Newport News Shipbuilding Inc.'s board voted to back the $2.1 billion takeover offer from fellow defense contractor General Dynamics Corp.
over a rival offer from Northrop Grumman Corp.
Newport News, a warship builder, said in a statement its board voted unanimously to recommend the company go with General Dynamics' offer after determining it did not have enough information regarding the positions of federal antitrust regulators and defense officials to take a position on the Northrop bid. Newport News and General Dynamics announced plans to combine in April. Northrop countered with its own offer for Newport News in May. Though structured differently, Northrop's offer is about equal to that of General Dynamics. - (Reuters)