Most of the time, investor excitement and public-sector-oriented companies are mutually exclusive. But not now. The emergence of a strong appetite and intense interest in companies serving government and defense markets has been dramatic.
American Management Systems Inc. will receive $43 million in cash from National Union Fire Insurance Co. AMS had initiated a lawsuit against National Union last fall under Paul Brands, then-chairman and chief executive officer, who said the insurance company prevented AMS from reaching a reasonable settlement with the state of Mississippi over a failed tax system.
In the 10 months after Electronic Data Systems Corp. won the Navy-Marine Corps Intranet project, the company had installed only the first five seats in the program, as the Navy and Congress took a cautious approach to the massive outsourcing effort. But following the Sept. 11 attack on the Pentagon, the Navy used the NMCI program to quickly provide computer service to displaced personnel.
In the 10 months after Electronic Data Systems Corp. won the Navy-Marine Corps Intranet project, the company had installed only the first five seats in the program, as the Navy and Congress took a cautious approach to the massive outsourcing effort. But following the Sept. 11 attack on the Pentagon, the Navy used the NMCI program to quickly provide computer service to displaced personnel.
Satellite phone service providers such as Globalstar LP have long struggled to gain marketshare in a field glutted by cheaper cellular phone services. Last month, for instance, Globalstar laid off half its work force, reducing its ranks to 175 people.
TekInsight.com Inc. is acquiring Exodus Communications Inc.'s professional services business in Louisiana, including more than a dozen state agency contracts.
Like many in the country that Tuesday morning, I arrived at work and watched in horror and disbelief as the terrorist attacks unfolded Sept. 11. Their effect on people and business around the world has been substantial, and it is not yet over.
SRA International Inc., Fairfax Va., has been awarded an eight-year contract worth up to $50 million to support a nationwide training telecommunications network for the National Guard Bureau.
American Management Systems Inc.'s third-quarter revenue will be about 5 percent less than predicted, and it will reduce its U.S. staff an additional 5 percent, the company has announced.
Andrulis Corp., a woman-owned business that provides a range of engineering and IT services in the federal and commercial sectors, is purchasing CEN Corp. of Alexandria, Va., the company announced Sept. 21.
Titan Corp. is acquiring BTG Inc. in a $141.9 million deal designed to strengthen Titan's presence in the defense and intelligence markets. With the acquisition, Titan Systems will have nearly $1.3 billion in revenue next year, including approximately $1 billion from government IT services, said Gene Ray, chairman, president and CEO.
ACS announced that it has signed a contract with the Defense Finance and Accounting Service (DFAS) to provide a wide range of pay-related services and support to 2.5 million Defense Department retirees and annuitants with a monthly payroll of more than $2.6 billion.
Increasingly, the major players in federal information technology and defense technology services, or government tech services, are the aerospace and defense primes.
Hewlett-Packard Co.'s plan to buy Compaq Computer Corp. is good news for GTSI Corp., according to GTSI's chief executive Dendy Young. The merger, said Young, would help his company better compete against what he called "the Dell threat."
