GAO rejects protest of Aegis award
Raytheon's protest of the Navy's decision to award sole-source contracts to Lockheed
Martin for its Aegis modernization program has been denied by the Government
Accountability Office. Naval Sea Systems Command can now proceed with its plans to
procure the ship-based Aegis Combat System Modernization on Ticonderoga-class
cruisers and Arleigh Burke-class destroyers. (
Source: AviationWeek, 12/31/08)

Contract: ABS, $55M
American Bureau of Shipping (ABS), Houston, Texas, is being awarded a $55,000,000
contract to provide for ship classification and classification-related services for surface
ships procured by Navy. New construction contracts require the ships be designed and
constructed in accordance with ABS rules. About 46 percent of the work will be in support
of new DDG ships in Pascagoula and Gulfport, Miss., and in Bath, Maine. Another 46
percent will be in support of future LCS construction at sites to be determined. The
remaining 8 percent of services will be performed in Norfolk, Va., San Diego, Calif. and
various worldwide points. Work will be completed by December 2013. The Naval Sea
Systems Command, Washington, D.C. is the contracting activity. (
Source: DoD, 12/29/08)

Ship set for commissioning
LONG BEACH, Calif. – The Navy returns to Long Beach for a day to commission a new
amphibious transport dock ship, the USS Green Bay (LPD 20), on Jan. 24, 2009. The
Green Bay is the fourth of nine in a new class of amphibious ships. The Green Bay was
built by Northrop Grumman in New Orleans. The 684-foot long ship will be used to
transport Marines, equipment and supplies. San Diego will serve as the Green Bay’s
home port. (
Source: Contra Costa Times, 12/25/08)

P-8 funds to be shifted to DDG-1000?
Boeing’s P-8 patrol aircraft faces a cut of more than $900 million in the proposed fiscal
2010 defense budget to pay for a new DDG-1000 destroyer, according to budget
documents. The ship is the last of three the Navy will buy from Northrop Grumman and
General Dynamics. The fiscal 2010 ship plan also includes the purchase of two more
DDG-51 destroyers. (
Source: Bloomberg, 12/23/08). Northrop Grumman’s Pascagoula,
Miss., shipyard is involved in both DDG-51 and DDG-1000 construction.

Ship performs well in builder trial
The Northrop Grumman-built Makin Island, the Navy’s eighth and final Wasp-class
amphibious assault ship, performed well during five days of builder'’ trials earlier this
month, Navy crewmembers from the ship’s pre-commissioning unit reported. (
Mississippi Press, 12/23/08)

GD, Northrop to build subs
Electric Boat Corp., of Groton, Conn., is being awarded a $14 billion multiyear contract to
build eight Virginia class submarines from fiscal year 2009 to fiscal year 2013. General
Dynamics' Electric Boat is the prime contractor for the Virginia sub program. Construction
will be split between GD facilities in Quonset Point, R.I., and Groton, Conn., and Northrop
Grumman Shipbuilding's Newport News, Va., shipyard. (
Source: DoD, 12/22/08).
Northrop Grumman also has shipyards for surface vessels in New Orleans, La., and
Pascagoula, Miss.

Contract: Lockheed, $43.7M
Lockheed Martin Maritime Systems and Sensors, Moorestown, N.J., is being awarded a
$43,665,000 modification to previously awarded contract for engineering services for
DDG 51 Class Aegis Combat System Installation, Integration and Test. Pascagoula, Miss.,
will perform 22 percent of the work, expected to be completed by April 2010. The Naval
Sea Systems Command, Washington Navy Yard, D.C., is the contracting activity.
Source: DoD, 12/19/08)

Contract: Northrop, $9.9M
Northrop Grumman Ship Systems Inc., Pascagoula, Miss., is being awarded a $9,950,000
firm fixed price contract modification to previously awarded contract for the procurement
of long lead time materials in support of LPD 26. Work will be performed in Pascagoula
and is expected to be completed by Dec. 2010. The Naval Sea Systems Command,
Washington, D.C., is the contracting activity. (
Source: DoD, 12/19/08)

Keel ceremony held
PASCAGOULA, Miss. – In a traditional Navy ceremony Thursday, the keel of the Navy’s
eighth amphibious transport dock ship, the Northrop Grumman-built Arlington (LPD 24),
was authenticated. More than 100 people attended the event. The ship is named for the
county where the Pentagon is located and honors those killed in the Sept. 11, 2001
terrorist attacks. LPD 24 is a 684-foot-long, 105-foot-wide LPD 17-class transport dock
ship. (
Source: Globe Newswire, 12/18/08)

VT Halter may add positions
PASCAGOULA, Miss. - VT Halter Marine could create 180 full-time jobs if it receives $5
million via federal grants to construct an $8 million pipe and marine fabrication building at
its Pascagoula yard. The jobs would be mostly craftsmen positions, such as welders and
shipfitters. (
Source: Mississippi Press, 12/10/08)

Signal cuts positions
PASCAGOULA, Miss. - Signal International has let go 200 to 250 workers at its
Pascagoula shipyards over the past month. The cut positions were mostly for craftsmen,
including welders, fitters and electricians. About 20 salaried support staff workers were
also laid off, he said, while others were transferred to other positions. The cuts were
brought about by the completion of several contracts. (
Source: Mobile Press-Register,

Contract: Power Dynamics, $5.6M
Power Dynamics LLC, Stennis Space Center, Miss., is being awarded a $5,666,580
modification under a previously awarded contract to exercise an option that provides for
the refurbishment of 10 Lighter, Amphibious, Re-Supply, Cargo amphibious landing craft.
The total contract amount after exercise of this option will be $23,270,388. Work will be
performed at Stennis Space Center, Miss., and is expected to be completed by Sept.
2010. The Naval Facilities Engineering Command Headquarters, Washington Navy Yard,
D.C., is the contracting activity. (
Source: DoD, 12/08/08)

Contract: Northrop, $16.8M
Northrop Grumman Ship Systems, New Orleans, La., is being awarded a $16,801,209
modification to previously awarded contract for Life Cycle Engineering and Support
services on the LPD 17 Class Amphibious Transport Dock Ship Program. Work will be
performed in Pascagoula, Miss. (60 percent) and New Orleans, La. (40 percent), and
work is expected to be completed by Sept. 30, 2009. The Naval Sea Systems Command,
Washington, D.C., is the contracting activity. (
Source: DoD, 12/04/08)

Workboat show begins
NEW ORLEANS, La. – The 29th annual International WorkBoat Show got underway
Wednesday at the Ernest N. Morial Convention Center. The largest maritime trade show
in North America is expected to draw 10,000 visitors. The show has attracted more than
1,000 exhibitors. (
Source: Times-Picayune, 12/03/08)

Zumwalt contract modification awarded
Bath Iron Works of Bath, Maine, is being awarded a $45.8 million modification to a
previously awarded contract to exercise an option for services associated with the detail
design and construction of the DDG 1000 Zumwalt class destroyer. Work is expected to
be completed by November 2010. (
Source: DoD, 12/01/08) Northrop Grumman,
Pascagoula, Miss., is also involved in the DDG 1000 program.


