ATLANTA (Reuters) – Will expected increases in U.S. defense spending lift all contractors over the next year?

On Monday, U.S. President Barack Obama asked Congress to approve $708 billion in defense spending for fiscal 2011, including a 3.4 percent rise in the Pentagon’s base budget plus billions more to fund U.S. military operations in Iraq, Afghanistan and Pakistan.

Defense stocks, which have been clouded by concerns that growth in U.S. spending will slow in coming years, headed lower on Wednesday after two straight days of gains. The Standard & Poor’s Aerospace & Defense Index <.GSPAERO> was off a modest 0.2 percent in afternoon trading.

Analysts say niche companies will benefit more than others as the Obama administration seeks to fight new enemy threats while traditional weapons programs face more scrutiny.

ATLANTA, Feb 3 (Reuters) – Will expected increases in U.S. defense spending lift all contractors over the next year?

On Monday, U.S. President Barack Obama asked Congress to approve $708 billion in defense spending for fiscal 2011, including a 3.4 percent rise in the Pentagon’s base budget plus billions more to fund U.S. military operations in Iraq, Afghanistan and Pakistan. [ID:nN01203835]

Defense stocks, which have been clouded by concerns that growth in U.S. spending will slow in coming years, headed lower on Wednesday after two straight days of gains. The Standard & Poor’s Aerospace & Defense Index <.GSPAERO> was off a modest 0.2 percent in afternoon trading.

Analysts say niche companies will benefit more than others as the Obama administration seeks to fight new enemy threats while traditional weapons programs face more scrutiny.

ATLANTA (Reuters) – Will expected increases in U.S. defense spending lift all contractors over the next year?

On Monday, President Barack Obama asked Congress to approve $708 billion in defense spending for fiscal 2011, including a 3.4 percent rise in the Pentagon’s base budget plus billions more to fund U.S. military operations in Iraq, Afghanistan and Pakistan.

Defense stocks, which have been clouded by concerns that growth in U.S. spending will slow in coming years, headed lower on Wednesday after two straight days of gains. The Standard & Poor’s Aerospace & Defense Index was off a modest 0.2 percent in afternoon trading.

Analysts say niche companies will benefit more than others as the Obama administration seeks to fight new enemy threats while traditional weapons programs face more scrutiny.

ATLANTA, Feb 3 (Reuters) – Will expected increases in U.S. defense spending lift all contractors over the next year?

On Monday, U.S. President Barack Obama asked Congress to approve $708 billion in defense spending for fiscal 2011, including a 3.4 percent rise in the Pentagon’s base budget plus billions more to fund U.S. military operations in Iraq, Afghanistan and Pakistan. [ID:nN01203835]

Defense stocks, which have been clouded by concerns that growth in U.S. spending will slow in coming years, headed lower on Wednesday after two straight days of gains. The Standard & Poor’s Aerospace & Defense Index <.GSPAERO> was off a modest 0.2 percent in afternoon trading.

Analysts say niche companies will benefit more than others as the Obama administration seeks to fight new enemy threats while traditional weapons programs face more scrutiny.

ATLANTA (Reuters) – The renewed focus on aviation security is likely to boost sales for providers of whole body imagers and other detection equipment and spur mergers and acquisitions in the sector.

The failed Christmas Day attempt to blow up a U.S.-bound airplane has spurred increased orders worldwide for detection gear and baggage-scanning devices. For example, Britain introduced whole body imagers at Heathrow airport on Monday.

The higher demand will benefit companies such as L-3 Communications Holdings Inc, OSI Systems Inc, American Science & Engineering Inc and Analogic Corp.

“All countries are taking a much closer look at this particular technology and also other methods to address this kind of threat,” said Brook Miller, a vice president at Smiths Detection, a unit of Britain’s Smiths Group Plc that supplies X-ray machines and other detection equipment to airports.

ATLANTA (Reuters) – Major U.S. defense companies turned in better-than-expected quarterly results on Thursday, and some boosted their full-year outlooks.

Industry leader Lockheed Martin Corp <LMT.N>, Raytheon Co <RTN.N> and L-3 Communications Holdings <LLL.N> cited rising sales in the fourth quarter and said they expect solid performance this year.

Lockheed and L-3 boosted their full-year forecasts, while Raytheon stood by a prior 2010 view.

“I’m very pleased with L-3 and Raytheon,” said Morgan Keegan defense analyst Brian Ruttenbur. “Lockheed was fine, but I have bigger concerns for it down the road.”

ATLANTA, Jan 28 (Reuters) – Major U.S. defense companies turned in better-than-expected quarterly results on Thursday, and some boosted their full-year outlooks.

Industry leader Lockheed Martin Corp <LMT.N>, Raytheon Co <RTN.N> and L-3 Communications Holdings <LLL.N> cited rising sales in the fourth quarter and said they expect solid performance this year.

Lockheed and L-3 boosted their full-year forecasts, while Raytheon stood by a prior 2010 view.

“I’m very pleased with L-3 and Raytheon,” said Morgan Keegan defense analyst Brian Ruttenbur. “Lockheed was fine, but I have bigger concerns for it down the road.”

ATLANTA (Reuters) – U.S. carriers United Airlines and AirTran posted better-than-expected quarterly results on Wednesday, citing improving revenue trends aided in part by returning business travelers.

United parent UAL Corp <UAUA.O> posted a smaller quarterly loss as it cut costs to cope with declining travel demand, and said international demand was also ticking up.

“While the environment continues to be marked by reduced demand and volatile fuel prices, we are pleased to see signs of the economy and business travel improving,” UAL CEO Glenn Tilton said during a conference call.

SET FOR RECOVERY

ATLANTA, Jan 27 (Reuters) – U.S. carriers United Airlines and AirTran posted better-than-expected quarterly results on Wednesday, citing improving revenue trends aided in part by returning business travelers.

United parent UAL Corp <UAUA.O> posted a smaller quarterly loss as it cut costs to cope with declining travel demand, and said international demand was also ticking up.

“While the environment continues to be marked by reduced demand and volatile fuel prices, we are pleased to see signs of the economy and business travel improving,” UAL CEO Glenn Tilton said during a conference call.

SET FOR RECOVERY

ATLANTA (Reuters) – Delta Air Lines Inc <DAL.N> reported a smaller quarterly loss on Tuesday and said it expected an increase in business travelers to aid results this year.

The carrier, which acquired Northwest Airlines in 2008 to become the world’s biggest airline, said it expected growth of revenue per available seat mile each month in 2010 as the economic recovery gains steam.

“What is going to be the most important thing on people’s minds right now is the outlook on corporate travel and how quickly it can recover,” said Hunter Keay, an analyst with Stifel Nicolaus.

“The question is now whether the recovery is going to be V-shaped or a little bit more protracted, and at this point it’s probably going to look a little more drawn out,” Keay added.