DECEMBER 2010

January sci-tech newsletter available
The latest issue of Alliance Insight, a quarterly newsletter highlighting science and
technology in South Mississippi, is now available. The January issue takes a look at what’s in
store for South Mississippi in 2011. Also included: feature stories about NASA’s Stennis
Space Center, the Infinity Science Center, South Mississippi’s airports and the Tradition
planned community. The newsletter is produced by the Mississippi Gulf Coast Alliance for
Economic Development. (Source: Alliance Insight, January 2011)

Austal, Lockheed get LCS contracts
WASHINGTON - The Navy has awarded Lockheed Martin Corp. and Austal USA each a fixed-
price incentive contract for the design and construction of a 10 ship block-buy, for a total of
20 littoral combat ships from fiscal 2010 through fiscal 2015. The amount awarded to
Lockheed Martin Corp. for fiscal 2010 littoral combat ships is $436,852,639. The amount
awarded to Austal USA for the fiscal 2010 littoral combat ships is $432,069,883. (Source:
NNS, 12/29/10)

Contract: Northrop Grumman, $12M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $12,000,000
cost-plus-fixed fee modification to previously awarded contract for government-furnished
equipment workshare transportation efforts in support of the DDG 1000 Zumwalt-class
destroyer. The anticipated modification will provide government-furnished workshare
transportation efforts for the procurement of material required for the fabrication of cradles,
fixtures, and other equipment that are necessary to safely and securely transport class
products from Northrup Grumman Shipbuilding in Pascagoula, Miss., to Bath Iron Works in
Bath, Maine. Work will be performed in Pascagoula, Miss. (95 percent), and Gulfport, Miss.
(5 percent), and is expected to be completed by December 2011. The Naval Sea Systems
Command, Washington Navy Yard, D.C., is the contracting activity. (Source: DoD, 12/29/10)

Contract: Austal USA, $465.4M
Austal USA LLC, Mobile, Ala., is being awarded a fixed-price-incentive contract for the fiscal
2010-2015 block buy of Flight 0+ Littoral Combat Ships (LCS). The fiscal 2010 LCS Flight
0+ ship award amount is $432,069,883. There are additional line items totaling $33,398,998
for technical data package, core class services, provisioned items orders, ordering, a not-to-
exceed line item for non-recurring engineering, and data items. The total amount of the
contract is $465,468,881. The contract includes line items for nine additional ships and
options for post delivery support, additional crew and shore support, special studies, class
services, class standard equipment support, economic order quantity equipment, selected
ship systems equipment for a second source and selected ship system integration and test
for a second source which, if authorized/exercised, would bring the cumulative value of this
contract to $4,386,301,775. Work will be performed in Mobile, Ala. (50 percent); Pittsfield,
Mass. (17 percent); Cincinnati, Ohio (3 percent); Baltimore, Md. (2 percent); Burlington, Vt.
(2 percent); New Orleans, La. (2 percent); and various locations of less than two percent
each totaling 24 percent. Work is expected to be complete by June 2015. The Naval Sea
Systems Command, Washington, D.C., is the contracting activity. (Source: DoD, 12/29/10)

LCS will have big impact
The Mobile Press-Register takes a look at the impact of a $5 billion contract for Austal USA
to build littoral combat ships. It will mean 1,800 extra jobs, but the ripple impact will go well
beyond that. In ranges from employee spending to subcontractor work and the possibility of
suppliers setting up shop in Mobile. Congress last week approved buying 10 ships from
Austal and competitor Lockheed Martin. The Navy ultimately plans to buy 55 of the ships.
(Source: Mobile Press-Register, 12/27/10)

Congress OKs split LCS buy
Congress approved a Navy plan to award a nearly $5 billion shipbuilding contract to Austal
USA, doubling the size of the company’s Mobile shipyard and creating some 1,800 new jobs.
Once signed by President Barack Obama, the Navy will be able to move forward with a plan
to split the purchase of 20 vessels between Austal and Lockheed Martin Corp. Previously,
the shipbuilders were in a winner-take-all competition to build 10 LCS, with nine additional
ships planned in future years. (Source: Mobile Press-Register, 12/21/10)

Companies chosen for test facility
PASCAGOULA, Miss. - Jackson County Board of Supervisors agreed Monday to hire a grant
administrator, architect and engineer to work on a new land-based testing facility for
Northrop Grumman Shipbuilding. The grant administrator, Gouras and Associates, will help
submit a funding proposal to the Mississippi Development Authority. Once approved, the
architects, Ocean Springs-based Allred Architectural Group and Biloxi-based Eley Guild
Hardy Architects, and engineers at Orion Engineering can begin work. The multimillion-dollar
facility will be used for pre-installation assembly, integration and testing of ship components
and equipment, as well as other activities. (Source: Mississippi Press, 12/21/10)

Proposals opened for NG work
PASCAGOULA, Miss. - The Jackson County Board of Supervisors on Monday afternoon
opened proposals from firms wanting to work on a new land-based testing facility for
Northrop Grumman Shipbuilding. The county will hire a grant administrator, architect and
engineer to help submit a funding proposal to the Mississippi Development Authority, said
George Freeland, executive director of the Jackson County Economic Development
Foundation. Freeland noted that because the process is in its early stages, an exact
location, construction cost projection and square footage information is unknown. (Source:
Mississippi Press, 12/14/10)

Railgun test sets record
NAVAL SURFACE WARFARE CENTER DAHLGREN, Va. - The Office of Naval Research
reached a milestone Friday when it successfully conducted a world-record 33-megajoule
shot of the electromagnetic railgun. The railgun uses electricity to propel a projectile at high
velocity to destroy a target with kinetic energy rather than explosives. It can fire projectiles at
least 110 nautical miles. The railgun is being developed for use on a wide range of ships,
including the DDG 1000 and DDG 51. (Source: NNS, 12/10/10) Gulf Coast note: Northrop
Grumman builds DDG 51s, as well as the deck house, helicopter hangar and peripheral
vertical launcher system cells for the DDG 1000.

Railgun test scheduled
ARLINGTON, Va. - Navy leaders will be on hand Friday at Naval Surface Warfare Center
Dahlgren Division for a record-setting test of the experimental electromagnetic railgun. The
Navy will fire a 32-megajoule muzzle energy shot, a new world record. The railgun uses
electricity to propel a projectile at high velocity to destroy a target with kinetic energy rather
than explosives. A future tactical electromagnetic railgun will hit targets at ranges almost 20
times farther than conventional surface ship combat systems. The railgun is being
developed for use on a wide range of ships, including the DDG 1000 and DDG 51. (Source:
NNS, 12/08/10) Gulf Coast note: Northrop Grumman builds DDG 51s in Pascagoula, Miss.

LCS dual-buy bill introduced
The U.S. Navy’s plan to award shallow-water warship contracts to shipyards in both Mobile,
Ala., and Wisconsin cleared a hurdle when U.S. Rep. Gene Taylor, D-Miss., introduced
legislation to approve the purchases. Analysts said the bill, which has been sent to the
House Armed Services Committee, gives the dual-buy plan a clearer path to congressional
approval before the Navy-imposed Dec. 14 deadline. If Congress signs off, Austal USA in
Mobile and a team led by Lockheed Martin each will get contracts to build 10 littoral combat
ships, estimated to be worth about $5 billion each. Austal officials have said jobs will double
at the 1,800-worker Mobile River shipyard, if they win the work. (Source: Mobile Press-
Register, 12/04/10)

NG gets $480M contract
The Coast Guard has awarded a $480 million fixed-price incentive contract to Northrop
Grumman’s Shipbuilding sector to build a fourth National Security Cutter in Pascagoula. A
company spokesman said that engineering and planning work will begin immediately and
start of construction is scheduled to take place in the third quarter of 2011. The cutter will be
418 feet long and carry a crew of about 110. At peak production, 600 to 700 shipbuilders will
be working on the ship. (Source: Sun Herald, 11/30/10)


NOVEMBER 2010

Contract: Northrop Grumman, $43.7M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $43,739,721
modification to previously awarded contract for lifecycle engineering and support services
for LPD 17 class integrated shipboard electronic systems. Services include post-delivery
planning, logistics and engineering, homeport technical support, integrated product data
environment, data maintenance and much more. Work will be performed in Pascagoula and
is expected to be completed by December 2011. The Naval Sea Systems Command,
Washington, D.C., is the contracting activity. (Source: DoD, 11/30/10)

Contract: Northrop Grumman, $26.1M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $26,103,188
cost-plus-fixed fee modification to previously awarded contract to exercise an option for
fiscal 2011 class services in support of the DDG 1000 Zumwalt class destroyer. Services
included product fabrication, delivery, engineering, and engineering support to integrated
power system operations and land-based test site; support for radar cross section and other
selected ship signatures; and integrated logistics support. Work will be performed in
Pascagoula and Gulfport, Miss., and is expected to be completed by October 2011. The
Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source: DoD,
11/29/10)

Titanium shipbuilding explored
NEW ORLEANS, La. – The University of New Orleans has been awarded a three-year $4.8
million grant from the Office of Naval Research to advance the science and technology of
titanium shipbuilding. The research will focus on the manufacturability and structural
performance of a titanium mid-ship section. Both material requirements and advanced
welding processes will be investigated. Titanium is more resistant to corrosion than
traditional structural steels and aluminum alloys, but lacks robust welding and joining
techniques. (Source: Media-Newswire, 11/23/10)