New date set for ship delivery
The Navy and Northrop Grumman settled on new goals for when the next big-deck
amphibious assault ship will be delivered. The original date for delivery of Makin Island,
under construction in Pascagoula, Miss., had been Nov. 14. But wiring problems required
rework. Northrop Grumman will bear the $360 million additional cost. The ship’s new
schedule calls for builders’ trials to begin in late January with the new delivery date of May
15. (
Source: Navy Times, 11/26/08)

VT Halter launches barge
MOSS POINT, Miss. - VT Halter Marine christened and launched a $14.7 million, 80,000-
barrel oil tank barge for Barges Unlimited Friday after 14 months of work on the vessel.
The double-hulled barge is 332 feet long and was constructed entirely at the Moss Point
yard, which employs about 175 workers. (
Source: Mississippi Press, 11/22/08)

Winter still unhappy with LPD 17
WASHINGTON - Navy Secretary Donald Winter is still unhappy with the USS San Antonio,
the first in a new class of LPD 17 amphibious ships. But builder Northrop Grumman says
the Navy changed the design too often, and Hurricane Katrina also affected work at the
Gulf Coast shipyard where it was built. (
Source: Reuters, 11/18/08)

LCS to use Army weapons system
The Navy is borrowing a page from the Army’s Future Combat Systems playbook,
integrating four Non-Line of Sight Launch Systems on the deck of its Littoral Combat Ship.
In August off the coast of the Florida Panhandle, tests were conducted to prove NLOS-LS
effectiveness against targets. The next test is scheduled for 2009 and will evaluate NLOS-
LS capabilities in a different water environment. (
Source: Aviation Week, 11/14/08)

Contract: Austal, $185M
Austal USA of Mobile Ala., is being awarded a $185 million modification to a previously
awarded contract for one Joint High Speed Vessel with options for up to nine additional
ships and associated shore-based spares for the Phase II down-select of the JHSV
Program - which would push the value to $1.6 billion. The JHSV Program will provide high
speed, shallow draft transportation capability to support the intra-theater maneuver of
personnel, supplies and equipment for the Navy, Marine Corps, and Army. Work will be
performed in Mobile and is expected to be completed by November 2010. The Naval Sea
Systems Command, Washington Navy Yard, D.C., is the contracting activity. (
DoD, 11/13/08)

Austal USA wins $1.8B contract
MOBILE, Ala. - Austal USA has won a $1.6 billion contract to build up to 10 high-speed
transport ships for the military, U.S. Sen. Richard Shelby said Wednesday. Neither Austal
nor the U.S. Navy would confirm Wednesday's announcement. The award would be
significant for Austal, which has about 1,000 employees at its facility on the Mobile River.
Source: Mobile Press-Register, 11/13/08)

Taylor expects 10 warships in budget
GAUTIER, Miss. - The next congressional budget will likely seek 10 new Navy ships. That’
s according to Rep. Gene Taylor, D-Miss., who made the comment after the ninth annual
Veterans Breakfast at Gautier High School on Monday. That’s more than the pace of
construction under the Bush administration. Taylor was re-elected this year and expects
to remain on the Armed Services Committee and chair the Seapower and Expeditionary
Forces Subcommittee. (
Source: Mississippi Press, 11/12/08)

First LCS commissioned
MILWAUKEE, Wisc. – USS Freedom, the nation’s first littoral combat ship (LCS) was
commissioned Saturday. The 378-foot ship is a semi-planing steel monohull designed for
close-to-shore work. It can reach speeds over 40 knots and is intended for mine, anti-
submarine and surface warfare. The ship, which will be homeported in San Diego, Calif.,
was built by Lockheed Martin with team members Gibbs & Cox, Marinette Marine Corp.,
and Bollinger Shipyards. (
Source: PRNewswire, 11/08/08)

Northrop holds career day
PASCAGOULA - About 1,000 Jackson County high school students learned about some
of the 2,715 job titles involved in building ships. Resurrection, Pascagoula, Gautier, St.
Martin and East Central high schools were represented. The career day was held in the
new 46,000-square-foot Propulsion Building. (
Source: Mississippi Press, 11/08/08)

VT Halter signs $8.9M contract
PASCAGOULA, Miss. – VT Halter Marine has signed an $8.9 million contract with Candies
Shipbuilders LLC to construct a 285-foot platform supply vessel. VT Halter Marine will
fabricate the vessel hull with deckhouses. The vessel will be towed to Candies Louisiana
shipyard for final outfitting. Delivery of the vessel is scheduled for January 2010.
Source: Sun Herald, 11/06/08)

Navy to commission first LCS
The Navy's first littoral combat ship, USS Freedom, will be commissioned Nov. 8 at a 10 a.
m. EST ceremony at Veterans Park, Milwaukee, Wis. Secretary of the Navy Donald Winter
will deliver the principal address. A Northrop Grumman Fire Scout helicopter drone is on
the ship and will remain onboard as it transits from Milwaukee to Norfolk, Va. Fire Scouts
are built in part in Moss Point, Miss. (
Source: Navy, Northrop Grumman, 11/05/08)

Austal in line to build more ships
MOBILE, Ala. - Austal USA’s Mobile shipyard will likely build at least two additional shallow-
water combat ships for the U.S. Navy. Austal is part of a General Dynamics Corp.-led
team competing with Lockheed Martin Corp. to build littoral combat ships. Both teams
have built prototypes. The Navy has asked that each submit bids on five LCS with the
intention of giving three to the winning contractor and two to the rival team. (
Mobile Press-Register, 11/05/08)

ST Engineering 3Q report
Singapore Technologies Engineering said Tuesday that third quarter profit rose 3
percent, though earnings in the key aerospace division fell. It  owns Mississippi's VT
Halter Marine, whose 1,700 employees in Pascagoula, Moss Point and Escatawpa build
and repair ships. The company also owns ST Mobile Aerospace Engineering, whose
1,600 employees at Mobile's Brrokley Field Industrial Complex repair and modify jetliners.
Source: Mobile Press-Register, 11/05/08)

Bender family to sell Florida yard
MOBILE, Ala. - Members of Mobile's Bender family have agreed to sell Tampa Bay
Shipbuilding & Repair Co. to Galliano, La.-based Edison Chouest Offshore for
undisclosed terms. The deal is subject to approval of the Tampa Port Authority, which
must approve a lease transfer. The Florida shipyard covers 62 acres. (
Source: Mobile
Press-Register, 11/04/08)


Northrop workers OK contract
Workers approved a labor agreement with Northrop Grumman Shipbuilding’s Virginia
shipyard that includes a provision allowing the company to temporarily reassign workers
to other yards, including those in the Gulf Coast. The 52-month agreement covers more
than 8,000 hourly workers at the company's Newport News, Va., shipyard. (
Mobile Press-Register, 10/31/08)

