Merger and Acquisition
American Management Systems (AMS) Incorporated, Fairfax, Virginia, has entered into a merger agreement with CGI Group Incorporated, a Canadian information technology firm, and CACI International Incorporated, based in Arlington, Virginia. Under the terms of the agreement, CGI will acquire, through a tender offer, all of the outstanding shares of AMS for $858 million, and CACI will purchase the assets of AMS’ Defense Intelligence Group for $415 million. The combination of CGI and AMS will create a multibillion dollar information technology, business process and professional services company with approximately 25,000 employees in the United States, Canada and Europe. The combined entity will be known in the United States as CGT-AMS. CACI’s purchase will expand its presence in the defense, intelligence and homeland security markets. The Defense Intelligence Group provides business management solutions to the U.S. government, including information technology and software design for defense, intelligence and homeland security agencies in support of acquisition, financial management, logistics, warfighting and intelligence missions. As part of the transaction, CGI and CACI agreed to a strategic alliance in which CACI will receive all intellectual property solely used by the Defense Intelligence Group and a license from CGI to use certain intellectual property retained by CGI. In addition, CACI will grant CGI a license to use certain of its intellectual property. The arrangement is expected to facilitate the growth of each company’s businesses and client bases.
Satellite Access for WIN-T and TDN StudiedAn 18-month study of high-capacity communications capability (HC3) will be performed for the U.S. Army Space and Terrestrial Communications Directorate. The study is central to the Army’s network-centric communications efforts to implement a comprehensive command and control on-the-move capability. HC3 is the anchor program for high-capacity satellite access for the Army’s Warfighter Information Network-Tactical, known as WIN-T, and for the U.S. Marine Corps’ Tactical Data Network. The process will include adaptation of software compliant architecture and joint technical architecture policies. Work will be performed at Raytheon’s network-centric systems facility in Marlborough, Massachusetts.
Fleet ModernizationImproved readiness of the U.S. Navy’s surface ships will require integrated planning, programming and execution of the Navy’s fleet modernization program. Toward that objective, Anteon International Corporation, Fairfax, Virginia, will provide program management, integrated logistics, financial management, new construction outfitting and life-cycle support for Navy surface ships, under a 12-year contract. If all options are exercised, the award is valued at $325 million. The Naval Sea Systems Command, Washington Navy Yard, Washington, D.C., awarded the technical and management support contract.
Ship SecurityTo encourage ship owners worldwide to implement the new International Maritime Organization’s security directive, Telenore Satellite Services, Oslo, Norway, is expanding its Inmarsat C and Mini-C systems at its Eik earth station. The directive requires certain types of ships to have ship security alert systems (SSAS) installed by July 2004 and other types of cargo vessels and offshore facilities to have the equipment by July 2006. SSAS is a one-way, ship-to-shore alarm that originates aboard ship and is transmitted by an authorized communications provider to a competent authority. The purpose is to combat the growing number of piracy and terrorist attacks at sea. Telenor will offer SSAS via Inmarsat C, Mini-C and Iridium.
E-6B Block 1 Modification
The U.S. Navy is addressing legacy system integration deficiencies and projected obsolescence issues for the E-6B aircraft with a major upgrade. It will include an open system architecture for mission avionics and upgraded primary mission systems encompassing the digital airborne intercommunication switching system, intercommunications system, the mission computer set, and the ultrahigh frequency command, control and communications system. In addition, the electrical power and cooling systems will be modified to improve preflight, post-flight and ground alert operations. The Naval Air Systems Command, Patuxent River, Maryland, $79 million contract went to Rockwell Collins, Cedar Rapids, Iowa. The E-6 Block 1 program is expected to provide a template for transforming additional mission aircraft to serve key roles in an emerging network-centric world. The program has a $300 million potential value to Rockwell Collins.
Thermal Weapon Sights
Seeing deep into the battlefield and increasing surveillance and target acquisition ranges are the objectives for the next generation of thermal weapon sights (TWS) under development by BAE Systems in partnership with Team Soldier at Fort Belvoir, Virginia. A $111 million base contract will fund the qualification of three TWS design variants and the manufacture of up to 28,000 units. Contract options could be valued at more than $250 million. BAE Systems' TWS family of sights to be produced under this contract will be compatible with current and future infantry armament from light to medium and heavy weapons. The light-weapon thermal sight weighs less than two pounds and mounts to M4 carbines and M16 rifles. The medium- and heavy-weapon thermal sights weigh less than three and four pounds, respectively. The heavy-weapon sights provide airborne, air assault, Ranger and mechanized infantry forces with long-range target detection to engage their crew-served armaments. All three variants use MicroIR microbolometer sensor-engine technology by BAE Systems. The TWS will be produced at BAE Systems’ facility in Lexington, Massachusetts.
Critical Information Assurance
In its first prime contract win, Knowledge Consulting Group, Sterling, Virginia, will provide information assurance security services to the U.S. Defense Department’s Counterintelligence Field Activity and the Federal Bureau of Investigation’s Foreign Terrorist Tracking Task Force. Under the $21.4 million General Services Administration schedule contract award, Knowledge Consulting will evaluate existing information security programs to ensure compliance with Defense Department guidelines, and create and implement new security policies. Raytheon Company, a leading provider of intelligence systems, and Gray Hawk Systems, specializing in engineering services, will serve as subcontractors.
USA Forces Command ReorganizationThe U.S. Army Forces Command, Fort McPherson, Georgia, has hired Anteon International Corporation, Fairfax, Virginia, to coordinate and synchronize the reorganization of all aspects of the command’s combat divisions based in the United States. When complete, the reorganized forces will have increased combat power, will be able to deploy to a theater of operations more rapidly and will be easier to sustain once deployed. Anteon will provide expertise and support to the units in all functional areas, including personnel, operations, training, logistics, information management, installation support and public affairs. With all options exercised, the task order is valued at $34.9 million.
Improving Commercial Satellite Imagery
Responding to recent changes in U.S. regulations allowing commercial satellites to take more detailed photographs from space, the WorldView commercial imagery satellite, owned by DigitalGlobe, will be equipped with control moment gyroscope technology. Control moment gyroscopes enable satellites to move faster and produce more photographs with higher resolution by stabilizing, positioning and controlling the attitude of a spacecraft. The WorldView satellite will provide images for the National Geospatial-Intelligence Agency, Bethesda, Maryland, and customers worldwide. Honeywell, Morris Township, New Jersey, has been selected to build the gyroscopes.
Library of Congress Goes Wireless
Staff and visitors soon will be able to have reliable wireless communications while inside the Library of Congress. A $2.9 million system is to be completed by the end of the year by EMS Technologies Incorporated, Atlanta. Balancing wireless users' needs with the aesthetics of the facility, the installation will feature a new patent-pending aesthetically pleasing broadband “fin” antenna. The system will cover the library’s Madison, Jefferson and Adams buildings as well as the tunnel system.
In-Flight EntertainmentAir Berlin will be the launch customer for TEAC Aerospace Technologies Incorporated’s next-generation flight tracking moving-map system. The AirTracks system is based on satellite imagery and goes beyond simple maps that trace the flight path for passengers. It re-creates images of the world’s surface for presentation to passengers. AirTracks will offer a worldwide terrain image database with 30 meters per pixel as standard. Airlines can preprogram a selection of up to four different three-dimensional simulated topographical views with flight and en route informational displays. Complete fleet rollout on all of Air Berlin’s Boeing 737s is planned for autumn. TEAC Aerospace is based in Montebello, California.
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