General Dynamics
announced today that it has entered into a definitive agreement to
acquire Gilbert, Ariz.-based Spectrum Astro, Inc., a privately held space
systems integrator for the U.S. government. The transaction has been approved
by the boards of directors of both companies and is subject to normal
regulatory approval; it is expected to close within 60 days. The acquisition
will be accretive to General Dynamics. Terms of the agreement were not
disclosed.
Spectrum Astro’s capabilities include manufacturing and integration of
spacecraft subsystem hardware, software and ground-support equipment. It has
approximately 520 employees, and will become part of General Dynamics C4
Systems, which is headquartered in Scottsdale, Arizona.
“The U.S. Department of Defense’s growing reliance on satellite-based
systems as part of a network-centric approach to warfighting was validated in
Operation Iraqi Freedom and other recent U.S. military efforts, and this
acquisition enhances General Dynamics’ positioning to meet those mission
requirements into the future,” said Jerry DeMuro, General Dynamics executive
vice president and group executive for Information Systems and Technology.
“Spectrum Astro has achieved remarkable growth over the past 10 years
based on innovative systems engineering and lean, efficient manufacturing
processes,” said Mark Fried, president and general manager of General Dynamics
C4 Systems. “This acquisition expands our offerings to an important portion
of our customer base, complements our existing business with classified and
restricted-payload customers in particular, and helps broaden our presence in
the missile-defense and key NASA space business segments through Spectrum
Astro’s existing relationships.”
General Dynamics C4 Systems’ employees have been contributing to the U.S.
space program since the mid-1950s, supporting missions from Apollo and Voyager
to the Hubble Space Telescope, the International Space Station and the Mars
Exploration Rovers.
General Dynamics C4 Systems is a leading integrator of secure
communication and information systems and technology. With more than 7,000
employees worldwide, the company specializes in command and control,
communications networking, computing and information assurance for defense,
government and select commercial customers in the United States and abroad.
General Dynamics, headquartered in Falls Church, Virginia, employs
approximately 67,600 people worldwide and had 2003 revenue of $16.6 billion.
The company has leading market positions in mission critical information
systems and technologies, land and amphibious combat systems, shipbuilding and
marine systems, and business aviation. More information about the company is
available on the Internet at www.generaldynamics.com.
This press release contains certain forward-looking statements that are
based on management’s expectations, estimates, projections and assumptions.
Words such as “expects,” “anticipates,” “plans,” “believes,” “estimates” and
variations of these words and similar expressions are intended to identify
forward-looking statements. Forward-looking statements are made pursuant to
the safe harbor provisions of the Private Securities Litigation Reform Act of
1995, as amended. Actual future results and trends may differ materially from
what is forecast in forward-looking statements.