Destroyer delivered ahead of schedule
PASCAGOULA, Miss. - Northrop Grumman in Pascagoula reported that it has delivered
the 510-foot Truxtun guided missile destroyer 10 weeks ahead of schedule to the Navy.
The crew that will operate the Truxtun is scheduled to move aboard Dec. 8. The Truxtun,
DDG 103, is the 25th Aegis guided missile destroyer produced by Northrop Grumman.
The Arleigh Burke class destroyer is expected to be commissioned in spring 2009. The
previous DDG-51 built at Pascagoula was DDG 100, the USS Kidd, which was delivered to
the Navy on Dec. 18, 2006. (
Source: Mobile Press-Register, 10/30/08)

Vote nears on shipbuilder contract
HAMPTON, Va. - Hundreds of Newport News shipbuilders got copies of a proposed new
contract Sunday, and 6,000 members of the United Steelworkers of America will vote
Wednesday. Proposed is a 16.4 percent pay raise over four years, increased pensions
and benefits, and a provision allowing Northrop Grumman to shuffle workers among
shipyards. (
Source: The Virginia Pilot, 10/27/08)

Euronaval begins in Paris
Euronaval, the international naval defense exhibition, is being held Oct. 27 to 31 at the
Paris Le Bourget Exhibition Center. Some 345 companies and organizations from 27
countries will have exhibits. Northrop Grumman will display ship and marine navigation
system, showcasing its San Antonio-class amphibious warfare and transport ship, a patrol
frigate based on the Coast Guard National Security Cutter and the Sa'ar 5B littoral
corvette, an enhanced version of the Sa'ar 5 corvette in service with the Israel Navy.
Source: Tcp, PRNewswire, 10/24/08)

Taylor: Northrop hasn’t lost destroyer pacts
PASCAGOULA, Miss. - Northrop Grumman Shipbuilding has not lost the contracts for a
half dozen new Navy destroyers, despite a document that was recently quoted by a trade
publication, U.S. Rep. Gene Taylor said Friday. Inside the Navy said the Navy plans to
award contracts for six of the proposed eight DDG-51 destroyers to Bath Iron Works in
Maine and two to Northrop Grumman in Pascagoula. Taylor said it was a memo stating
someone’s thoughts, and that it should not have been released. (
Source: Mississippi
Press, 10/25/08)

NOAA announces 15 year plan to upgrade ships
WASHINGTON – The National Oceanic and Atmospheric Administration completed a
detailed plan to modernize its marine operations by replacing nine research ships and
refurbishing a 10th in the next 15 years. The 19-ship fleet supports a wide range of
activities, including fisheries and coastal research, nautical charting, and long-range
ocean and climate studies. Nine vessels entered into service since 2001, including
Okeanos Explorer. Two additional ships will enter service in the next year: Pisces, which
will be homeported in Mississippi, and Bell M. Shimada, which will be homeported on the
West Coast. Pascagoula’s VT Halter Marine is a major builder of NOAA ships. (
NOAA, 10/23/08)

Raytheon gets LPD 17 support contract
TEWKSBURY, Mass. - Raytheon has been awarded a U.S. Navy contract for up to $23
million for lifecycle engineering and support for the LPD 17 class of amphibious
warfare ships. This award exercises the third of three one-year options included in
the original contract awarded to Raytheon in 2005. The work on the LPD 17 is performed
at the Expeditionary Warfare Center, San Diego, Calif.; Seapower Capability Center,
Portsmouth, R.I.; and by Raytheon Technical Services Company in New Orleans and San
Diego. (
Source: PRNewswire, 10/22/08)

Austal gets $150K tax break
The Mobile City Council on Tuesday gave Austal USA a $150,000 break in permitting fees
for a new facility on Mobile River that company officials said could employ 1,000 additional
workers. Austal is spending $151 million to expand its existing shipbuilding operation by
constructing a modular assembly line, according to the company's agreement with the
city. The new facility should be running by late summer 2009, Austal attorney John Bell
said. (
Source: Mobile Press-Register, 10/22/08)

Maritime training center delayed
MOBILE, Ala. – Ground is expected to be broken in the next two months on a $12 million
maritime training center on the east bank of the Mobile River. The 60,000-square-foot
center is being spearheaded by Alabama Industrial Development Training. The center will
offer free programs and is expected to help answer local shipyards’ demand for up to
1,800 workers over the next several years. (
Source: Mobile Press-Register, 10/19/08)

Navy buying more LCS ships
MOBILE, Ala. – The Navy said Thursday that it plans to buy three littoral combat ships in
fiscal 2010, in addition to the two it plans to buy next year, though it wants contractors to
amend their bids to reflect cost savings that come with building multiple ships. The Navy
intends to award one boat in 2009 to each of two teams competing to build as many as 55
of the high-speed, shore-hugging warships. One of those teams, General Dynamics
Corp., builds its sea frames at Austal USA in Mobile. (
Source: Mobile Press Register,

Signal to repair two offshore rigs
Signal International said Thursday that it has won a $10 million contract to repair two
offshore oil rigs damaged last month by Hurricane Ike. Signal, which is moving its
headquarters from Pascagoula to Mobile, said it expects to add 200 workers at least
temporarily to the 2,500 it has at two Pascagoula shipyards. (
Source: Mobile Press-
Register, 10/17/08)

Bollinger sues Northrop Grumman
NEW ORLEANS. La. – Bollinger Shipyards has filed a $12 million suit against Northrop
Grumman in a dispute involving the renovation of Coast Guard cutters that were later
taken out of service. Bollinger was ordered by Northrop to stop work on the contract after
Bollinger had delivered six boats and had begun work on six others. To terminate the joint
venture, Bollinger said it demanded Northrop pay it $12.1 million in damages, but the
company refused. (
Source: AP, 10/15/08)

Houma company gets state help
Gulf Island Fabrication Inc. will receive $2.3 million in state assistance for a $29.3 million
expansion in Terrebonne Parish. The Louisiana Economic Development Corp. approved
the money Friday. The money will help Gulf Island, which has built offshore drilling
platforms since 1985, open a new division to build barges and other marine vessels on
the Houma Navigational Channel that leads south from the city to the Gulf of Mexico. The
company employes 1,100 people in the Houma area. (
Source: Baton Rouge Advocate,

Mullen: Navy faces challenges
WASHINGTON - The Navy’s shipbuilding program faces continuing challenges from cost
growth and other issues, Adm. Michael Mullen, the chairman of the Joint Chiefs of Staff,
said at a breakfast meeting Thursday. Mullen also praised the quality of today’s armed
forces, but voiced concern about violence in Afghanistan. He also said military officials
must do more to encourage troops with symptoms of post-traumatic stress disorder to
seek help. (
Source: Mobile Press-Register, 10/10/08)

Contract: Gravois, $6M
Gravois Aluminum Boats, doing business as Metal Shark Inc, Jeanerette, La., was
awarded a $6 million firm fixed price contract for 54 Fast Attack Boats with Active RFID
Tags. Work will be performed in Jeanerette, La., with an completion date of June 30,
2010. TACOM, Warren, Mich., is the contracting activity. (
Source: DoD, 10/08/08)