LPD 24 launched
PASCAGOULA, Miss. – Northrop Grumman Shipbuilding launched its newest amphibious
transport dock ship Arlington (LPD 24) Tuesday. It’s the eighth ship of the USS San Antonio
(LPD 17) class of ships, and it’s 77 percent complete. The ship's christening is tentatively
scheduled for spring of 2011. The LPD 17 ships are 684 feet long and designed to deploy
the combat and support elements of Marine expeditionary units and brigades. The ship can
carry up to 800 troops and have the capability of transporting and debarking air cushion or
conventional landing craft. (Source: Northrop Grumman via GlobeNewswire, 11/24/10)

Is Huntington Ingalls in the future?
Northrop Grumman took another step towards a possible spinoff of its shipbuilding
operations in Virginia and Mississippi in another filing with the Securities and Exchange
Commission. The new company would be Huntington Ingalls Industries, named for the
founders of Newport News shipyard in Virginia and Ingalls Shipbuilding of Pascagoula, Miss.
It would be based in Newport News, and be a wholly owned subsidiary of Northrop Grumman.
No final decision has been made on whether to opt for the spinoff or to sell the shipbuilding
segment. The filing also confirmed plans to close Avondale in Louisiana by 2013 and shift
the work to Pascagoula and Gulfport, Miss. (Sources: Mississippi Press, Daily Press,
11/24/10)

Pascagoula-built ship commissioned
WILMINGTON, N.C. - The Navy's newest Arleigh Burke class guided-missile destroyer, USS
Gravely (DDG 107), was commissioned in Wilmington, N.C., Nov. 20. The ceremony
honored the late Vice Adm. Samuel Lee Gravely, Jr. About 4,000 people attended the
commissioning ceremony held at North Carolina State Ports in Wilmington. (Source: NNS,
11/20/10) Gulf Coast note: The ship was built by Northrop Grumman Shipbuilding in
Pascagoula, Miss.

Signal gets BP contract
MOBILE, Ala. - Signal International said it’s won a contract with BP Exploration and
Production Inc. to decontaminate vessels used in response to the Gulf oil spill. More than
100 workers and subcontractors will clean tank barges at Signal's West Yard in Pascagoula,
Miss. The value of the contract was not released. Work will run through the end of the year,
with a possibility of an extension beyond then, company officials said. (Source: Mobile Press-
Register, 11/17/10)

Maritime training center set to open
MOBILE, Ala. - On Monday, Alabama Industrial Development Training will open its new $12
million Maritime Training Center. On the outside the building resembles a freighter loaded
with containers from different countries. The inside is split in half, with Austal USA occupying
one side of the building and AIDT, an arm of the two-year college system, running the other
side. The AIDT side is for those interested in learning shipbuilding skills, and the Austal side
will be used by the company for employee training. (Source: Mobile Press-Register,
11/07/10)

NG opts for spinoff, not sale of shipbuilding
Northrop Grumman told private-equity firms it's scrapping a plan to sell its shipbuilding
business and will instead pursue creating a spinoff. Bids from four private equity concerns
fell short of expectations. During the summer Northrop Grumman said it was exploring
getting out of the shipbuilding business to focus on its other sectors. The company filed
documents with the Securities and Exchange Commission on Oct. 15 to start the process.
(Sources: Bloomberg via Sun Herald, Reuters, 11/05/10) Gulf Coast note: Northrop
Grumman has shipyards in Louisiana, Mississippi and Virginia.

NG to begin LCS module production
Northrop Grumman was awarded a $29 million Navy contract to begin production of three
mission module packages for littoral combat ships. Two surface warfare packages and one
anti-mine warfare package will be built at a location not yet determined. The first package is
scheduled for early 2012 delivery and the others later that year. The current, initial mission
packages were designed by the Navy's Warfare Centers in Panama City, Fla., Dahlgren,
Va., and San Diego, where they were built. The LCS is based on a modular concept, where
different packages can be used based on the mission. The mine countermeasures package,
for example, includes the Airborne Laser Mine Detection System, the Remote Minehunting
System and the Fire Scout vertical takeoff unmanned air vehicle. The LCS can go to the
port where mission packages are staged, off load its current package and replace it with a
new one in a few days. (Source: Northrop Grumman, 11/04/10, Mobile Press-Register,
11/05/10) Gulf Coast note: Austal USA in Mobile, Ala., is one of two companies building LCS
ships for the Navy; Northrop Grumman Fire Scouts are built in part in Moss Point, Miss;
Northrop Grumman has both shipbuilding and aerospace operations in the Gulf Coast.

Navy to split LCS contract
The Navy would buy Littoral Combat Ships from both Austal USA and Lockheed Martin
under a new proposal by Navy Secretary Ray Mabus, according to the Navy and elected
officials. Sens. Richard Shelby, R-Ala., and Jeff Sessions, R-Ala., said Wednesday that the
plan would have Austal make 10 of the ships in Mobile, more than doubling its workforce of
1,800. Lockheed’s 10 would be built in Wisconsin by Marinette Marine Corp. The deal, if
approved by Congress, would replace an earlier plan by the Navy to pick one of the two
competing ships. (Source: Mobile Press-Register, 11/04/10)


OCTOBER 2010

Destroyer leaves for homeport
PASCAGOULA, Miss. - The guided missile destroyer Gravely left today for Wilmington, N.C.,
where it’s scheduled to be commissioned Nov. 20. Gravely, DDG 107, which was delivered
to the Navy in July, is the 27th Aegis-class destroyer to be built at Northrop's Pascagoula
yard. (Sources: Mississippi Press, WLOX, 10/29/10)

Contract: Northrop Grumman, $48.1M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $48,107,835
modification to previously awarded contract for additional planning and advanced
engineering services in support of the LHA replacement (LHA[R]) Flight 0 amphibious
assault ship (LHA 7). Work will be performed in Pascagoula, Miss., and is expected to be
completed by May 2012. Contract funds will not expire at the end of the current fiscal year.
The Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source:
DoD, 10/28/10)

Maritime academy design closer
PASCAGOULA, Miss. - Architects are moving in on a design for the $20 million Jackson
County Maritime Trades Academy. The design was presented to the Jackson County Board
of Supervisors during its regular meeting Monday morning. The federally funded academy at
a nine-acre site is designed to provide a skilled workforce and help Northrop Grumman
Shipbuilding expand its two- to four-year apprentice program from 610 to 1,000 students.
Originally, the county planned to turn over ownership of the facility to the Mississippi Gulf
Coast Community College. Now Northrop Grumman will eventually own the building and
handle daily operations. (Source: Mississippi Press, 10/26/10)

Contract: Northrop Grumman, $62M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $62,000,000
cost-plus-fixed-fee not-to-exceed modification to previously awarded contract for advance
procurement of long lead time materials in support of Landing Platform Dock 27. Work will
be done in Pascagoula, Miss., and is expected to be completed by August 2014. Contract
funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command,
Washington, D.C., is the contracting activity. (Source: DoD, 10/20/10)

Spin-offs can be winners
The Mobile Press-Register on Sunday took a closer look at what might happen with a spin-
off of Northrop Grumman’s shipbuilding sector. Some think a shipbuilding operation turned
loose from the parent could be a winner for investors. The company says it's leaning toward
a spin-off, but is also meeting with large buyout firms. (Source: Mobile Press-Register,
10/17/10) Northrop Grumman owns shipyards in Pascagoula, Miss., Avondale, La., and
Newport News, Va., and this past summer said it’s considering getting out of the shipbuilding
business. At least one company, Cleveland Ship, has made its interest public.

San Antonio won’t deploy
NORFOLK, Va. – The USS Mesa Verde will deploy as part of the Bataan Amphibious Ready
Group in the summer of 2011 in place of the USS San Antonio, the U.S. Fleet Force
Command announced. Work is still being done on the San Antonio to return it to the fleet.
(Source: NNS, 10/15/10) The first ship of its class, the San Antonio, LPD 17, has had
problems, including its propulsion system, since its commissioning more than four years ago.
An internal investigation found both the shipbuilder, Northrop Grumman in Avondale, La.,
and the Navy at fault for not catching problems earlier. Mesa Verde, LPD 19, is the third ship
of the class and was built by Northrop Grumman in Pascagoula, Miss.

Report says ferries sold
MOBILE, Ala. – Two high-speed ferries built by Austal USA with the intent of shuttling people
and goods between the Hawaiian Islands were reported sold at auction earlier this week to
the federal government. Hawaii Superferry Inc. ordered the two ferries in 2004, but the
company went bankrupt after a state law that allowed the company to operate while an
environmental study was done was unconstitutional. The Virginian-Pilot reported that the
ships were sold for $25 million each to the U.S. Maritime Administration. (Source: Mobile
Press-Register, 10/12/10)

Contract: Austal, $203.7M
Austal USA, Mobile, Ala., is being awarded a $204,652,897 modification to previously
awarded contract for the exercise of construction options for ships four and five of the Joint
High Speed Vessel program. The JHSV 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, Ala., and is expected
to be completed by December 2013. The Naval Sea Systems Command, Washington, D.C.,
is the contracting activity. (Source: DoD, 10/12/10)

Signal International lands contract
Signal International won a $32.4 million contract with Transocean Offshore Drilling to
refurbish and upgrade the company's Deepwater Navigator drillship. Signal will use its yards
in Pascagoula, Miss., and Mobile for the work, which should take 160 days. Signal is hiring in
all crafts at both yards. In Pascagoula it will hire 300 workers and in Mobile 100. The
Pascagoula shipyard has 600 workers and the Mobile yard 240. (Source: Mobile Press-
Register, Sun Herald, 10/08/10)

