Northrop Grumman Corporation
) has been awarded an indefinite-delivery/indefinite-quantity
task order by the U.S. General Services Administration for a
The award calls for Northrop Grumman to provide the enhanced
Combat Electromagnetic Environment Simulator (CEESIM) system for
the U.S. Warner Robins Air Logistics Center (WR-ALC).
This CEESIM system is a sophisticated technology simulator that
creates complex, dynamic electromagnetic environments to
replicate true-to-war conditions. It features a modernized user
interface and digital hardware optimized to create greater pulse
density for complex threats. It is an off-the-shelf solution that
integrates into the existing Simulation Network lab control
system at WR-ALC while supporting software maintenance and
reprogramming of multiple electronic combat systems, including
those onboard C-130 and F-16 aircraft.
Overall, the new digital subsystem and advanced graphical user
interface will be both cost effective and time saving for WR-ALC
as it simplifies the process of programming the most realistic
and complex threat radiators.
Northrop Grumman pays close heed to customer needs with a view to
increase affordability and cost competitiveness. The company is
the fourth largest U.S. defense contractor behind
The Boeing Company
Lockheed Martin Corp.
General Dynamics Corp.
) in terms of 2012 revenues.
It has a strong presence in the Air Force, Space & Cyber
Security programs. Northrop Grumman's product line is well
positioned in high priority categories, such as defense
electronics, unmanned aircraft and missile defense. Revenue and
earnings growth continue to be driven by its strong presence in
the current focus areas of cyber security, modernization of
defense and homeland security assets, intelligence, surveillance
and reconnaissance systems, advanced electronics and software
Although Northrop Grumman like its peers faces uncertainty
related to the defense budget, it seems to be immune to some
extent to defense budget cuts. In fact, the President's fiscal
year 2014 budget supports some of Northrop's key programs. For
2014, the proposed budget increased funding for Northrop's E-2D
Advanced Hawkeye by 25%, while 21 EA-18G Growlers funding got a
proposal for double financing in comparison to 2013.
Cybersecurity became a key investment area with funding
increasing by more than 20% to $4.7 billion.
The company currently holds a Zacks Rank #3 (Hold).
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