Destroyer passes tests
PASCAGOULA, Miss. – Northrop Grumman officials say the 510-foot Truxtun, DDG 103,
went through acceptance trial in the Gulf of Mexico last week and passed its tests. The
Navy is scheduled to accept delivery of the ship Oct. 24, and the crew is scheduled to
move aboard Dec. 8. The ship will be commissioned in the spring. The Truxtun is the 25th
Aegis guided-missile destroyer built by Northrop Grumman Shipbuilding. (
Source: The
Mississippi Press, 10/08/08)

LCS christened in Mobile
MOBILE, Ala. – A littoral combat ship christened over the weekend at the Austal USA
shipyard in Mobile Bay will be delivered to the Navy next year. The Independence, LCS 2,
was built by General Dynamics Bath Iron Works, Austal USA, BAE Systems, L3
Communications Marine Systems, Maritime Applied Physics Corporation and Northrop
Grumman Electronic Systems. It’s the first U.S. trimaran warship. (
Source: Multiple,

Rolls-Royce to power UK ships
Rolls-Royce has won a contract to provide power and propulsion equipment for two of the
world’s largest warships - the UK’s new 65,000 ton aircraft carriers, HMS Queen Elizabeth,
and HMS Prince of Wales. Rolls-Royce is supplying the MT30 gas turbine as part of an
integrated system that includes the carrier’s propellers and propeller shafts as well as
rudders, stabilizers and some electrical systems. Rolls-Royce has a propeller foundry in
Pascagoula, Miss. (
Source; Rolls-Royce, 10/06/08)

CG cutter milestone reached
PASCAGOULA, Miss. - The Lockheed Martin Coast Guard Systems team participated in
the successful power up of the first set of electronic cabinets and consoles of the
command, control, communications, computers, intelligence, surveillance and
reconnaissance system onboard the U.S. Coast Guard’s second National Security Cutter,
Waesche. The 418-foot ship, built at Northrop Grumman’s Pascagoula shipyard, will be
the second ship in a class of multi-mission cutters. The first ship, USCGC Bertholf, was
commissioned on Aug. 4, in Alameda, Calif. (
Source: Lockheed Martin, 10/02/08)

Contract: Gryphon Technologies, $17.1M
Gryphon Technologies, Greenbelt, Md., was awarded a $17.1 million contract for
procurement of Expeditionary Warfare Program and Landing Craft Air Cushion
maintenance, modification, repair, and trial support engineering support services. Work
will be performed in Panama City, Fla., and is expected to be completed by Oct. 2013.
The Naval Surface Warfare Center Panama City Division, Panama City, is the contracting
activity. (
Source: DoD, 10/02/08)


Bollinger gets Coast Guard pact
NEW ORLEANS, La. – Bollinger Shipyards landed a contract valued at $88 million over
the next decade to build a new class of faster Coast Guard patrol boats. Coast Guard
Commandant Admiral Thad Allen announced the award Monday at Coast Guard
headquarters in Washington. The Fast Response Cutter Sentinel Class patrol boat, or
FRC, is a 153-foot cutter capable of speeds of more than 28 knots. (
Source: New
Orleans Times-Picayune, 09/30/08)

Austal turns out second ferry
MOBILE, Ala. – The second Hawaii Superferry left Austal’s ship shed on the Mobile River
into a floating dry dock Monday. The yet-to-be-named vessel should be floated off the dry
dock at Atlantic Marine this morning, then will head back to Austal for final work before
sea trials later this year. The ferry is part of a two-vessel, $190 million deal Austal landed
in April 2004. (
Source: Mobile Press-Register, 09/30/08)

Contract: Northrop Grumman, $76.6M
Northrop Grumman Ship Systems, Pascagoula, Miss., has been awarded a $76.6 million
modification to a previously awarded Navy contract to exercise an option for CG 47 and
DD 963 Class integrated planning yard services. Work will be performed in Pascagoula
and is expected to be completed by Sept. 2009. (
Source: DefenseLink, 09/29/08)

Contract: Northrop Grumman, $8.2M
Northrup Grumman Corp., Ships Systems, Pascagoula, Miss., has been awarded an $8.2
million cost-plus-fixed-fee contract for asperstructures. Asperstructure incorporates the
structural component of an aperture into a load-carrying member of a ship superstructure.
The program will demonstrate the ability of integrated antenna and structure concepts to
improve radar functionality, reduce weight and complexity and reduce costs. Work will be
performed in Pascagoula. (
Source: DefenseLink, 09/29/08)

Interview: Northrop’s Michael Petters
Michael Petters, Northrop Grumman Shipbuilding president, says integrating the
operations of Northrop Grumman’s shipyards and some 40,000 employees on the Gulf
Coast and in Virginia is one of his top challenges. (
Source: Mississippi Press, 09/28/08)

Survey vessel launched
MOSS POINT, Miss. – VT Halter Marine launched the last in a line of government fisheries
survey vessels Friday when the Bell M. Shimada was launched into the Escatawpa River.
The fourth ship of its class, the Shimada is also the last that the National Oceanic and
Atmospheric Administration contracted VT Halter to build. The Shimada and its sister
ships incorporate acoustic quieting technology that enables them to study fish and other
marine life without making enough sound to alter their behavior. (
Source: The Sun
Herald, 09/27/08)

Contract: VT Halter
VT Halter Marine, Inc., Pascagoula, Miss., is being awarded a $393.7 million firm fixed
price not-to-exceed modification to previously awarded contract for the detail, design and
construction of three Fast Missile Crafts for the Egyptian Navy. Work will be performed at
Pascagoula, Manassas, Va., Detroit, Mich., Baltimore, Md., Pittsburgh, Pa., Philadelphia,
Pa., Camden, N.J., New Orleans, La., Thibodaux, La., Boca Raton, Fla., and other sites.
Work is expected to be completed April 2013. (
Source: DefenseLink, 09/26/08)

DoD industry day at Moss Point
MOSS POINT, Miss. – The South Mississippi Contract Procurement Center in Biloxi is
sponsoring a Department of Defense Industry Day Nov. 5 at Pelican Landing Conference
Center in Moss Point. Participating organizations include the Department of the Navy
Supervisor of shipbuilding and shipbuilders from Louisiana to Alabama. (
Source: The
Sun Herald, 09/24/08)

Lockheed LCS delivered to Navy
MARINETTE, Wis. – The Lockheed Martin-led team delivered “Freedom,” the nation’s first
Littoral Combat Ship, to the Navy Thursday. It’s the Navy’s preliminary acceptance of LCS
1. The 378-foot Freedom, a steel monohull, was christened and launched in September
2006 and completed sea trials last month. It will be commissioned Nov. 8 in Milwaukee and
homeported in San Diego, Calif. (
Source: Lockheed Martin, 09/18/08)

Atlantic Marine proposes renovations
MOBILE, Ala. – Atlantic Marine plans to overhaul several of the existing piers at its Pinto
Island shipyard on the Mobile River’s east bank, creating a deepwater berth to dock oil
rigs. Herschel Vinyard, vice president of Atlantic Marine Holding Co., said the company
expects to do more repair and conversions. (
Source: Mobile Press-Register, 09/10/08)

