20 Sep 06. Shares of DRS Technologies Inc. jumped Wednesday, amid reports that it and a team led by Boeing Co. won a contract to provide new high-tech ways to catch illegal immigrants trying to cross U.S. land borders. The Parsippany, N.J.-based company’s shares closed up $1.23, or 2.8 percent, at $44.65 on the New York Stock Exchange. Shares have ranged between $35.83 and $59.50 over the past year. Ryan Beck & Co. analyst Stephen E. Levenson estimated DRS’ share of the contract could be worth anywhere from tens of millions of dollars to more than $100m over the life of the deal. Levenson reiterated his “Outperform” rating and price target of $65 on the stock in a research note. But the analyst said he would hold off on extensive comments or any earnings revisions until more details become available. Chicago-based Boeing was among several major defense companies competing for the job. While other companies’ proposals relied more heavily on using flying drones to patrol the border, Boeing focused on a network of 1,800 high-tech towers, equipped with cameras and motion detectors, that could feed live information to Border Patrol agents.
16 Sep 06. Boeing Co. expects international sales to grow to more than double last year’s percentage of overall defense revenues over the next five years as the pace of U.S. military spending slows, the head of its defense business said Friday. Jim Albaugh cited numerous defense opportunities for the company in India — including fighter jets, airborne early warning and control and anti-submarine warfare airplanes — along with strong prospects in Japan, Korea, Singapore, Australia and various Mediterranean countries. The president of Boeing Integrated Defense Systems, which operates the Boeing Satellite Development Center in El Segundo, told analysts he sees “a lot of focus on international for us” as the growth of Pentagon programs flattens. International revenues accounted for 7 percent of Boeing’s $32bn in defense sales last year and Albaugh said they are on target to rise to 10 percent this year. Another key defense effort is the bid to win the contract for the next generation of aerial refueling tankers, which the Air Force expects to award next summer to either Boeing or a team of Northrop Grumman Corp. and European Aeronautic Defence and Space Co. The contract is expected to be worth at least $20bn. On another topic, Albaugh said the company is making progress on a plan to develop a version of its single-aisle 737s into military planes, including early-warning and anti-submarine warfare aircraft.
21 Sep 06. Saft announced its results for the 6 month period
ended 30 June 2006. First half results highlights:
– Sales, EBITDA and EBIT all in line with expectations. Year-on-year decline due to lower
demand from US military, as previously announced.
– Net income up 89% to €21.7m due to lower finance costs.
– Johnson Controls-Saft joint venture registers first successes.
All excluding non-recurring items
Outlook for 2006
– Sales expected to be towards the top of the guidance range of €540m – €550m.
– Profit guidance maintained subject to nickel costs not averaging more than $25,000 per tonne throughout H2.
19 Sep 06. Elbit Systems Ltd. (NASDAQ Global Select Market: ESLT) reported the initiation of a re-organization plan by its 70%-owned Israeli subsidiary – the Elisra Group. The plan, designed to enhance the synergies and maximize the range of capabilities of the Elisra Group’s members: Elisra Electronic Systems Ltd., Tadiran Electronic Systems Ltd. and Tadiran Spectralink Ltd., was announced today by Brig. Gen. (Res.) Yitzhak Gat, CEO of the Elisra Group. Under the new re-organization plan, the Elisra Group will establish a new central Operations Division, which also will include Elisra’s Microwave Division. Colonel (Res.) Ami Dagan, formerly the general manager of Elbit Systems’ Silver Arrow, subsidiary, will head the new Operations Division. The Operations Divis