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Article: Northrop Grumman to pay $3 billion for Westinghouse division.(Westinghouse Electric Corp.'s defense and electronics division)
- Article from:
- Defense Daily
- Article date:
- January 4, 1996
- Author:
CopyrightCOPYRIGHT 1996 Access Intelligence, LLC. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Northrop Grumman will buy Westinghouse's defense and electronics division for $3 billion in cash and will become responsible for about $600 million of the division's unfunded pension liability and other post-retirement benefits, the companies said yesterday.
The acquisition means a shift in Northrop Grumman's business base from 30 percent devoted to defense electronics to about 50 percent devoted to defense electronics, financial analysts told Defense Daily.
Northrop Grumman, which expects to report $6.8 billion in sales in 1995, expects the pending transaction will make it a $10 billion-plus company by 2000.
"This transaction will meld into one company ...