In the Region
Defense transaction reviews weeks from finishing, Cohen says
The U.S. Defense Department is several weeks away from completing its reviews of BAE Systems PLC's $1.67 billion acquisition of Bethesda-based Lockheed Martin Corp.'s Sanders unit and a pending joint venture between Raytheon Co. and Thomson-CSF of France, Defense Secretary William S. Cohen says.
Cohen was briefed Monday on the pending transactions and on Tuesday he discussed them with the heads of Lockheed Martin and BAE Systems. Cohen also called in Northrop Grumman Corp. Chairman Kent Kresa to hear whether the transactions could hurt his company's competitiveness in defense electronics competitions.
Both transactions are tests of a three-year effort to press for closer cooperation among U.S. and European defense contractors to reduce costs, spur purchases and increase NATO's ability to train and fight alongside U.S. forces.
Ciena Corp. to open Hong Kong sales office
Ciena Corp. says it will open a new sales office in Hong Kong as it works to become a bigger force in the Asia Pacific market for optical networking.
The news came a week after the Linthicum networking company announced a major new contract with Korea Telecom. Ciena will supply optical equipment to handle growing Internet and networking traffic around seven Korean metro areas.
The new Hong Kong office will be headed by Claude Achcar, a telecommunications industry veteran who most recently directed Nortel Networks' Asia Pacific Group. Ciena said it isn't clear yet how many people the Hong Kong office will employ. It will be a base of operations for the company's Asia sales operations outside Japan.
EEC wins contract with Dominion Generation
Environmental Elements Corp., a pollution control company, said yesterday that it has been awarded a "multimillion-dollar" contract as part of a service and maintenance alliance with Dominion Generation, which manages Virginia Power's generating units.
The alliance calls for Baltimore-based EEC to provide services and maintenance for the 16 pollution-control devices installed throughout Dominion's network of seven coal-fired power plants in Virginia and West Virginia. EEC said it could not estimate the contract's value because the services will be provided on an "as needed" basis.
US Airways unit files with SEC to sell securities
A unit of US Airways Group Inc. filed to sell as much as $812.4 million of securities used by the No. 6 U.S. airline to finance aircraft purchases or leases.
The Arlington, Va.-based company's US Airways Inc. operating unit filed with the Securities and Exchange Commission to sell the securities from time to time on terms to be decided later, in any amount up to $812.4 million.
The unit also may offer $387.6 million of securities unsold from a previous shelf registration, giving it $1.2 billion total to sell, according to the filing.
Startec to provide services in Vietnam
Seeking to exploit improved relations with Vietnam, Startec Global Communications of Bethesda announced yesterday that it will provide telecommunications and Internet services to Saigon Postel Corp.
The terms of the deal were not disclosed, but officials said rapid telecommunications growth in Vietnam made market conditions favorable for expansion.
Quanta gets $14 million contract with Navy
Quanta Systems, a Hanover-based subsidiary of CompuDyne Corp., announced a new Navy contract yesterday worth an estimated $14 million but said it could grow to $40 million depending on the Navy's needs.
Quanta designs and installs security systems for use in classified government and private facilities throughout the world. It also provides electronic "black box" technologies, tactical systems and proprietary communications systems.
Tribune completes sale of Jeppesen to Boeing
Tribune Co. has completed the sale of Jeppesen Sanderson Inc., a flight information provider, to Boeing Co. for $1.5 billion in a continuing sell-off of noncore assets since its acquisition of Times Mirror Co.
John W. Madigan, the company's chairman, president and chief executive officer, said the series of sales should reduce Tribune debt to $4 billion by year's end and generate $800 million in cash next year.
When the company announced the merger with Times Mirror in March, it said it would divest assets to focus on its media businesses of broadcasting, publishing and interactive. Last month it sold its education group to the McGraw-Hill Cos. for $680 million in cash and announced an agreement to sell Achieve Global to the Institute for International Research for about $100 million after taxes. Tribune, parent of the Chicago Tribune, Los Angeles Times, The Sun and other major newspapers, also is selling Times Mirror Magazines.
Group honors MacIntosh for work on OpSail 2000