Lockheed to cut about 500 jobs in IT services unit
Reuters
Published Sep 09, 2015 09:51AM ET
Lockheed to cut about 500 jobs in IT services unit
(Reuters) - Lockheed Martin Corp (NYSE:LMT), the maker of F-35 fighter jets, said it would cut about 500 jobs in its IT services unit by mid-November.
Lockheed said the job cuts were unrelated to the strategic review the company announced in July for its government IT and technical services businesses.
The unit, which accounts for about 16 percent of the company's sales and employs about 24,000 people, has been struggling due to reduced government spending, increased competition and delays in new contracts.
The company, which is buying Black Hawk maker Sikorsky Aircraft from United Technologies Corp (NYSE:UTX) for $9 billion, said it July it would complete a strategic review of the government IT services unit by the end of the year.
It also forecast sales at the unit to decline in the mid-single digit percentage range in 2015.
Reuters first reported the news earlier on Wednesday.
Lockheed's shares were up 1 percent at $208.67 in early trading on Wednesday.
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Written By: Reuters
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