matters. He previously served as president of Pratt & Whitney and held several leadership positions at United Technologies Corp.
Roy Azevedo, president of Raytheon’s intelligence and space business and a three-time Wash100 awardee, will retire from his position and support the business transformation effort by serving as an adviser to Calio.
At an earnings call Tuesday, Raytheon Chairman and CEO Greg Hayes said the planned restructuring will enable the company to align with the needs of its customers and “better collaborate on next-generation technology.”
In response to an analyst’s question about the reorganization, Hayes said the move is not about combining Raytheon Intelligence & Space and Raytheon Missiles & Defense to recreate the legacy company.
“We’re going to take the entire portfolio of RIS, Collins, RMD and move the pieces where they are most appropriately aligned from a technology and a customer standpoint. So, you may well see pieces, especially related to JADC2 moving into the Collins business,” he added.