Northrop Grumman loads fuel on transport
PASCAGOULA, Miss. - Northrop Grumman Shipbuilding achieved a key milestone by loading
100,000 gallons of fuel aboard the company's sixth San Antonio-class amphibious transport
dock ship over the weekend. The loading of fuel is important as the shipbuilders prepare to
light the San Diego’s first generator and later send the ship to sea for its first sea trial. The
generator light off for LPD 22 is scheduled for next month. The ship was christened in June
and is scheduled for sea trials in the second quarter of 2011. The 684-foot long ship is
capable of embarking a landing force of up to 800 Marines. It’s powered by four turbo-
charged diesels. (Source: Northrop Grumman, 10/06/10)

AFL-CIO gets in shipyard fight
The AFL-CIO is throwing its weight behind Louisiana shipworkers in a bid to save thousands
of jobs. Northrop Grumman, owner of the Avondale shipyard, issued the first round of pink
slips to workers on Monday. Northrop Grumman, which has 5,000 workers at the Avondale
yard, said in July that it would close the yard and shift the work to its shipyard in Pascagoula,
Miss. The company also said it's looking at shedding all of its shipbuilding sector, including
Pascagoula and Newport News, Va. AFL-CIO President Richard Trumka said his
organization is meeting with government officials and prospective buyers of the shipbuilding
unit to try and find a solution that will keep the unit on the job. (Source: The Hill, 10/05/10)

Bidder reported for shipyards
Cleveland Ship LLC, formed to bid for a new class of U.S. Navy oilers, said it made an offer
for Northrop Grumman Corp.’s shipbuilding unit. The Cleveland-based company didn’t
specify the value of its Sept. 23 bid. Cleveland Ship said it had expressed interest earlier
this year in buying Northrop’s shipyard in Avondale, La. Northrop Grumman said in July it will
be closing the Louisiana shipyard and consolidate work in Pascagoula, Miss. But the
company also said it is considering selling its entire shipbuilding sector, which also includes
Newport News, Va. (Source: Bloomberg, 10/04/10)


SEPTEMBER 2010

Contract: Signal, $8M
Signal Technologies Corp., Fort Walton Beach, Fla., is being awarded a $7,967,525 firm-
fixed-price contract for repair, upgrade and new construction of high-voltage power supplies
and distribution units for the AN/SLQ32 electronic warfare system components. The AN/SLQ-
32(V) countermeasure system is installed on Navy and Coast Guard ships as well as several
foreign military ships, and is the standard electronic warfare system that provides
surveillance, warning and countermeasure against complex missile attacks. This effort is in
support of the repair, upgrade and manufacture of high voltage components through
replacement of nonconforming parts and restoration of the system to a ready-for-issue
condition. These units will be used by the organic repair depot and Navy Inventory Control
Point to support various ships in the Navy and Coast Guard. These parts are unique
components of the AN/SLQ-32(V). Work will be performed in Fort Walton Beach, Fla., and is
expected to be completed by September 2015. The Naval Surface Warfare Center, Crane
Division, Crane, Ind., is the contracting activity. (Source: DoD, 09/30/10)

Austal starts work on second JHSV
MOBILE, Ala. - Austal has started building a second high-speed transport ship for the U.S.
military. The Joint High-Speed Vessels is 338 feet long and will be able to carry up to 600
tons of cargo and travel an average speed of about 35 knots. They will be used by the Army
and Navy. Austal began work on the first JHSV in December and anticipates a December
2011 delivery to the Army. This second ship is for the Navy with a delivery date of June
2012. (Source: Mobile Press-Register, 09/28/10)

Contract: Northrop Grumman, $12.2M
Northrop Grumman Shipbuilding, Pascagoula, Miss., is being awarded a $12,180,103
modification to previously awarded contract for additional infrastructure improvements to
NGSB shipyards. This modification is for additional infrastructure improvements at Northrop
Grumman Shipbuilding Gulf Coast shipyards, which were damaged by Hurricane Katrina in
calendar year 2005.  The infrastructure improvements are: a ship cleaning system for the
NGSB facility in Pascagoula, Miss.; accuracy control equipment for the NGSB facility in
Pascagoula, Miss.; a Haeusler Collar Forming work cell for the NGSB facility in Pascagoula,
Miss.; a material handling system for the NGSB facility in Pascagoula, Miss.; cable plant
management system for the NGSB facilities in Pascagoula, Miss. and New Orleans, La.;
specialized flushing equipment for the NGSB facility in Pascagoula, Miss.; and a five axis saw
for the NGSB facility in Gulfport, Miss. The contracted improvements at NGSS facilities are
part of a series of contracts with Gulf Coast shipbuilders to be awarded under Section 2203
of Public Law 109-234, emergency supplemental appropriations for Defense, The Global
War on Terror and Hurricane Recovery 2006. The purpose is to expedite recovery of
shipbuilding capability in areas affected by Hurricane Katrina by repairing and/or replacing
shipbuilding facilities, to make lasting improvement in shipyard facilities that would result in
measurable cost reductions in current and future Navy shipbuilding contracts, and to
improve the ability of shipbuilding facilities on the Gulf Coast to withstand damage from
potential hurricanes or other natural disasters. Work will be performed in Pascagoula, Miss.
(75 percent), Gulfport, Miss. (21 percent), New Orleans, La. (4 percent), and is expected to
be completed by August 2013. The Naval Sea Systems Command, Washington D.C., is the
contracting activity. (Source: DoD, 09/27/10)

Contract: VT Halter, $8.4M
VT Halter Marine, Inc., Pascagoula, Miss., is being awarded an $8,436,603 firm-fixed-price
contract for infrastructure improvements to their shipyard in Pascagoula, Miss. This contract
is for infrastructure improvements at VT Halter Marine's Pascagoula, Mississippi shipyard,
which was damaged by Hurricane Katrina in calendar year 2005. The infrastructure
improvements are for shipyard paving, utility improvements, crane rail extensions and the
procurement of additional crawler and overhead cranes. The contracted improvements at
VT Halter Marine facilities are part of a series of contracts with Gulf Coast shipbuilders to be
awarded under Section 2203 of Public Law 109-234, Emergency Supplemental
Appropriations for Defense, the Global War on Terror and Hurricane Recovery 2006. The
purpose is to expedite recovery of shipbuilding capability in areas affected by Hurricane
Katrina by repairing and / or replacing shipbuilding facilities, to make lasting improvement in
shipyard facilities that would result in measurable cost reductions in current and future Navy
shipbuilding contracts, and to improve the ability of shipbuilding facilities on the Gulf Coast
to withstand damage from potential hurricanes or other natural disasters. Work will be
performed in Pascagoula, Miss., and is expected to be completed by July 2012. The Naval
Sea Systems Command, Washington D.C., is the contracting activity. (Source: DoD,
09/27/10)

Bollinger to build more cutters
Bollinger Shipyards of Lockport, La., has a contract with the Coast Guard to build four
additional Sentinel Class Fast Response Cutters. The new 154-foot cutters bring the total
number of vessels Bollinger is building for the Coast Guard under its current contract to
eight. (Source: New Orleans Times-Picayune, 09/21/10)

$40 million test facility in bill
A Senate subcommittee voted this week to fund a $40 million land-based testing facility that
would be built in Pascagoula, Miss. The facility would be used by Northrop Grumman to test
electronic and other complex components on the ground prior to installing them on Navy
vessels. The Senate Defense Appropriations Subcommittee cut more than $8 billion from
President Obama's request for the Defense Department for 2011. The bill next goes to the
full Senate Appropriations Committee. (Source: Mississippi Press, 09/18/10)

Life line for Avondale?
Two Louisiana lawmakers say the Navy will announce Friday steps to ensure continued work
for 5,000 workers at Northrop Grumman’s Avondale, La., shipyard. Northrop plans to close
the yard by 2013 and consolidate in Pascagoula, Miss. But the Navy plans to move up
construction of tankers from 2017 to 2014 and will guarantee two amphibious transport
ships now under construction in Avondale will be completed there, Sen. Mary Landrieu and
Rep. Charlie Melancon said Thursday evening. Northrop Grumman is also exploring selling
all its shipyards. (Source: Reuters, 09/16/10)

LCS final bids in
Both teams wanting to build Littoral Combat Ships for the Navy have submitted final
proposals. Lockheed Martin and Austal USA are competing to have their design selected for
at least 51 more LCS ships. Lockheed Martin’s version is being built in Marinetta, Wis., and
Austal’s is being built  in Mobile, Ala. Along with the design selection, the Navy will award
contracts for 10 ships to be ordered between 2010 and 2014. (Source: Defense News,
09/15/10)

Contract: Lockheed Martin, $12M
Lockheed Martin Mission Systems & Sensors, Moorestown, N.J., is being awarded a
$12,088,100 modification to previously awarded contract for management and engineering
services to maintain and modify, as necessary, the design of DDG 51 class combat system
compartments and topside arrangements. The required services for DDG 51 class ships
and CG 47 class ships include program management and operation support, quality
assurance, configuration management, ship design integration, fleet lifecycle engineering
support, installation support, firmware maintenance, combat system test and evaluation,
Navy-furnished material support, special studies, and future-ship integration studies. Twenty-
two percent of the work will be done in Pascagoula, Miss. Other work sites are in New
Jersey, Maine, California, Washington, D.C., Virginia, and New York. Work is expected to be
completed by January 2011.  Naval Sea Systems Command, Washington Navy Yard, D.C., is
the contracting activity. (Source: DoD, 09/09/10)

