Navy Contract

SYKESVILLE -- The Navy has awarded Westinghouse Electronic Systems Group two contracts totaling $155 million to continue work on anti-submarine warfare combat systems for the U.S. destroyer fleet.About 100 of the Sykesville plant's 250 employees are working on the contracts, said Westinghouse spokesman Jack Martin. When work reaches peak production, about 200 employees will be working on the projects.The Navy announced Friday it had awarded the contract to Westinghouse, and work began immediately, Mr. Martin said.

Martin Marietta Corp. says its move into the submarine detection business took on water because it bought a defective product design when it acquired a Glen Burnie company.The Bethesda-based defense contractor filed a lawsuit in U.S. District Court in Baltimore Monday against Gould Inc., of Eastlake, Ohio, which was the industry leader in "towed array" detection systems for submarines.Martin Marietta charges that Gould violated a contract for the sale of its Glen Burnie-based Ocean Systems Division in 1988 because a sonar system's design failed to meet government specifications.

An article in The Sun yesterday on a Martin Marietta Corp. lawsuit against Gould Inc. incorrectly stated the damages sought. The suit asks for $30 million.* The Sun regrets the error.Martin Marietta Corp. says its move into the submarine detection business took on water because it bought a defective product design when it acquired a Glen Burnie company.The Bethesda-based defense contractor filed a lawsuit in U.S. District Court in Baltimore Monday against Gould Inc., of Eastlake, Ohio, which was the industry leader in "towed array" detection systems for submarines.

Airline drops simplified faresAmerican Airlines Chairman Robert Crandall said yesterday that the air carrier has abandoned its highly publicized efforts to introduce a simplified fare structure because it was a money-losing venture.Speaking to the Professional Convention Management Association, Mr. Crandall said the "value pricing" plan introduced last spring cost American between $200 million and $300 million.Mutual funds barely beat marketMutual funds squeaked ahead of the stock market in the final quarter of 1992 and for the full year, but the single-digit returns they provided investors were unusually small, an authoritative survey said.

Turner tries to get film rightsTurner Broadcasting System Inc. disclosed yesterday that it is close to signing deals with two major Hollywood studios for exclusive rights that would raise its movie library to about 4,000 films.A Turner Network Television executive said the cable TV giant was in "deep conversations" with several studios including Warner Bros., Sony Corp.'s Columbia Pictures Entertainment Inc., Twentieth Century-Fox Film Corp. and United Artists Corp.GM sells Lotus subsidiaryGeneral Motors Corp.

Navy hires Lockheed MartinLockheed Martin Corp. has won a $97.5 million Navy contract to continue work on a ship-based missile launching system at the company's Middle River plant.The MK 41 Vertical Launching Systems was used during Operation Desert Storm to launch Tomahawk cruise missiles from American ships in the Persian Gulf. Under the contract, 40 launcher modules will be produced.W. R. Grace chairman forced outJ. Peter Grace Jr., the legendary 81-year-old chairman of W. R. Grace & Co., was forced to resign yesterday in a sweeping downsizing of the chemical company's 22-member board.

TCI sets date for QVC offerPotentially forcing a showdown with the Federal Trade Commission, Tele-Communications Inc. said yesterday that it would complete its tender offer for QVC Inc. by Feb. 6.The FTC has been investigating the proposed $1.4 billion buyout of QVC by Tele-Communications and the Comcast Corp. Its staff members have indicated that they oppose the deal on antitrust grounds, and they question whether Tele-Communications should even hold its existing 22 percent stake in QVC.Tele-Communications and Comcast already own 35 percent of QVC, the home shopping channel based in West Chester, Pa. The companies plan to buy the remaining 65 percent of QVC for $1.42 billion, or $46 a share.

Federal Contracts Report is a weekly summary of selected contracts awarded by the federal government to companies throughout Maryland.Defense contracts* Motorola Inc. of Landover will receive $127,295 from the Army for radio network systems.* Perstorp Analytical Inc. of Silver Spring will provide the federal Centers for Disease Control with flow-analyzer systems under a $27,374 contract.* Falcon Microsystems Inc. of Landover won an $86,339 Navy contract for multi-protocol routers.* Masstor Systems Corp.

Marriott lawsuit to expandA group of Marriott Corp. bondholders led by PPM America Inc. said yesterday that it's preparing to expand its lawsuit against the hotel company, a spokesman for the bondholders said.The litigation would be expanded to include new claims alleging fraudulent conveyance, breaches of contract and fiduciary duty, and other broad-based claims against Marriott.R. H. Macy to close 11 storesR. H. Macy & Co. Inc. said yesterday it would shutter 11 more stores, part of the famous retailer's plan to regain strength after more than a year in bankruptcy court.

Baltimore Marine Industries Inc. said yesterday that it won a $16.6 million Navy contract to overhaul a floating dry dock. The USS Resolute, a dock the Navy uses to lift ships out of the water for repairs, will arrive at the Sparrows Point shipyard about Sept. 19. The overhaul is to be completed in February. The job is expected to provide work for an average of 200 workers. "It's a huge contract for us compared to vessels we've done recently," said shipyard President and Chief Executive Officer David Cassidy.