Signal headquarter move stalled
MOBILE, Ala. – The move of Signal International’s headquarters from Pascagoula to
Mobile has been delayed to late February or early March 2009. Richard Marler, president
and chief executive, said weather issues and negotiations with architects and decorators
about the build-out delayed things. Marler said fewer than a dozen employees will be
based in Mobile. (
Source: Mobile Press-Register, 09/09/08)

Storms scaring away workers?
WASHINGTON - U.S. Navy Secretary Donald Winter is worried the specter of repeated
hurricanes is taking a toll on the shipbuilding workers on the Gulf Coast. Rep. Gene
Taylor of Mississippi agrees that the prospect of a major storm takes a toll. (
Source: The
Sun Herald, 09/05/08)

International Shipholding courted
MOBILE, Ala. – International Shipholding Corp. on Tuesday officially became a takeover
target for privately held Liberty Shipping Group LLC. Liberty sent a letter to the
International Shipholding board Tuesday outlining its offer, a cash deal in which Liberty
would buy all outstanding shares for $25.75 each, a total value of about $308 million.
Source: Mobile Press-Register, 09/03/08)


Shipyard workers to return next week
Production work at Northrop Grumman Shipbuilding’s Pascagoula and Avondale facilities
is suspended until Sept 8 in the wake of Hurricane Gustav. The company’s Gulfport facility
has also closed production work through to Friday. (
Source: Northrop Grumman,

Northrop gets contract upgrade
PASCAGOULA, Miss. – The Navy awarded a $10.78 million contract upgrade to Northrop
Grumman Shipbuilding’s Gulf Coast facility in Pascagoula to provide design, planning and
material support for the DDG-51 Arleigh Burke-class destroyer program. (
Source: Mobile
Press-Register, 08/29/08)

Bender gets contract
MOBILE, Ala. – The Army awarded Bender Shipbuilding & Repair Co. a $6.9 million
contract for drydocking and repair of the dredging vessel Wheeler, operated by the Army
Corps of Engineers out of New Orleans. (
Source: Mobile Press-Register, 08/29/08)

Austal reports profits
MOBILE, Ala. – Austal USA’s Australian parent reported profit of about $45.3 million for
the fiscal year that ended June 30, a 14 percent rise over 2007. But the company said
that it is counting on military work that has not yet materialized to grow its Mobile
operations. (
Source: Mobile Press-Register, 08/26/08)

Amphibious ship criticized
Some two years after delivery, the amphibious transport dock New Orleans has trouble
conducting sustained combat operations, according to the Navy Board of Inspection and
Survey. The New Orleans has an unreliable propulsion system, inoperable vehicle ramps,
balky missile launchers and a host of other problems. (
Source: Navy Times, 08/25/08)

Harvey Gulf purchased
NEW ORLEANS, La. – The Jordan Co., LP, a New York private equity firm, has acquired a
majority interest in Harvey Gulf International Marine for $500 million. Under terms of the
agreement, Harvey Gulf CEO Shane Guidry and other management will continue to own
24 percent of the outstanding equity interests of the company. Harvey Gulf is a marine
transportation company. (
Source: New Orleans Times-Picayune, 08/25/08)

Austal COO named president
MOBILE, Ala. – Austal USA has promoted Chief Operating Officer Joe Rella to president
of its U.S. shipyard in Mobile. Rella replaces Bob Browning, who Friday officially took the
helm at Australian parent Austal Ltd. as managing director and chief executive officer.
Austal in October hired Rella as chief operating officer, a position he will retain. (
Mobile Press-Register, 08/23/08)

Ship set for delivery
NEW ORLEANS, La. – The fourth in a series of amphibious warships is about to be turned
over to the Navy. The Green Bay is set to be delivered to the Navy Aug. 29 by Northrop
Grumman. The 25,000-ton Green Bay is 684 feet long and 105 feet wide, suitable for a
naval crew of 360 and 800 Marines. It can carry landing vessels and helicopters to deliver
Marines ashore. (
Source: AP, 08/23/08)

Halter lays keel
PASCAGOULA, Miss. – Officials laid the keel on a new missile-range instrumentation ship
for the Navy on Wednesday, marking the start of construction on the $199 million vessel
at VT Halter Marine's Pascagoula shipyard. Halter Marine in September 2006 won the
contract to build the T-AGM 25 vessel, a 700-foot ship. Halter Marine expects to launch
the ship next year, with delivery in 2010. (
Source: Mississippi Press, 08/14/08)

ST Engineering profits decline
Profits at Singapore Technologies Engineering inched back in the second quarter as the
company grappled with the declining value of the U.S. dollar and increased costs in its
aerospace operations. The company is the parent of ST Mobile Aerospace Engineering,
which employs about 1,600 people at Mobile's Brookley Field Industrial Complex, and VT
Halter Marine, which employs more than 1,000 people at shipyards in Pascagoula and
Moss Point, Miss. Profits fell to about $85 million, down 2 percent from the same period
last year. (
Source: Mobile Press-Register, 08/13/08)

Shipbuilders team up to find worker
NEW ORLEANS, La. – Gulf Coast shipbuilders have teamed up through the Gulf States
Shipbuilders Consortium to address the need for more skilled workers. The consortium is
working with technical colleges in Louisiana, Alabama and Mississippi to stage a series of
six-week boot camps where job candidates will get training to move into jobs with the
greatest need. There’s a special need for welders, shipfitters, riggers, electricians,
machinists and carpenters, who make between $42,000 and $45,000 annually. (
New Orleans City Business, 08/11/08)

South Mississippi metros top list
Hurricane Katrina homeowner assistance and shipbuilding helped boost growth in
personal income in the Gulfport and Pascagoula metro areas to the top of the national
rankings. According to the U.S. Commerce Department’s Bureau of Economic Analysis, on
a per capita basis the five fastest growing MSAs are Gulfport-Biloxi, Pascagoula, New
Orleans, Houma, La., and Lake Charles, La. Activity at shipyards plus the hurricane-
related money gave Pascagoula the highest growth in per capita personal income in the
nation last year, up 17 percent to $32,992. (
Source: The Sun Herald, 08/08/08)

Shipbuilders counting on MDA help
Two Pascagoula shipbuilders are counting on the Mississippi Development Authority’s
Katrina Supplemental Community Development Block Grant Program to help upgrade
facilities. VT Halter Marine wants to construct a pipe and marine fabrication building at its
Pascagoula yard, and Signal International hopes to dredge an area to construct a deep-
hole dry dock. County supervisors are applying for the grants and would officially own the
upgraded areas for the time being. (
Source: The Mississippi Press, 08/04/08)

Shipbuilders launch Web recruiting site
Shipbuilders on the Gulf Coast have joined forces to find thousands of workers. The Gulf
States Shipbuilders Consortium launches a Web site,, that the group hopes
will help recruit some of the 4,000 skilled positions open across Louisiana, Alabama and
Mississippi. The Web site will tell where the jobs are, give current openings and list skills
needed for the jobs. (
Source: The Sun Herald, 08/01/08)