Austal continues to hire
MOBILE, Ala. - Austal USA employs more than 1,800 people at its Mobile River shipyard and
continues to hire more, according to a company spokeswoman. The company started the
year with about 1,000 workers, but increased hiring because of a contract to build high-
speed transport ships for the U.S. military. It’s also competing for a $5 billion contract to
build 10 littoral combat ships for the U.S. Navy. (Source: Mobile Press-Register, 09/08/10)


AUGUST 2010

Contract: Lockheed, $6M
Lockheed Martin Mission Systems & Sensors, Moorestown, N.J., is being awarded a
$6,000,000 modification to previously awarded contract for management and engineering
services to maintain and modify as necessary the design of DDG 51 Class Combat System
compartments and topside arrangements, in support of the Program Executive Office
Integrated Warfare Systems.  The required services include program management and
operation support, quality assurance, configuration management, ship design integration,
fleet lifecycle engineering support, installation support, firmware maintenance, combat
system test and evaluation, Navy furnished material support, special studies, and future-ship
integration studies. Twenty-two percent of the work will be done in Pascagoula, Miss. Other
works sites are Moorestown, N.J., Bath, Maine, San Diego, Calif., Norfolk, Va., Port
Hueneme, Calif., and Syracuse, N.Y., and is expected to be completed by September 2011.
The Naval Sea Systems Command, Washington Navy Yard, D.C., is the contracting activity.
(Source: DoD, 08/27/10)

Contract: Horizon, $8.6M
Horizon Shipbuilding Inc., Bayou La Batre, Ala., was awarded on Aug. 25 a $8,619,510 firm-
fixed-price contract to acquire a welded steel hulled commercial standard inland river tow
boat for the Army Corps of Engineers, Mississippi Valley Division, Memphis District, for
towing services for Memphis, Little Rock, and Vicksburg districts. Work is to be performed at
Bayou La Batre with an estimated completion date of Feb. 20, 2012. Eighteen bids were
solicited with eight received. US Army Corps of Engineers, Philadelphia, Pa., is the
contracting activity. (Source: DoD, 08/26/10)

Shipyard trimming 300 jobs
PASCAGOULA, Miss. - Northrop Grumman Shipbuilding today issued a worker adjustment
and retraining notification for 292 employees at the Gulf Coast shipbuilding facility at
Pascagoula. The company expects to reduce another 350 employees in Pascagoula by year’
s end. The cyclical nature of shipbuilding, where employment levels rise and fall based on
contracts, is blamed for the latest round of cuts. (Source: Sun Herald, 08/25/10).

LCS contract delayed to fall
The Navy confirmed this week that it will not award a $5 billion contract for 10 littoral combat
ships this summer, but instead delay the decision until closer to the end of the year.
Austal USA and Lockheed Martin are competing with two different designs to build the ships.
At stake are at least 51 vessels. The service already has bought two ships from each
competing team. When complete, the LCS fleet will number about one-sixth of the entire U.S.
fleet. Austal USA employs about 1,500 people in its Mobile River shipyard. Austal officials
have said the LCS contract would necessitate the hiring of another 2,000 workers. (Sources:
Mobile Press-Register, 08/20/10, Defense News, 08/23/10)

Tug, barge christened
PASCAGOULA, Miss. - A new articulated tug barge was christened Tuesday at the VT Halter
Pascagoula shipyard. VT Halter and Crowley Maritime Corp. partnered to build the tank
vessel. Crowley's articulated tug barges consist of a tank vessel, which is the barge, and a
large tug positioned in a notch in the stern of the barge. The tug was built at the company's
Moss Point yard and the barge at the Pascagoula yard. VT Halter employs about 1,500 at its
three Jackson County facilities, which include an Escatawpa yard.(Source: Sun Herald,
08/10/10, Mississippi Press, 08/11/10)

Signal gets $15M contract
Signal International won a $15 million contract for work on Noble Corp.’s Jim Thompson semi-
submersible drilling rig, the company announced Monday. Signal, based in Mobile, Ala., will
do the work at its east yard in Pascagoula. The company will add more than 150 workers for
the job. (Source: Mobile Press-Register, 08/03/10)

Contract: Northrop Grumman, $17.2M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $17,224,434
cost-plus-fixed-fee modification to previously awarded contract to exercise an option for
fiscal 2010 class services in support of class product fabrication, delivery, engineering and
engineering support of the DDG 1000 Zumwalt Class Destroyer. Ninety-five percent of the
work will be done in Pascagoula and five percent in Gulfport, Miss., and is expected to be
completed by December 2010. The Naval Sea Systems Command, Washington Navy Yard,
D.C., is the contracting activity. (Source: DoD, 08/02/10)


JULY 2010

NG delivers destroyer Gravely
PASCAGOULA, Miss. - Northrop Grumman Shipbuilding's Pascagoula yard on Tuesday
delivered its 27th Aegis guided missile destroyer, Gravely, to the Navy. DDG 107 is 510 feet
long and weighs 9,500 tons. It will be commissioned Nov. 20, in Wilmington, N.C. (Source:
Mississippi Press, 07/27/10)

Ship christened by First Lady
PASCAGOULA, Miss. - First Lady Michelle Obama took two swings to smash a bottle of wine
during the christening of a Coast Guard cutter named for the organization’s first female
commissioned officer. Some 3,000 people showed up for the ceremony. The First Lady
praised Capt. Dorothy C. Stratton as a pioneer who joined the Coast Guard during World
War II and eventually oversaw more than 10,000 enlisted women and 1,000 commissioned
officers. The ship, built by Northrop Grumman, will be delivered next summer and patrol
waters off northern California. (Source: Multiple, including AP, Mississippi Press, Sun Herald,
07/23/10)

Keel laid for JHSV
MOBILE, Ala. – The Army and Navy this week authenticated the keel for the future Army
Vessel Spearhead, JHSV 1, at the Austal USA shipyard. The event symbolically recognizes
the beginning of ship construction. Spearhead is the first ship to be built as part of the
DoD's Joint High Speed Vessel program, managed by the Navy's Program Executive Office
Ships. The ship is expected to be delivered to the Army's 7th Sustainment Brigade in 2012.
The second ship of the class, the future USNS Vigilant, will be delivered to the Navy the
following year. (Source: NNS, 07/23/10)

First Lady to christen ship in Pascagoula
PASCAGOULA, Miss. - First Lady Michelle Obama will be in Pascagoula this week for the
Friday christening of the Coast Guard cutter Stratton at Northrop Grumman Shipbuilding.
Stratton, a 418-foot cutter, is the third in an eight-ship program. It’s named after the first
commissioned female officer in the Coast Guard. Northrop Grumman announced last year
that Michelle Obama would be the sponsor of the Legend class ship. (Source: Mississippi
Press, 07/19/10)

Colle Towing under new owner
PASCAGOULA, Miss. - Colle Towing, founded in 1878 in Pascagoula, has changed
ownership and is now Colle Maritime, a division of Signet Maritime Corp., headquartered in
Houston. The change was announced at Tuesday’s Port of Pascagoula Board meeting.
Colle Towing provides ship docking, marine transportation, vessel construction and repair.
(Source: Mississippi Press, 07/14/10)

Atlantic Marine buy finalized
BAE Systems has completed its acquisition of Atlantic Marine Holding Co. after receiving all
necessary U.S. regulatory approvals. On May 18, the company announced its definitive
agreement to acquire Atlantic Marine from JFL-AMH Partners, LLC, a portfolio company of
the private-equity firm J.F. Lehman & Company, for a cash consideration of $352 million.
The acquired Atlantic Marine operations at Mayport and Jacksonville, Fla., Moss Point,
Miss., and Mobile, Ala., employ about 1,000 people and will become known as BAE Systems
Southeast Shipyards. This new business provides vessel maintenance, repair, overhaul,
and conversion; marine fabrication; and ship construction services. (Source: BusinessWire,
07/13/10)

NOAA ends VT Halter contract
PASCAGOULA, Miss. - NOAA terminated its latest contract with VT Halter Marine for a 110-
foot ocean and coastal mapping vessel, the SWATH Ferdinand R. Hassler. The vessel is 98
percent complete and has undergone sea trials in the Gulf. But a dispute with NOAA over
how much weight the vessel could carry has led to an impasse and NOAA executed an
option to terminate the contract. Halter CEO Bill Skinner said they are still trying to work
through the issue, but there’s a possibility “that someone else will finish the job.” (Source:
Sun Herald, 07/13/10)

NG closing Avondale, may shed shipbuilding
Northrop Grumman is closing its shipyards in Avondale and Tallulah, La., and consolidating
its work in Pascagoula, Miss., while it considers shedding all its shipbuilding operations.
According to the company, it’s exploring “strategic alternatives” for its shipbuilding unit,
including a possible sale or spinning it off to shareholders. CEO Wes Bush said the
company sees little synergy between shipbuilding and its other business. (Sources: Sun-
Herald, Mobile Press-Register, Virginia Pilot, Washington Post, Wall Street Journal, 07/14/10)

NG gets tax break
BILOXI, Miss. - Northrop Grumman received a five-year tax exemption Monday for a $16
million improvement project at the company’s Gulfport operation. Harrison County
supervisors voted 2-1 to grant the property tax break on equipment purchased for the
facility. In a statement, Northrop Grumman officials said they purchased a new bridge crane
and mold table used in the fabrication of composite structures. The Gulfport facility employs
about 550, including 146 whose jobs were created by the purchases. (Source: Sun Herald,
07/12/10)

