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03 Jun 05. L-3 Communications Holdings Inc. (NYSE:LLL – News) on Friday said it would buy Titan Corp. (NYSE:TTN – News) for about $2bn in cash, expanding its reach in defense-intelligence services. The deal is the latest by acquisition-hungry L-3, which has grown into one of the U.S.’s leading defense technology companies with dozens of deals since its formation in 1997. L-3, which makes secure communications systems, chiefly for the U.S. military, hopes the deal will capitalize on the Pentagon’s increased emphasis on networks and information technology rather than traditional military hardware. As a condition of the deal, Titan agreed to settle shareholder suits in California and Delaware relating to a foreign bribery probe. In March, Titan pleaded guilty to making illegal payments to officials in Benin, paying $28.5m to the federal government to settle the matter. (Source: Reuters)

26 May 05. Stewart & Stevenson Services, Inc. (NYSE: SVC) announced results for the first quarter of fiscal 2005, which ended on April 30, 2005. Sales for the first quarter of fiscal 2005 totaled $311.6m compared to sales of $262.4m in the same period a year ago. Net earnings in the first quarter of fiscal 2005 were $7.7m, or $0.26 per diluted share, compared to $5.4m, or $0.19 per diluted share, in the first quarter of fiscal 2004. Net earnings from continuing operations in the first quarter of fiscal 2005 were $9.3m, or $0.32 per diluted share, compared to $8.8m, or $0.30 per diluted share, in the first quarter of fiscal 2004. On April 8, 2005, the company completed the acquisition of Automotive Technik (Holdings) Limited (“ATHL”), the United Kingdom manufacturer of the light tactical vehicle known as the Pinzgauer, for £25.0m ($47.2m). ATHL operations had no material impact on operating income during the first quarter of Fiscal 2005. Max L. Lukens, the company’s President and Chief Executive Officer, stated, “We are pleased that the strategic initiatives we have taken to improve the company’s overall performance are producing results. All of our operating segments were profitable for the first quarter, and we continue to work toward our return goals for the corporation. The acquisition of ATHL represents a strategic action aimed at enhancing value for our shareholders by broadening the product offering of the Tactical Vehicle Systems segment.” The Tactical Vehicle Systems segment, which manufactures tactical vehicles for the U.S. Army and others, recorded sales of $165.5m in the first quarter of fiscal 2005 compared to $138.8m in the prior year’s first quarter. Operating profit for the first quarter of fiscal 2005 decreased to $13.2m compared to $19.4m in the first quarter of fiscal 2004. As previously disclosed, operating margins will be lower in fiscal 2005 as a result of the expected lower contract margins associated with the current multi-year contract with the U.S. Army to produce the Family of Medium Tactical Vehicles (“FMTV”) which began production in November 2004. The lower margins on this contract were partially offset by sales under U.S. Army contracts to produce Low Signature Armored Cabs (“LSAC”) for use on the FMTV. The first quarter of 2005 included the sale of 621 LSAC units.

24 May 05. Computer Sciences Corporation (NYSE: CSC) reported results for its fiscal 2005 fourth quarter, ended April 1, 2005. Revenue from continuing operations was $3.88bn, up 7.9% over last year’s comparable quarter. Net earnings per share (diluted) were $2.13, including an after-tax gain of $229.5m, or $1.19 per share, on the February 11, 2005, divestiture of selected DynCorp
business units, and a special charge related to the redemption of $1bn of term debt of $18.4m after taxes, or 10 cents per share. Fiscal 2004 fourth quarter earnings per share (diluted) were $1.01. Fiscal 2005 results also
include the impact of charges resulting from the settlement of an overtime
pay class action lawsuit, which the company has recorded as operating co

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