Austal breaks ground on expansion
MOBILE, Ala. – Austal USA broke ground Thursday on a $254 million expansion of its
Mobile shipyard. The modular manufacturing facility promises faster, less expensive ship
construction. Bob Browning, Austal chief executive officer, said the new facility will allow
Austal to build ships 10 percent faster and trim costs. (
Source: Mobile Press-Register,

JULY 2008

Austal bidding for high-speed military vessels
MOBILE, Ala. – Austal USA said Wednesday that it had submitted its final bid for a
contract that could lead to construction of up to 10 high-speed troop transport ships. The
Navy is leading the purchasing process for the Joint High Speed Vessel program, though
the ships will also be used by the U.S. Army. The vessels are designed to quickly ferry
military personnel and equipment within theaters. (
Source: Mobile Press-Register,

LCS oversight criticized
Austal USA failed to keep Navy managers informed about the cost and schedule of the
littoral combat ship under construction at its Mobile yard, according to a report by the
Naval Audit Service. The findings were first reported earlier this month by the trade
publication Inside the Navy. The Mobile Press-Register obtained a redacted copy from the
audit service. The lead contractor, General Dynamics, said in a statement that it’s working
with the Navy to improve performance tracking. (
Source: Mobile Press-Register, 07/30/08)
Northrop Grumman profits up
LOS ANGELES, Calif. – Strong performances by the aerospace and shipbuilding units led
to a strong performance by Northrop Grumman. The company reported second-quarter
profit up 8 percent and sales up 10 percent. The Los Angeles-based company reported
net income of $495 million in the quarter ending June 30 and revenue of $8.63 billion.
Source: Multiple, 07/30/08)

Coast Guard cutter christened
PASCAGOULA, Miss. – The Coast Guard’s new $500 million cutter, The Waesche, was
christened Saturday in Pascagoula. It’s the second in a line of eight Coast Guard cutters
to be built at Northrop Grumman in Pascagoula. The 418-foot ship is 63 percent
complete. Production on the third cutter, Stratton, will begin in the summer of 2009.
Source: The Mississippi Press, 07/27/08)

New cranes to help Halter grow
PASCAGOULA, Miss. – VT Halter Marine is expanding and hopes to create 200 additional
jobs over the next five years. Two new $2 million cranes are part of the first steps in
upgrading the facility, which employs about 1,200 workers. The new cranes will be used to
complete a $254 million contract to build three 330,000-barrel tank barges for
Jacksonville-based Vessel Management Services Inc. The shipbuilder says the cranes
and other measures to increase the company’s efficiency should help capture more
contracts for larger vessels. (
Source: The Mississippi Press, 07/27/08)

Report: Navy scrapping stealth destroyer
The Navy will stop building stealthy Zumwalt destroyers after the first two are built in
shipyards in Mississippi and Maine. The Associated Press reports that Navy Secretary
Donald Winter called Maine Sen. Susan Collins to tell her the outcome of a meeting of top
brass regarding the future of the DDG-1000. The Navy’s been debating whether to build
more of the less expensive Arleigh Burke destroyers to reach the goal of a 313-ship Navy.
The Zumwalt is a high-tech ship made in large part from composites. It has a smaller crew
than the Arleigh Burke destroyer, but is larger and costs more than twice as much. Ingalls
shipyard in Pascagoula and Bath Iron Works in Maine each are building one Zumwalt. The
Navy Times reports that while it’s not clear how many more DDG-51s will be built, the
majority will be built at Bath, which only builds destroyers. Northrop Grumman’s Ingalls
yard, in addition to destroyers, remains busy building three classes of amphibious ships
and the Coast Guard’s new National Security Cutter. (
Source: AP, Navy Times, others,

Israel opts for Lockheed LCS
The Israeli government wants to buy up to four Littoral Combat Ships from Lockheed
Martin in a proposed contract worth up to $1.9 billion, according to a press release from
the Defense Security Cooperation Agency. The agency, which handles foreign military
sales, notified Congress of the possible sale of the ships, associated equipment and
services. The principal contractors are Lockheed Martin, General Dynamics and
Raytheon. Israel chose the Lockheed Martin version of the LCS over another, double-hull
version built by General Dynamics and its partner Austal USA. Both companies are still
competing to build LCS vessels for the U.S. Navy. (
Source: Multiple, 07/22/08)

Textron to build Mexican navy boats
NEW ORLEANS, La. – Textron Marine & Land Systems won a $24 million contract to
manufacture six search and rescue boats for the Mexican navy on Thursday. Construction
will begin immediately on the first boat. The vessels will be constructed at Textron’s
eastern New Orleans shipyard. The $24 million contract is Textron’s first with the Mexican
navy. (
Source: New Orleans Times-Picayune, 07/18/08)

MAY 2008

Austal in competition to build additional ships
MOBILE, Ala. – Mobile shipbuilder Austal USA is staying in the competition to build
additional littoral combat ships for the U.S. Navy. General Dynamics Corp., which leads
the Austal contracting team, and Lockheed Martin Corp. said Friday they had submitted
bids to build three more of the new breed of warship, designed for work in shallow, littoral,
waters close to shorelines. (
Source: Mobile Press-Register, 05/31/08)

Austal achieves key clearance
MOBILE, Ala. – Austal USA earned top security clearance from the U.S. Department of
Defense, laying the groundwork for the Mobile shipyard to compete as a prime contractor
on future projects for the U.S. military. Austal had to meet strict criteria about foreign
ownership. Austal USA’s parent is Austal Ltd. of western Australia. The clearance process
involved creating a new Austal USA board and formation of a committee that oversees the
shipyard's compliance with U.S. security and export regulations. (
Source: Mobile Press-
Register, 05/09/08)

Ship delivered to Coast Guard
PASCAGOULA, Miss. – The U.S. Coast Guard took possession of the first national
security cutter, Bertholf, this week. The 418-foot vessel is the first of eight national
security cutters planned by the Coast Guard. It’s the first large cutter to be built for the
Coast Guard in 40 years. Bertholf, built by Northrop Grumman, will be formally
commissioned in Alameda, Calif., Aug. 4. (
Source: Mississippi Press, 05/09/08)

APRIL 2008

Silver Ships gets Navy contract
MOBILE, Ala. – Theodore shipbuilder Silver Ships Inc. was awarded a $2.58 million
contract from Naval Sea Systems Command for research and development. Founded in
1985, the company does about 95 percent of its work for the military and has about 40
employees. (
Source: Mobile Press-Register, 04/18/08)

Austal workers reject union
MOBILE, Ala. – Austal workers voted against unionization Wednesday during Sheetmetal
Workers International Association Local 441’s second attempt to organize employees at
the Mobile shipyard. Seventy-six percent of the 699 people who voted voted “no,”
according to Austal and Local 441. (
Source: Mobile Press-Register, 04/10/08

