WASHINGTON, Nov 7 (Reuters) – Boeing Co said
Wednesday it will restructure its defense, space and security
business and cut 30 percent of management jobs from 2010 levels
as part of a cost-cutting drive.

Boeing, the Pentagon’s second-largest supplier, said it
also will close some facilities in California and consolidate
several business units in an effort to trim $1.6 billion in
costs by the end of 2015, on top of $2.2 billion in reductions
achieved since 2010.

Nov 7 (Reuters) – Boeing Co announced a major
restructuring of its defense division on Wednesday that will cut
30 percent of management jobs from 2010 levels, close facilities
in California and consolidate several business units to cut
costs.

The company told employees about the changes on Wednesday,
in a memo obtained by Reuters and confirmed by Boeing.

WASHINGTON (Reuters) – U.S. weapons makers took a pounding in the stock market Wednesday as investors priced in leaner times from President Barack Obama’s re-election.

Analysts had predicted gains for defense industry shares if Republican Mitt Romney had won the White House, given his promises to increase military spending.

WASHINGTON, Nov 7 (Reuters) – President Barack Obama’s
re-election removes one of a long list of uncertainties clouding
the outlook for U.S. weapons makers and may improve the chances
Congress will delay $500 billion in additional defense spending
cuts.

But the larger issue of how to cut government deficits
remains, analysts said.

“This will be a nail-biter to the very end,” defense
consultant Jim McAleese told Reuters on Wednesday.

WASHINGTON, Nov 5 (Reuters) – The Pentagon’s chief weapons
buyer mapped out the next phase of a “better buying power”
initiative on Mo nday, saying the U.S. military could do
“infinitely better” in the way it buys weapons and services.

Frank Kendall, undersecretary for acquisition, technology
and logistics, shared key details at a conference hosted by the
National Government Contract Management ahead of the formal
release of updated acquisition reform guidelines next week.

WASHINGTON, Nov 5 (Reuters) – The Pentagon’s top arms buyer
on Monday said he expected U.S. lawmakers to agree in coming
weeks to delay implementation of an additional $500 billion in
automatic defense spending cuts that are due to start taking
effect in January.

Undersecretary Frank Kendall said the Defense Department had
begun early planning for the process known as sequestration,
which would cut the military’s budget by an extra $50 billion a
year, on top of over $50 billion in annual cuts already on the
books.

WASHINGTON, Nov 1 (Reuters) – CACI International Inc’s
shares surged more than 7 percent on Thursday after the
U.S. government contractor said it expects to continue to grow
in its current fiscal year despite the challenging U.S. budget
environment.

Chief Executive Dan Allen told Reuters the company, a
provider of information services to the government, saw growth
in eight of its 10 main business sectors and expected higher
revenues in the two remaining areas in the second half of the
company’s fiscal year, which ends June 30.

WASHINGTON, Nov 1 (Reuters) – CACI International Inc’s
shares surged more than 5 percent on Thursday, a day
after the provider of services and systems to the U.S.
government reported strong quarterly earnings and said it
expects to continue to grow despite the difficult U.S. budget
environment.

Chief Executive Dan Allen told Reuters that the company saw
growth in eight of its 10 main business sectors and expected
higher revenues in the two remaining areas in the second half of
the company’s fiscal year, which ends June 30.

WASHINGTON (Reuters) – Senate Majority Leader Harry Reid hopes to reintroduce cyber security legislation opposed by business groups once lawmakers return after Tuesday’s election, a Senate aide said, adding that a White House executive order might pave the way for a compromise on the bill.

Senator Joe Lieberman, one of the authors of the bill, would consider dropping a provision aimed at shoring up protection of critical infrastructure that had raised concerns among Senate Republicans, if that issue could be addressed in an executive order, Jeffrey Ratner, senior adviser for cybersecurity on the Senate Homeland Security Committee, said Wednesday.

WASHINGTON (Reuters) – Weapons makers reported surprisingly strong profit margins this week, even as budget cuts are starting to weigh on revenues. That has prompted a big question: how long can the defense industry sustain good margins?

The sector is clearly facing leaner times, with $487 billion in spending reductions slated for the next decade and another $500 billion in cuts due to kick in next year under the process known as sequestration.