Jindal worried about Avondale
Louisiana Gov. Bobby Jindal added his voice to concerns that Northrop Grumman may close
its shipyard in Avondale, La. The company “has indicated to us that Northrop Grumman
does not intend to keep Avondale open for the long term in the absence of a viable Navy
shipbuilding program there,” Jindal said in an e-mailed statement. When Northrop completes
work on the LPD- 17 class transport ships at Avondale in 2012, the company intends to
move potential work on the next two ships in the category to its shipyard in Pascagoula,
Miss., Jindal said. (Source: Bloomberg, 07/12/10)

Final ship bids submitted
MOBILE, Ala. - Austal USA and rival Lockheed Martin have submitted final offers to build 10
littoral combat ships for the Navy. The contract could be worth $5 billion and would require
Austal to hire 2,000 more workers at its Mobile River shipyard, which currently employs
about 1,500.  The Navy is expected to choose a shipbuilder next month, Austal officials said
in a news release. Both competitors have built one ship so far. (Source: Mobile Press-
Register, 07/12/10)

Austal to lay keel for JHSV
MOBILE, Ala. - Austal USA will hold a keel-laying ceremony July 22 for its first Joint High-
Speed Vessel, Spearhead. The ceremony will be at Austal's shipyard on Mobile River across
from downtown. The high-speed transport ferry will carry military equipment and troops at
speeds of up to 43 knots. Austal was selected as the prime contractor on the project in
November 2008, and has received money for four more ships. (Source: Mobile Press-
Register, 07/07/10)

Moret: NG Avondale at risk
NEW ORLEANS, La. - Louisiana's economic development secretary said Friday he’s
concerned that the curtailment of Navy ship programs has put the future of the company’s
5,000-employee Avondale shipyard in doubt. Stephen Moret made the comments after
being briefed by Northrop Grumman officials. The Avondale yard is the state's largest
manufacturing employer, but the smallest of Northrop Grumman's three major shipyards,
which also include yards in Pascagoula, Miss., and Newport News, Va. A Northrop Grumman
official reached Saturday by the Times-Picayune deferred comments to a company
spokeswoman in Washington, D.C., who did not respond. (Source: New Orleans Times-
Picayune, 07/03/10)

Navy, Northrop blamed for ship woes
A report released Thursday says both the government and contractors share the blame for
the problems that have plagued the USS San Antonio. The failures, from shoddy
workmanship to bad quality control, caused the problems aboard the San Antonio-class
amphibious ship, which was built at Northrop Grumman in Avondale, La. The USS San
Antonio needs $7.5 million in repairs. The report details findings from a six-month Navy
investigation. (Sources: Norfolk Virginia-Pilot, 07/02/10, Navy Times, 07/01/10)

Naval engineer consortium formed
A new consortium has been formed to center on training naval systems engineers for the
Navy’s civilian acquisition, engineering and science workforce. Established by Naval Sea
Systems Command through a five-year, $7.5 million contract, the Naval Engineering
Education Consortium involves 15 colleges and universities, including the University of New
Orleans, as well as the American Society of Naval Engineers and the Society of Naval
Architects and Marine Engineers. The consortium is led by the University of Michigan and
includes, in addition to UNO, Penn State, Virginia Tech, the Massachusetts Institute of
Technology, Georgia Tech, Webb Institute, Florida State, Florida Atlantic University, Old
Dominion University, Tennessee State University, Stevens Institute of Technology, University
of Iowa, University of Texas-San Antonio and the University of Washington. (Source: Penn
State University, 06/30/10)


JUNE 2010

Contract: Northrop, $175.5M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a not-to-exceed
$175,497,896 cost-plus-fixed-fee contract for the procurement of long-lead time material,
and planning and advance engineering services in support of one landing helicopter assault
replacement Flight 0 amphibious assault ship. Twenty-three percent of the work will be done
in Pascagoula, and 24 percent in Brunswick, Ga., and 24 percent in locations not yet
determined. Other work locations are Los Angeles, Calif., York, Pa., and Brampton, Canada.
Work is expected to be completed by March 2014. The Naval Sea Systems Command,
Washington, D.C., is the contracting activity. (Source: DoD, 06/30/10)

Destroyer returns from sea trial
PASCAGOULA, Miss. – The Aegis guided missile destroyer Gravely successfully completed
its sea trial last week in the Gulf of Mexico. The DDG 107's successful sea trial paved the
way for delivery from the Pascagoula yard to the Navy later this summer, the company said.
Gravely is the 27th destroyer to be built at Northrop Grumman's Pascagoula yard. (Source:
Mississippi Press, 06/30/10)

Skimmers to be built
Mississippi will have as many as 23 new belt skimmers operating in state waters by Aug. 1,
the Mississippi Department of Environmental Quality said Saturday. The skimmers will be
built by Overing Yachts in Ocean Springs and Trinity Yachts in Gulfport. Gov. Haley Barbour
directed the construction of these vessels and for the costs to be paid by BP. (Source:
FOX10-TV, Sun Herald, 06/26/10)

Navy to christen Lorenzen
PASCAGOULA, Miss. - The Navy will christen the missile range instrumentation ship USNS
Howard O. Lorenzen on Saturday at a 1 p.m. ceremony at VT Halter Marine in Pascagoula.
The ship is named in honor of the Naval Research Laboratory electrical engineer who was
instrumental in the creation of the nation's electronic intelligence capabilities. Designated T-
AGM 25, the ship will provide a platform for monitoring missile launches and collecting data
that can be used to improve missile efficiency and accuracy. It will be operated by the
Military Sealift Command and conduct missions sponsored by the Air Force. The 12,575-ton
ship is 534 feet long and will have a combined crew of civilians who will operate and navigate
the ship and military and civilian technicians from other government agencies who will
operate monitoring equipment. (Source: DoD, 06/24/10)

Cochran honored by shipbuilders
U.S. Sen. Thad Cochran is being honored with the American Shipbuilding Association's
2010 Herbert H. Bateman award, which will be presented during the ASA's Salute to the
111th Congress reception in Washington, D.C. The award was established by the ASA in
2000 to recognize an individual in government or industry who has demonstrated years of
leadership in working for a stronger shipbuilding industry. (Source: Mississippi Press,
06/23/10)

Ship to be christened Saturday
PASCAGOULA, Miss. - The Navy will christen the newest amphibious transport dock ship,
San Diego, Saturday during a 10 a.m. CDT ceremony at Northrop Grumman Shipbuilding.
The ship is named for the city of San Diego, principal homeport of the Pacific fleet.
Designated LPD 22, San Diego is the sixth amphibious transport dock ship in the San
Antonio class and is capable of embarking a landing force of up to 800 Marines. The ship is
684 feet long and powered by four turbo-charged diesels. (Source: DoD, 06/10/10)

Academy groundbreaking set
PASCAGOULA, Miss. - Ground was broken Monday for the $20 million Jackson County
Maritime Trades Academy at Northrop Grumman Shipbuilding-Gulf Coast in Pascagoula.
The shipbuilder and Mississippi Gulf Coast Community College are partners in the
apprentice school. The new academy will enable the program to expand from 610 students
to 1,000 apprentices. The facility is funded by a HUD Community Development Block Grant
awarded by the state last year. (Source: Sun Herald, Mississippi Press, 06/08/10)

Contract: Austal, $99.6M
Austal USA, Mobile, Ala., is being awarded a $99,557,548 modification to previously
awarded contract for long lead time material for ships four and five of the Joint High Speed
Vessel program. This contract provides LLTM for main propulsion engines, aluminum,
waterjets, reduction gears, generators and other components to support construction of
JHSV ships four and five. Ten percent of the work will be done in Gulfport, Miss., and 3
percent in Mobile, Ala. Other work will be done in Michigan, Virginia, Australia, West Virginia,
Florida, Indiana, California and Iowa, and is expected to be completed by December 2011.
The Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source:
DoD, 06/04/10)


MAY 2010

VT Halter to be fined
MOSS POINT, Miss. - VT Halter Marine must pay fines of $1.3 million for a 2009 explosion
and fire that killed two workers and injured two others, according to the Occupational Safety
and Health Administration. The incident occurred in November of that year in the inner
bottom void of a tugboat that was being built at the company’s Escatawapa facility. OSHA
cited the company for 17 willful and 11 serious violations. (Source: Sun Herald, 05/19/10)

BAE Systems to buy Atlantic Marine
ARLINGTON, Va. - BAE Systems today announced it has entered into a definitive agreement
to acquire Atlantic Marine Holding Co. from JFL-AMH Partners LLC, a portfolio company of
the private equity firm J.F. Lehman & Company for a cash consideration of $352 million.
Atlantic Marine is a privately held vessel maintenance, repair, overhaul and conversion,
marine fabrication, and ship construction services provider with operations at Mayport and
Jacksonville, Fla., Moss Point, Miss., and Mobile, Ala. The acquisition does not include
Atlantic Marine's Boston and Philadelphia operations. The acquisition will be funded from
BAE Systems' existing cash resources. (Source: BAE Systems, 05/18/10)

Signal gets $30M contract
MOBILE, Ala. - Signal International won a $30 million contract to build two power generation
barges at its Orange, Texas, shipyard for Waller Marine of Houston. Each of the 300-foot-by-
100-foot barges will be capable of generating 171 megawatts of electricity. When the barges
are finished in August, Waller plans to take them to Venezuela. Signal, which recently
bought Bender Shipbuilding and Repair of Mobile, also has yards in Pascagoula, Miss.
(Source: Mobile Press-Register, 05/12/10)