Northrop awards some work on ship to Bath
PASCAGOULA, Miss. – Northrop Grumman Corp. has awarded a contract to General
Dynamics’ Bath Iron Works for the construction of parts for a $1.7 billion San Antonio
class amphibious transport dock ship being built in Pascagoula. It’s the eighth ship in the
LPD 17 class. The units will be barged to the company’s Pascagoula facility for
integration. Northrop also does work in the ships in New Orleans and Gulfport. Northrop
Grumman and General Dynamics have a long history of collaboration including the
construction of USS Arleigh Burke class destroyers, USS Ticonderoga class cruisers and
the U.S. Navy’s next generation of destroyers, the Zumwalt class. (
Source: Northrop
Grumman, 04/01/08)

MARCH 2008

Union vote slated for April
MOBILE, Ala. – A union vote is set April 9 at Austal USA’s 1,140-employee shipyard. The
National Labor Relations Board in March 2007 upheld a judge’s 2003 ruling that the
shipyard broke federal labor laws and ordered a new vote. In 2002, when the shipyard
had 130 workers, the union lost but claimed Austal broke labor laws in fighting the
organizing effort. (
Source: Mobile Press-Register, 03/23/08)

C&G to add more jobs
MOBILE, Ala. – C&G Boat Works Inc. plans to add as many as 150 new jobs in the next
three years. The company, which currently employs 360 people, won approval from the
Industrial Development Board Wednesday for up to $118,800 in tax breaks. Incentives
were granted for the $1.35 million the company is spending for improvements. (
Mobile Press-Register, 03/20/08)

Silver Ships gets tax abatements
MOBILE, Ala. – Silver Ships Inc. was approved for 10 years of tax abatements from Mobile
County’s Industrial Development Authority. It paves the way for a $790,000 expansion.
Exemptions, including city, county and state sales tax, will total more than $74,500 over
the 10 years. The planned 20,000-square-foot facility will house a new machine to cut
aluminum. Founded in 1985, Silver Ships has about 40 employees and reports that about
95 percent of its work is for the military. (
Source: Mobile Press-Register, 03/15/08)

Budget omits 10th amphibious ship
WASHINGTON – Navy officials reassured lawmakers that they plan to build a 10th LPD
amphibious warfare ship even though the president’s 2009 budget makes no mention of
the project. The $1 billion LPD ships are built by Northrop Grumman Corp. in Pascagoula
and Avondale, La. Asked during a House hearing about the future of the ships, Navy Vice
Adm. Barry McCullough said that the Marine Corps wants the 10th ship as part of the 313-
ship fleet envisioned by 2020. He said the commander of the Navy, Gary Roughead, now
agrees. (
Source: New Orleans Times-Picayune, 03/06/08)

Edison Chouest to expand
In a boon to Houma, Edison Chouest Offshore will add 1,000 jobs at the Port of
Terrebonne to expand shipyard operations that support deep-water oil and gas
exploration in the Gulf of Mexico. Gov. Bobby Jindal announced an initial $14 million state
investment. The state funds will create structural improvements at the port to allow Edison
Chouest’s LaShip subsidiary to build vessels with hulls greater than 350 feet. Edison
Chouest is based in Galliano and owns and operates support vessels for the U.S.
government, offshore research and oil and gas exploration. (
Source: Baton Rouge
Advocate, 03/06/08)

Northrop VP to work at Pascagoula site
Northrop Grumman says Irwin F. Edenzon, vice president and general manager of the
company’s Gulf Coast Shipbuilding sector, will administer his work from the company’s
Pascagoula offices. Northrop also named Matthew J. Mulherin as vice president and
general manager of the company's Newport News, Va., operations. Edenzon and Mulherin
will report to Mike Petters, president of Northrop Grumman Shipbuilding. The company
announced in January that it would consolidate its Newport News and Ship Systems
sector, based in Virginia and Mississippi, respectively. A headquarters for Northrop
Grumman Shipbuilding has not been decided. (
Source: New Orleans Times-Picayune,

Warship to be commissioned in Mobile
MOBILE, Ala. – The Navy selected Mobile as the site where its littoral combat ship
Independence will be commissioned, according to the Mobile Council of the Navy League
of the United States. Mayor Sam Jones will share details during a Monday announcement.
The ship will be launched in late April, and still has to undergo sea trials before the
commissioning. Austal in Mobile is building the ship as part of a team led by Virginia-
based General Dynamics Corp. (
Source: Mobile Press-Register, 03/01/08)


Austal net profit up
Austal Ltd., Australian parent of Mobile shipyard Austal USA, said Monday that net profit
for the half-year that ended Dec. 31 increased more than 53 percent to 29.9 million
Australian dollars, or about $27.6 million, with revenue up about 33 percent to $332.9
million Australian. (
Source: Mobile Press-Register, 02/26/08)

Northrop awarded contract
PASCAGOULA, Miss. – The Navy awarded Northrop Grumman a $1.4 billion contract for
construction of a Zumwalt-class destroyer, DDG 1001, and major components for the
warship. The contract was awarded to Northrop Grumman Shipbuilding, a newly formed
company sector comprising the former Ship Systems and Newport News shipbuilding
sectors. Northrop’s Gulfport yard will build the composite deckhouse for all DDG 1000
class destroyers. Construction of the ship will begin in Pascagoula in late 2009, with an
expected delivery date of 2014. Fabrication of the deckhouse will start later this year.
Source: The Sun Herald, 02/15/08)

VT Halter wins contract
PASCAGOULA, Miss. – VT Halter Marine won a contract to design and build two platform
supply vessels for L&M Botruc Rental Inc. of Golden Meadow, La. The contract is valued
at between $45 million and $55 million. Construction is scheduled to begin between April
and June, with deliveries of both vessels scheduled for 2010. The 230-foot vessels will
carry supplies, deck cargo and drilling fluids for offshore production and exploration.
Source: The Sun Herald, 02/13/08)

Coast Guard pleased with cutter
U.S. Coast Guard officials praised the National Security Cutter program Monday, telling
reporters that the service’s first large cutter will be delivered by May at a cost of about
$500 million. The Bertholf is now on sea trials in Pascagoula. Adm. Ron Rabago, the
program executive officer, said the ship is quiet, smooth and vibration free, and the Coast
Guard is excited about the capability the ship will bring. The 418-foot cutter is the flagship
of the Coast Guard’s Deepwater Program, a 25-year program to replace ships, aircraft
and communications systems. (
Source: The Sun Herald, 02/13/08)

Northrop receives housing award
PASCAGOULA, Miss. – Northrop Grumman Corp. received a 2008 Pioneer Award from
Homes for Working Families for its employee-assisted housing program. Northrop’s Gulf
Coast Operations is preparing to launch an employer-assisted housing program for
employees who otherwise would not have access to affordable housing. Designed as a
recruitment and retention tool, the program will provide financial assistance through down
payments, funds in the form of a forgivable loan and counseling to eligible employees who
have been employed with the company for at least six months. Key partners in the
program are Gulf Coast Renaissance Corporation and Dependable Affordable
Sustainable Housing. (
Source: Biloxi Sun Herald, 02/12/08)

