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World's Largest Naval Shipbuilder


World's Largest Naval Shipbuilder

Northrop Grumman Corporation announced the acquisition of Newport News Shipbuilding, which creates World's Largest Naval Shipbuilder. Northrop Grummanís will initially operate Newport News as a stand-alone sector of the company. Over time, all shipbuilding operations will be combined into one sector to take advantage of increased efficiencies in procurement, information technology and operating systems. The company emphasized that it does not intend to merge its various shipyards because of the vast differences between nuclear and non-nuclear shipbuilding.

"Northrop Grumman is now a world-class, fully capable shipbuilding company with expertise in every class of nuclear and non-nuclear vessel," said Kent Kresa, Northrop Grumman's chairman and chief executive officer. "The acquisition of Newport News affirms our commitment to shipbuilding, which we expect will generate approximately $4 billion in annual revenues next year." The value of the Newport News Shipbuilding acquisition is approximately $2.6 billion, which includes the assumption of approximately $500 million of Newport News Shipbuilding debt.


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