Contract: Gulf Island Fabrication, $9.4M
Gulf Island Fabrication Inc., Houma, La., was awarded a $9,410,156 contract to obtain
marine services to modify the dredge Potter.  The modification includes replacing the
existing upper deckhouse and pilothouse areas. This project requires engineering and
design, fabrication, testing, and delivery services to provide the required modifications. The
dredge Potter is in support of dredging efforts for the U.S. Army Corps of Engineers, St.
Louis District. Work is to be performed in Houma, La., with an estimated completion date of
July 23, 2011. U.S. Army Corps of Engineers, Philadelphia District, Philadelphia, Pa., is the
contracting activity. (Source: DoD, 05/10/10)

Ship launched in Pascagoula
PASCAGOULA, Miss. – The Navy amphibious ship that will be named San Diego was
launched Friday in Pascagoula. It’s the fourth Navy vessel to be named for the city and will
be delivered to the Navy in 2011. The 684-foot amphibious transport dock ship built by
Northrop Grumman will be christened in June. The LPD 17 class of amphibious transport
dock ships can carry up to 720 troops along with air-cushioned and conventional landing
craft, expeditionary fighting vehicles, helicopters and vertical takeoff and landing aircraft.
(Sources: San Diego Union-Tribune, San Diego News Network, 05/07/10)

Inspector shortage cited in weld problems
A shortage of Navy inspectors contributed to quality problems with ships built at the Gulf
Coast yards of Northrop Grumman, a Navy official said Wednesday. Brian Persons,
executive director of Naval Sea Systems Command, said that after the Navy looked into the
cause of weld problems on destroyers and amphibious ships built as far back as 2002 in
Avondale, La., and Pascagoula, Miss., officials concluded there were too few inspectors
from the Supervisor of Shipbuilding to ensure the work. NavSea has been adding inspectors
over the past several months. (Source: Navy Times, 05/05/10)

Navy gets first EME for DDG 1000
Raytheon Co. delivered the first Electronic Modular Enclosure for the Zumwalt-class
destroyer to the U.S. Navy. The EME unit, which houses ruggedized and commercial
electronic equipment for the ship's external communications, was shipped from Raytheon's
facility in Largo, Fla., to Northrop Grumman Shipbuilding in Pascagoula, Miss., where it will
be integrated into DDG 1000's advanced composite deckhouse. There are 16 EMEs on
each Zumwalt destroyer, and each unit contains more than 235 individual electronics
cabinets. An EME weighs up to 18 tons and measures close to 35-feet long, 8-feet high and
12-feet wide.  (Source: PRNewswire, 05/04/10)


APRIL 2010

Contract: Northrop Grumman, $184M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded an $184,000,507
modification to previously awarded contract for the procurement of materials in support of
LPD 26, the 10th ship in the LPD 17 amphibious transport dock ship class. Work will be
performed in Pascagoula, Miss., and is expected to be completed by August 2012. The
Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source: DoD,
04/30/10)

BAE Systems eyes Atlantic Marine
The Financial Times reports that BAE Systems wants to expand its ship repair operations in
the United States and recently held talks to buy Atlantic Marine, owned by JF Lehman
private equity group. A deal would add Atlantic Marine’s four shipyards along the Gulf Coast
and East Coast to BAE’s operations. BAE has made no secret of its aim to expand. (Source:
Financial Times, 04/27/10) Gulf Coast note: Atlantic Marine has a shipyard in Mobile, Ala.,
on Pinto Island. Other yards are in Jacksonville and Mayport, Fla., Boston and Philadelphia;
BAE Systems has several operations in the Gulf Coast.

Tug contracts awarded
Trinity Yachts’ subsidiary, Trinity Offshore, both of Gulfport, Miss., has been awarded
contracts worth more than $27 million to build two RAstar 3100 terminal support/escort tugs
for Colle Maritime Co., of Pascagoula, Miss. Colle Maritime, a joint venture between Signet
Maritime Corp. and Colle Towing Co., is having the tugs built to fulfill a 20-year contract to
provide marine support services to Angola LNG Supply Services in the Port of Pascagoula.
The tugs will be built over 17 months in Trinity’s Gulfport shipyard and are expected to be
delivered in September of 2011. (Sources: Offshore Shipping, MarineLog, New Orleans
Times-Picayune, 04/27/10)

NG picks Virginia for HQ
Northrop Grumman will locate its new corporate office in Virginia, concluding a search that
also included the state of Maryland and the District of Columbia. Northrop Grumman is
negotiating with several building owners in the Falls Church/Arlington area. The company
expects to initiate operations in the new corporate office in the summer of 2011 with about
300 people. The move of corporate headquarters from Los Angeles to the Washington area
is designed to let the company be closer to its primary customer, the Pentagon. Northrop
Grumman has 120,000 employees and is involved in the aerospace, electronics, information
systems, shipbuilding and technical services sectors. (Source: Northrop Grumman,
04/26/10) Gulf Coast note: Northrop Grumman has a major presence on the Gulf Coast,
including shipyards and an unmanned systems center.

LPD 26 to be named Murtha
The Navy’s 10th San Antonio-class amphibious transport dock ship, LPD 26, will be named
after the late Rep. John Murtha of Pennsylvania. The formal announcement was made by
Navy Secretary Ray Mabus last week in Johnstown, Pa., at the John P. Murtha Johnstown-
Cambia County airport. The ship is being built by Northrop Grumman in Avondale, La. The
naming breaks the current tradition of naming the ships after U.S. cities. (Source: NNS,
04/23/10)

Contract: Northrop, $114M
Northrop Grumman Shipbuilding, Inc., Pascagoula, Miss., is being awarded an $114,003,000
modification to previously awarded contract to exercise the option for long lead time material
in support of the construction of DDG 114 under the DDG 51 class destroyer program. This
contract provides propulsion gas turbines, generators, controllable pitch propeller, and
other components to support construction of DDG 113 and DDG 114. Work is anticipated to
be performed in Cincinnati, Ohio (32 percent); Walpole, Mass. (30 percent); Charlottesville,
Va. (11 percent); Erie, Pa. (7 percent); Anaheim, Calif. (7 percent); Warminster, Pa. (2
percent); and various locations (11 percent). The effort is anticipated to start immediately
with a base period of performance ending 37 months after contract award. The Naval Sea
Systems Command, Washington Navy Yard, D.C., is the contracting activity. (Source: DoD,
04/23/10)

Bender auction scheduled
MOBILE, Ala. - Millions of pounds of steel, copper and other scrap metal, along with cranes,
barges and equipment from Bender Shipbuilding & Repair Co. will be auctioned in mid-May
in downtown Mobile. Bender had been a fixture of the Mobile riverfront for more than 90
years before it declared bankruptcy in June. In January Signal International LLC bought
Bender's Mobile shipyard for $31.25 million in a special auction for companies in Chapter
11. (Source: Mobile Press Register, 04/21/10)

Contract: Lockheed Martin, $15M
Lockheed Martin Mission Systems & Sensors, Moorestown, N.J., is being awarded a
$15,000,000 modification to previously awarded contract for management and engineering
services to maintain and modify the design of DDG 51 class combat system compartments
and topside arrangements, in support of the Program Executive Office Integrated Warfare
Systems. Twenty-two percent of the work will be done in Pascagoula, Miss. Work will also be
performed in Moorestown, N.J., Bath, Maine, San Diego, Calif., Washington, D.C., Norfolk,
Va., Port Hueneme, Calif., and Syracuse, N.Y., and is expected to be completed by
September 2011. The Naval Sea Systems Command, Washington Navy Yard, D.C., is the
contracting activity. (Source: DoD, 04/20/10)

Contract: Northrop Grumman, $9.8M
Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $9,818,797
cost-plus-fixed-fee modification to previously awarded contract for the calendar year 2010
government-furnished equipment workshare transportation of class products associated with
the DDG 1000 Zumwalt class destroyer.  This contract modification procures the labor and
material required to fabricate cradles, fixtures, pedestals, etc., required to support the
transportation of class products to Bath, Maine, in order to meet critical construction
milestones. Work will be performed in Pascagoula, Miss., and Gulfport, Miss., and is
expected to be completed December 2010. The Naval Sea Systems Command, Washington,
D.C., is the contracting activity. (Source: DoD, 04/19/10)

Groundbreaking to be announced soon
PASCAGOULA, Miss. - A groundbreaking date for the $20 million shipbuilding and metal
trades academy planned near Northrop Grumman Shipbuilding will be announced in the next
several months. Gov. Haley Barbour announced in early 2009 plans to spend the Hurricane
Katrina money on the academy. Northrop Grumman will be the main tenant, but VT Halter
Marine and Signal International will also use the facility. About nine acres on the west side of
Jerry St. Pet Highway have been set aside for the project. (Source: Mississippi Press,
04/19/10)

Ship christened in Pascagoula
PASCAGOULA, Miss. - The newest Arleigh Burke-class guided-missile destroyer, William P.
Lawrence, DDG-110, was christened during a ceremony Saturday at the Northrop Grumman
shipyard. The ceremony attracted about 1,000 people, including Navy dignitaries and former
prisoners of war. Ross Perot spoke at the event. The ship is the 60th destroyer in the
Arleigh Burke class, and the 28th built in Pascagoula. The 9,200-ton, 509-foot destroyer
has four gas turbine engines. The ship commemorates Navy Vice Adm. William P. Lawrence,
a Navy pilot who was a prisoner of war in North Vietnam and served as the superintendent of
the U.S. Naval Academy from 1978-83. (Source: WLOX-TV, Mississippi Press, 04/17/10)

