News: Press Releases
L-3 Communications Acquires Network-Centric Warfare Company ComCept, Inc.
NEW YORK--(BUSINESS WIRE)--Aug. 5, 2002--L-3 Communications (NYSE: LLL - News), today announced that it has acquired ComCept, Inc., a leader in network-centric warfare (NCW) capabilities, including requirements development, modeling, simulation, communications and systems development and integration for Intelligence, Surveillance and Reconnaissance (ISR).
Financial terms of the agreement were not disclosed. ComCept is profitable, with projected 2003 revenues of $24 million. The acquisition is expected to be slightly accretive to the company's earnings in 2002.
Located in Rockwall, Texas, ComCept has key contracts in Network-Centric Warfare, Information Operations, Electronic Warfare and Specific Emitter ID, all fast growing niche areas of the Department of Defense (DoD) budget. Its Network-Centric Collaborative Targeting (NCCT) is a key enabler for the multi-billion dollar Multi-Mission Command and Control Aircraft (MC2A) program, the 60 aircraft that will be replacing the current AWACS and JSTARS fleet. One of its major customers is the Air Force Office of Special Projects, also known as Big Safari, the DoD focal point for rapid development and transition of vitally needed military capabilities. The relationship of the ComCept team with Big Safari has extended for over 20 years.
ComCept was founded by Brian Cullen, formerly chairman of Raytheon E-Systems and an executive vice president of Raytheon Systems Company. ComCept is staffed by some of the most knowledgeable and widely respected ISR operators and engineers in the nation. Following the acquisition, Mr. Cullen will stay on as division president, reporting directly to L-3's corporate headquarters.
"ComCept's NCCT core technology is a leader in network-centric warfare, ISR&C and battlefield fusion." said Frank C. Lanza, chairman and chief executive officer of L-3 Communications. "The company has the roadmap to the ISR future and it provides L-3 with increased capabilities which are substantially complementary and synergistic with our ISR focus at Communication Systems - West, Communication Systems - East and Integrated Systems'Greenville, TX programs and the overall growing marketplace opportunities."
"ComCept is in effect a think tank and architecture designer for L-3, providing ISR&C transformational technology for next-generation constellations and fusion of ISR sensors," continued Mr. Lanza. "When we add this centerpiece to our existing complementary businesses, we can expand our product base and become a major presence in the network centric battlefield."
Mr. Cullen noted, "In joining our talents with L-3's, we all believe that we have the resources to fulfill our vision, which is to use a network-centric approach to give commanders the information they need, when they need it and in a form that's immediately useful."
Headquartered in New York City, L-3 Communications is a leading merchant supplier of Intelligence, Surveillance and Reconnaissance (ISR) products, secure communications systems and products, avionics and ocean products, training products, microwave components and telemetry, instrumentation, space and wireless products. Its customers include the Department of Defense, selected US government intelligence agencies, aerospace prime contractors and commercial telecommunications and wireless customers.
To learn more about L-3 Communications, please visit the company's web site at www.L-3Com.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters set forth in this news release are forward-looking statements. The forward-looking statements set forth above involve a number of risks and uncertainties that could cause actual results to differ materially from any such statement, including the risks and uncertainties discussed in the company's Safe Harbor Compliance Statement for Forward-looking Statements included in the company's recent filings, including Forms 10-K and 10-Q, with the Securities and Exchange Commission.
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Contact:
L-3 Communications, New York
Cynthia Swain, 212/697-1111
or
FD Morgen-Walke, New York
Investors: Eric Boyriven, Paul Johnson
Media: Evan Goetz
212/850-5600