Shipbuilder returns to New Orleans
NEW ORLEANS, La. – A shipbuilding company that left New Orleans after Hurricane
Katrina has returned to the city. United States Marine Inc. lost its shipyard on Chef
Menteur Highway in eastern New Orleans during the 2005 storm and had to move its
headquarters to Gulfport, Miss. But the company in November began leasing space along
the Industrial Canal from Trinity Yachts Inc. United States Marine’s headquarters will
remain in Mississippi while its new Industrial Canal space will serve as a second location.
Source: New Orleans Times-Picayune, 02/12/08)

Facility will train shipyard workers
MOBILE, Ala – Alabama Industrial Development Training plans to open a multimillion-
dollar training facility for shipbuilders on the east bank of the Mobile River by next
summer. It will consist of a 60,000-square-foot training facility and 30,000-square-foot
outdoor area with a bulkhead and shipfitting area. AIDT Director Ed Castile said the
Maritime Sciences Center flows from the success of AIDT’s maritime training programs at
Brookley Field Industrial Complex, as well as projected demand for up to 2,000 shipyard
workers over the next two years. About 22 acres of state-owned land on the Causeway
has been earmarked for the project. (
Source: Mobile Press-Register, 02/08/08)


Cruise ship makeover
MOBILE, Ala. – Carnival Cruise Lines’ 2,052-passenger Fantasy could undergo a
multimillion-dollar renovation at a shipyard in Mobile this fall, according to Miami-based
Carnival. Carnival said the Fantasy, which sails from New Orleans to the Caribbean for
cruises, is scheduled to go into dry dock Sept. 6 through Oct 4. In 2006, three Carnival
vessels were refurbished at Atlantic Marine Inc. (
Source: Mobile Press-Register,

Star Aviation to pursue marine work
MOBILE, Ala. – Star Aviation, an aircraft component engineering and manufacturing firm,
wants to move into the marine engineering market. It hired Garland Borowski, who had led
Borowski Engineering & Analytical Services. Star Aviation believes it can transfer its
expertise from aviation work to ships. Borowski provided computer modeling and
simulation and had one full-time and one part-time employee. Star Aviation has more than
110 employees. (
Source: Mobile Press-Register, 01/31/08)

Gulfport-Biloxi among the fastest growing metro areas
The three-county Gulfport-Biloxi Metropolitan Statistical Area is ranked 9th fastest growing
small metro areas, according to the latest list in Forbes. The metro area’s gross
metropolitan product – the value of goods and services produced – is expected to grow
23.12 percent between 2007 and 2012. Its population alone will increase by nearly 17
percent. Forbes looked at the nation’s 363 metro areas and split the list between large
and small metro areas. Forbes used projections by Moody’s Topping the
list of small metro areas was Mobile. The GMP for Mobile will rise 34 percent between
2007 and 2012. The top large metro area was Austin, Texas. (
Source: Tcp, 01/30/08)

Ship christened in Pascagoula
PASCAGOULA, Miss. – The Navy’s newest Aegis guided missile destroyer, the USS
Dewey, was christened Saturday in Pascagoula. The Dewey was christened by Deborah
Mullen, wife of Adm. Michael Mullen, chairman of the Joint Chiefs of Staff. The ship is
named for Adm. George Dewey, famous for his victory in the Battle of Manila in 1898 at
the start of the Spanish-American War. The ship is the third to carry the name. Northrop
Grumman has built 26 of the 55 Arleigh Burke destroyers at its Pascagoula shipyard.
Source: Mississippi Press, 01/27/08)

Northrop Grumman consolidating shipbuilding operations
Northrop Grumman Corp. will merge under one entity its two shipbuilding operations
beginning Jan. 28. The new entity, Northrop Grumman Shipbuilding, combines Virginia's
Newport and Mississippi's Pascagoula-based Ship Systems. Michael Petters, president of
Newport News, will become president of the new unit and work out of Pascagoula during
the one-year transition. Philip Teel, president of Ship Systems, on April 1 will become
president of Northrop’s Mission Systems sector, which develops sensors, communications
and surveillance networks. Northrop does not expect the consolidation to lead to any
shipyard closures or job cuts. Northrop, once primarily an aerospace company, got into
shipbuilding in 2001 and 2002 with the purchase of Litton Industries and Newport News. In
addition to the shipbuilding realignment announced Monday, the company is also
realigning the reporting of its missiles business from its Mission Systems sector to its
Space Technology sector, effective July 1, 2008. Mission Systems will focus on the rapidly
growing C4ISR business, and the missiles business will be an integrated element of the
company's Aerospace business growth strategy. (
Sources: multiple, 01/17/08)

Shipbuilder lands tax incentives
MOBILE, Ala. – Austal USA will get $24.4 million in property and sales tax breaks to aid
the planned $254 million expansion of its Mobile shipbuilding facility. Mobile’s Industrial
Development Board voted to shield the company from $15.7 million in property taxes over
10 years, plus $8.7 million in sales taxes that Austal would have paid on building
materials. The expansion is projected to add another 1,000 employees to Austal’s current
1,160 workers. (
Source: Mobile Press-Register, 01/17/08)

Mississippi tax system gets high marks
A new report lists Mississippi with high marks for having a mechanism in place to review its
tax systems in light of the changing economy. A study by the Pew Center on the States
says effective tax systems are important for a state’s competitiveness. Good ones provide
stable revenue, efficient tax collection, transparent information about incentives and give
localities a say in how tax dollars are used. The study says many state tax systems fail on
these measures and lack the ability to support new economic engines. In addition to
Mississippi, other states with effective systems are Iowa, Maine, Minnesota, Nebraska,
New Jersey, Texas and Utah. (
Source: Governing, 01/08)

Mississippi No. 2 in R&D earmarks
The top 10 state recipients of R&D earmarks receive nearly half the total, according to an
analysis by American Association for the Advancement of Science. Mississippi received
$250 million, second only to California. Excluding earmarks divided among three or more
states, the 10 states receive 44 percent of all R&D earmarks in 2008 by value. The 10
represents a mix of the most populous states and smaller states with members of
Congress in key appropriations committee chairmanships. Congress inserted nearly $4.5
billion in federal R&D earmarks, spread over 2,526 projects, in spending bills for fiscal
year 2008, according to AAAS. The earmarks are for projects not included in agency
budget requests. After a one-year moratorium in the 2007 fiscal year for most domestic
earmarks, Congress resumed the practice for the 2008 fiscal year with new disclosure
requirements. (
Source: AAAS, 01/07/08)

Signal International to move corporate to Mobile
MOBILE, Ala. - Signal International, a marine and fabrication company, is moving its
corporate office from Pascagoula to Mobile’s 35-story RSA Battle House Tower, tallest
building in the state. The company will move within nine months. The Retirement System
of Alabama, which funded the downtown tower, helped finance a buyout of some of Signal’
s investors and is now a partner. Signal has 2,500 workers in two shipyards in Pascagoula
and four in Texas. (
Source: Mobile Press-Register, 01/06/08)