C&G Boat Works gets grant
MOBILE, Ala. – C&G Boat Works Inc. received a $1.2 million grant from the Maritime
Administration for a new 220-ton crawler crane. The grant was one of 17 given out through
the administrations Assistance to Small Shipyards program, totaling $14.7 million. The crane
can be used on every project the shipyard undertakes, the company said. C&G employs
about 200 people at its Mobile River shipyard. The company is building five U.S. Navy patrol
ships left in a six-ship contract, along with two tugs, a riverboat and a ferry. (Source: Mobile
Press Register, 04/17/10)

Barges to be finished by VT Halter
MOBILE, Ala. - Two unfinished vessels that played a role in the collapse of Bender
Shipbuilding & Repair Co. are being completed by VT Halter Marine in Moss Point, Miss.
Halter last week announced that it signed a $21 million contract with subsidiaries of
Overseas Shipholding Group to complete two 8,000-ton articulated tug barges. (Source:
Mobile Press-Register, 04/14/10)

Keel laid for Egyptian ship
PASCAGOULA, Miss. – VT Halter Marine held a special keel laying ceremony Wednesday to
mark construction of an Egyptian ship. The state of the art ship will be 200 feet long with
advanced technology, exceptional security and fighting capabilities. The missile craft is
designed to perform coastal patrol, surveillance, interdiction, surface strike and naval battle
group support. VT Halter will build four of the ships for Egypt for $807 million. The first
vessel is slated for completion by mid 2012, and the fourth should be done by year-end of
2013. (Sources: Mississippi Press, WLOX-TV, 04/08/10)

Contract: Northrop Grumman, $17.1M
Northrop Grumman Systems Corp., Bethpage, N.Y., is being awarded a $17,132,243
modification to previously awarded contract to provide engineering and production planning
services for mission packages that will deploy from and integrate with the Littoral Combat
Ship. The Navy's plan is to use continuous evaluation of system maturity through a
disciplined system engineering framework to improve mission capability in identified mission
areas. LCS mission packages will be optimized for flexibility in the littorals. Mission package
capabilities are currently focused on primary mission areas of mine warfare emphasizing
mine countermeasures, littoral anti-submarine warfare, and littoral surface warfare
operations including prosecution of small boats. The LCS mission packages are developed
and acquired separately from the LCS Sea Frame. Twelve percent of the work will be done
in Panama City, Fla. Other work sites are in New York, Washington, D.C., Maryland,
California and Virginia, and is expected to be completed by March 2011. The Naval Sea
Systems Command, Washington Navy Yard, D.C., is the contracting activity. (Source: DoD,
04/02/10)

Northrop changes shipyard workweek
PASCAGOULA, Miss. - Northrop Grumman Shipbuilding said today that beginning May 31,
all the company’s Gulf Coast facilities will be changing their work schedule to a five-day,
eight-hour workweek from a four-day, 10-hour workweek. The company had worked the four-
day workweek since late 2004. Northrop Grumman Shipbuilding-Gulf Coast facilities are
located in Gulfport and Pascagoula as well as Avondale and Tallulah, La. (Source: Sun
Herald, 04/01/10)


MARCH 2010

Contract: VT Halter Marine, $165.4M
VT Halter Marine Inc, Pascagoula, Miss., is being awarded a $165,361,305 not-to-exceed
firm-fixed-price modification to previously awarded contract for the detail, design, and
construction of the fourth Egyptian navy Fast Missile Craft under the Foreign Military Sales
program. The effort will also include technical manuals, crew familiarization training, and
technical and supply support. The efforts required include all hardware, software, licensing,
design engineering, production engineering, manufacturing, test engineering, technical
documentation, training, spares procurement, and program management through delivery.
Most of the work, 57 percent, will be done Pascagoula. Other work sites are in Virginia,
Pennsylvania and Maryland, among others. Work is expected to be completed by December
2013. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
(Source: DoD, 03/26/10)

Independence goes on maiden voyage
MOBILE, Ala. - The Navy's newest littoral combat ship, the 419-foot USS Independence
(LCS 2), sailed away from Mobile, Ala. for the first time today. It marks commencement of
initial testing and evaluation of the aluminum vessel. Independence's maiden voyage will
include stops in Key West and Mayport, Fla., before pulling into Naval Station Norfolk, Va.
for additional testing and specialized crew training. LCS features an interchangeable
modular design that allows the ship to be reconfigured to meet mission requirements.
Independence, the second LCS ship, was commissioned Jan. 16 in Mobile. It will be
homeported in San Diego. (Source: NNS, 03/26/10)

NG eyes changing workweek
PASCAGOULA, Miss. - Northrop Grumman Shipbuilding Gulf Coast is considering a shift
from a four-day workweek to a five-day schedule, according to a letter from Irwin F.
Edenzon, vice president and general manager of the shipyard. In December, unions
approved a two-year labor contract extension that included pay raises, no change in health
care insurance premiums and a $1,000 ratification bonus. The company has about 12,000
employees at its Pascagoula shipyard. (Source: Mississippi Press, 03/25/10)

Contract: LPI, $84.1M
LPI Technical Services, Chesapeake, Va., is being awarded a $84,140,685 contract to
furnish repair, maintenance, modernization, logistical, and technical support services for
material handling equipment and hull, mechanical, and electric machinery and systems in
order to ensure continued ship operation and performance. Five percent of the work will be
done in Pascagoula, Miss. Other locations are Virginia, Florida, Washington, California,
Pennsylvania, Texas, New Jersey, and Italy. Work is expected to be completed by March
2015. The Naval Surface Warfare Center, Carderock Division, Ship System Engineering
Station, Philadelphia, is the contracting activity. (Source: DoD, 03/12/10)

Dewey commissioned Saturday
SEAL BEACH, Calif. - A Northrop Grumman-built Aegis guided missile destroyer was
commissioned Saturday in California. The USS Dewey, the 26th Arleigh Burke-class
destroyer built in the company’s Pascagoula, Miss., shipyard, was delivered to the Navy in
August. DDG 105 is 510 feet long and has four gas-turbine propulsion plants that can power
the ship to speeds above 30 knots. (Source: Mississippi Press, 03/06/10)

GD, Austal parting on LCS
MOBILE, Ala. - Austal USA and General Dynamics said they're parting ways in the
competition to build littoral combat ships for the Navy. The split means Austal will bid as the
lead contractor to build as many as 10 of the ships in the next four years. General Dynamics
has been the lead contractor on the first two LCS won by the team, but Austal has been
building the ships on the east bank of the Mobile River. The split means General Dynamics
can bid separately in 2012 to build the ships. Meanwhile, Northrop Grumman is looking into
bidding for LCS work two years from now, its top shipbuilding executive told a House panel
Wednesday. The comment was reported by the trade publication Defense News. (Source:
Mobile Press-Register, 03/05/10, 03/04/10)


FEBRUARY 2010

Austal increased profits
MOBILE, Ala. - Austal Ltd.'s Mobile shipyard increased its profit in the second half of 2009
compared with the previous year, despite an overall drop in both profit and revenue for the
Australian company, according to a recent earnings report. The company's Mobile facility,
which is producing joint high speed vessels and littoral combat ships for the U.S. Navy,
employs about 1,000 people and is expected to hire another 400 this year. (Source: Mobile
Press-Register, 02/24/10)

ST Engineering profits down
Singapore Technologies Engineering said profit fell 6 percent for the year to $314.5 million
while revenue grew 4 percent for the year to $3.93 billion. The company is the parent of VT
Halter Marine, which employs 1,100-plus at shipyards in Pascagoula, Moss Point and
Escatawpa, Miss., and ST Aerospace Mobile, which employs 1,300 at Mobile, Ala.'s Brookley
Field Industrial Complex. (Source: Mobile Press-Register, 02/19/10)

Contract: Northrop Grumman, $41.2M
Northrop Grumman Shipbuilding, Inc., Pascagoula, Miss., was awarded a $41,288,005 cost-
plus-fixed-fee contract for life cycle engineering and support services on the LPD 17 class
amphibious transport dock ship program. Work will be performed in Pascagoula and is
expected to be completed by December 2010. The Naval Sea Systems Command,
Washington, D.C., is the contracting activity. (Source: DoD, 02/16/10)

East Bank to be cleared
PASCAGOULA, Miss. – Northrop Grumman Shipbuilding’s East Bank property will be
cleaned up by the end of the year. A contractor should begin within the next two weeks, the
company said Monday. The contractor will be demolishing all of the buildings and
warehouses on the 166-acre area that Northrop Grumman no longer uses, spokesman Bill
Glenn said. The company hasn't yet decided what to do with the property after it is razed.
The East Bank is the original site of the shipyard. (Source: Mississippi Press, 02/16/10)
Note: In 2004 Northrop Grumman looked into converting the yard into an industrial park for
contractors.

