Security for the Long Run
U.S. companies continue to land lucrative contracts with domestic and foreign customers for vessels that are designed or specially customized to meet defense, police and anti-piracy needs. Governments here and abroad, meanwhile, continue to cut budgets. Many of the security craft to be delivered this year are built to save energy, reduce emissions and reach higher speeds and greater cruising ranges than their predecessors. They have the latest tracking and communications systems. And a few new vessels are remotely operated.
U.S. Shipyards Competing – and Succeeding – Overseas
Foreign Demand For U.S. Military And Commercial Vessels Is Brisk; For Now. In the heavy shadow of possible sequestration-induced federal budget cuts, some U.S. companies are busy supplying vessels to overseas customers under the Navy’s Foreign Military Sales program and through private contracts to foreign government and firms. Demand for offshore oil vessels is strong. A big chunk of overseas business now is under the U.S. FMS, transferring defense equipment, services and training to other nations. Countries approved for the FMS pay for vessels themselves and/or with U.S. government help.
US Navy's Third Littoral Combat Ship Commissioned for Service
Lockheed Martin-led team's second Littoral Combat Ship, 'USS Fort Worth' (LCS 3) commissioned by U.S. Navy in Galveston, Texas. USS Fort Worth, the second of the Freedom-variant in the LCS class, successfully passed Acceptance Trials in May and was delivered to the U.S. Navy in June, two months ahead of schedule. "Today's global security challenges demand new and improved solutions, and the Littoral Combat Ship represents the innovation that is needed to respond to this dynamic environment," said Bob Stevens, Lockheed Martin Chairman and CEO.
Lockheed Martin Show Growth in Q! 2012 Results
Lockheed Martin Corporation (NYSE: LMT) reports first quarter 2012 net sales of $11.3 billion compared to $10.6 billion in 2011. Earnings from continuing operations during the first quarter of 2012 were $665 million, or $2.02 per diluted share, compared to $556 million, or $1.57 per diluted share, in 2011. Cash from operations during the first quarter of 2012 was $458 million, after pension contributions of $505 million and tax payments of $150 million, compared to cash from operations of $1.7 billion during the first quarter of 2011, which benefited from a tax refund of $236 million and no pension contributions. "Our strong first quarter results reflect the strength of our portfolio and the commitment of our team to deliver value to our customers and shareholders…