Chilean ship christened
MOBILE, Ala. – The Chilean Navy’s newest ship was christened Wednesday at Atlantic
Marine’s Pinto Island shipyard. The 677-foot Almirante Montt will leave Mobile at the end of
the month. The ship will be used to ferry fuel and supplies to other ships, serving both the
Chilean and U.S. navies for the next 10 years, according to an agreement reached between
the two countries. The ship was built in 1987 and used by the Navy until it was
decommissioned in 1996. Atlantic Marine won the bid to refurbish the ship. (Source: Mobile
Press-Register, 02/11/10)

Contract: Northrop, $8.4M
Northrop Grumman Shipbuilding, Pascagoula, Miss., is being awarded an $8,362,542
modification to previously awarded contract to exercise options for the accomplishment of
the follow yard class services for the DDG 51 class AEGIS destroyer Program. Northrop
Grumman shipbuilding will provide expert design, planning, and material support services for
both DDG 51 ship construction and modernization. Work will be performed in Pascagoula
and is expected to be completed by August 2010. The Naval Sea Systems Command,
Washington D.C., is the contracting activity. (Source: DoD, 02/10/10)

30-year shipbuilding plan released
The Navy's new 30-year fleet plan calls for a ramp up construction of the Littoral Combat
Ship and the Joint High Speed Vessel. A total of 66 LCS ships is now forecast to be bought
over 30 years. The plan also affirms two earlier decisions: selecting a single design for the
LCS program and the 2008 decision to end the DDG 1000 destroyer program at three
ships. The plan also confirms the continued development of a new Advanced Missile
Defense Radar for DDG 51-class destroyers, and plans to maintain an amphibious landing
force of about 33 ships. The new plan was sent to the Hill this week to accompany the
president’s budget proposal. (Source: Defense News, 02/04/10) Gulf Coast note: The region’
s shipyards are involved in building the LCS, JHSV, DDG-51 and amphibious vessels.

Northrop Grumman 4Q report
Northrop Grumman Corp. reported Thursday it posted a fourth-quarter net earnings of $413
million, and 2009 net earnings of $1.7 billion. Last year the company reported a fourth
quarter net loss of $2.5 billion and net loss for the year of $1.3 billion. (Source: Northrop
Grumman, 02/04/10) Gulf Coast note: Los Angeles-based Northrop Grumman has multiple
operations in the Gulf Coast region, including shipyards in Pascagoula and Gulfport, Miss.,
and New Orleans.

NOAA takes delivery of survey ship
The National Oceanic and Atmospheric Administration has taken delivery of Bell M.
Shimada, the agency’s newest high-tech fisheries survey vessel. Built by VT Halter Marine in
Moss Point, Miss., the ship’s primary mission will be to study, monitor and collect data on a
wide range of sea life and ocean conditions, primarily in U.S. waters from Washington state
to southern California. The ship will also observe environmental conditions, conduct habitat
assessments and survey marine mammal, sea turtle and marine bird populations. The $45
million, 208-foot ship was launched in late 2008. (Source: NOAA, 02/02/10)


JANUARY 2010

Budget includes $14.1B for ships
The Pentagon's 2011 budget will include $14.1 billion for shipbuilding, which will include two
DDG-51 destroyers, two Littoral Combat Ships, two Joint High Speed Vessels, one
Amphibious Assault Ship replacement, two Virginia-class submarines, and one Mobile
Landing Platform. The budget is due to be sent to Congress Feb. 1. (Source: Defense
News, 01/28/10) Gulf Coast note: Northrop Grumman in Pascagoula, Miss., builds DDG-51s;
Austal USA in Mobile, Ala., is building JHSVs and competing to build more LCSs.

JHSV will mean 500 jobs
MOBILE, Ala. - The second installment of a contract to build high speed vessels will mean
500 new jobs at Austal USA by the end of the summer. The Navy awarded Austal $204
million in what could eventually be a 10-vessel, $1.6 billion contract. The Joint High Speed
Vessel is an Army-Navy program for shallow-draft ferries to carry troops and equipment in
combat zones. Austal started work on JHSV 1 in December and plans to start No. 2 in the
summer and No. 3 late this year. Austal has 1,000 workers in Mobile. (Source: Mobile Press-
Register, 01/29/10)

Navy official confident of NG
The Navy's top acquisition official said this week he’s confident in Northrop Grumman’s
ability to deliver quality ships to the Navy despite problems reported last week on surface
ships built at Northrop's Gulf Coast shipyards. Sean Stackley, the Navy's assistant secretary
for research, development and acquisition, called the issues "rare" and said Northrop and
the Navy are reviewing waterfront processes and procedures to ensure similar problems
don't arise in the future. (Source: Daily Press (Newport News, Va.), 01/28/10)

Contract: Austal, $204M
Austal USA of Mobile Ala., is being awarded a $204,238,728 modification to previously
awarded contract to exercise options for Ships 2 and 3 of the Joint High Speed Vessel
program. The JHSV 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, Ala., and is expected to be completed by
July 2012. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
(Source: DoD, 01/28/10)

Contract: Lockheed, $9.8M
Lockheed Martin Maritime Systems and Sensors, Moorestown, N.J., is being awarded a
$9,800,000 modification to previously awarded contract for engineering services for DDG 51
class and CG 47 class Aegis combat system installation, integration, test and fleet life cycle
engineering support. Eight percent of the work will be done in Pascagoula, Miss., but the
most, 45 percent, will be done in Moorestown, N.J. Other work sites are in Maryland, Maine,
Washington, D.C., Virginia, Florida and California. Work is expected to be completed by
September 2010. The Naval Sea Systems Command, Washington Navy Yard, D.C., is the
contracting activity. (Source: DoD, 01/28/10)

Navy releases LCS bid package
The Navy released its final bid package for a littoral combat ship buy that could be worth
billions of dollars in work to the winner, representatives of the two competing contracting
teams confirmed Tuesday. General Dynamics and Lockheed Martin, the two competing
companies, received the packages Tuesday. Austal USA in Mobile is part of the General
Dynamics team. The bids are due back in March. (Source: Mobile Press-Register, 01/27/10)

Navy probes welds
The Navy has ordered a re-inspection of potentially faulty pipe welds on ships built at
Northrop Grumman’s Pascagoula and Avondale shipyards during the past few years.
Inspections target the DDG-51 destroyer and LPD-17 amphibious transport classes of ships,
as well as the LHD-8 amphibious assault vessel Makin Island. Inspectors are finding 10 to 15
percent of welds are too thin to meet specifications. The flaws do not pose an immediate
threat. Northrop said the company has recertified all of its pipe welders and inspectors and
significantly increased inspections on piping systems. (Source: Mobile Press-Register,
01/22/10)

Austal-built ferry bound for Haiti
One of two high-speed catamarans built at Austal USA in Mobile for Hawaii Superferry Inc. is
headed to Haiti for relief efforts. Huakai is the second vessel Austal built for Hawaii
Superferry. The Maritime Administration reposessed Huakai and its sister vessel, Alakai, in
July after Hawaii Superferry filed for bankruptcy. Based in Virginia, Huakai is one of five
MARAD ships being mobilized to help Haiti. (Source: Mobile Press-Register, 01/20/10)

“Star Wars” ship commissioned
MOBILE, Ala. - The newest Navy warship, a 379-foot aluminum three-hulled vessel, was
commissioned Saturday in Mobile. The USS Independence is a new breed of ship designed
to be fast and to operate in shallow water. Built by Austal USA, part of the General Dynamics
team, it’s competing against Lockheed Martin’s conventional monohull littoral combat ship
for billions of dollars of follow-on orders. The Lockheed Martin ship, commissioned in 2008,
is in Norfolk, Va., awaiting deployment to the Caribbean. The Independence is heading to
Virginia for testing before its permanently homeported in California. Chief of Naval
Operations Adm. Gary Roughead, who said the ship looks like something out of Star Wars,
said the new class of ships would be useful for a wide range of missions, including
responding to humanitarian disasters like the earthquake in Haiti. (Source: Reuters, WKRG-
TV, 01/16/10)

Signal buying Bender
MOBILE, Ala. - Bender Shipbuilding & Repair Inc. is being purchased by Signal International
Inc., and will become known as Signal Ship Repair. The $31.25 million deal was made at a
bankruptcy auction in New Orleans and should be finalized around January 22. Dick Marler,
Signal’s president and chief executive officer, said the company will be investing $5 million in
capital improvements initially. The other bidder was Vision Technologies System, parent
company of Pascagoula’s VT Halter Marine, which in December said it wanted to buy Bender
for $21 million. Bender sought Chapter 11 bankruptcy protection this past summer. (Source:
Mobile Press-Register, 01/15/10; WKRG-TV, 01/15/10)

Commissioning set for Saturday
MOBILE, Ala. – The littoral combat ship, LCS-2 Independence, will be commissioned
Saturday in Mobile, the same city where the ship was built by Austal USA. Millions of dollars
in military equipment for use with littoral combat ships, including a helicopter and an
unmanned boat, will be at Mobile Landing for the event. The 11 a.m. commissioning marks it
official move to U.S. Navy hands. The commissioning comes as the Navy puts final touches
on a bid package to buy another two littoral combat ships this year, with as many as eight
more orders to follow by 2014 for the winning team. The two teams competing are one led
by  Lockheed Martin and the other, which includes Austal, led by General Dynamics.
(Source: Mobile Press Register, 01/12/10, 01/15/10; NNS, 01/13/10)

Colle Towing lands contract
PASCAGOULA, Miss. - Colle Towing Co., a marine transportation company and shipyard,
has won a $9.5 million contract to build a tug for Houston-based Signet Maritime Corp. The
tug will be used in Signet's expanding U.S. Gulf and overseas harbor, ship assist and ocean
rig transport businesses, the companies said in a joint news release. Colle began work on
the tug this month and is slated to deliver it next spring. (Source: Mississippi Press, 01/12/10)

Independence reflect small-crew push
MOBILE, Ala. – The littoral combat ship now being fitted out at the Austal USA shipyard is an
example of the Navy's push to reduce the number of crew members. The ship, which will be
named the Independence, has a core crew of 40, but another 15 accompany mission
packages and nearly two dozen support aviation operations. That means a fully-staffed crew
of 78, well under the 200 one might expect of a 379-foot vessel. Austal and contract workers
are now correcting problems noted by the Navy. (Source: Mobile Press-Register, 01/05/10)