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BAE Systems, Inc. to Consolidate Business Sectors

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In order to remain agile and best optimize its organizational effectiveness and efficiency, BAE Systems today announced a restructuring of the U.S.-based organization that will consolidate its current business sectors from four to three effective July 1, 2014.

This consolidation will integrate elements of the organization based on capabilities and market focus by realigning certain elements previously comprising the Support Solutions sector among the other three business sectors: Electronic Systems, Land & Armaments, and Intelligence & Security.

“As our markets evolve due to shifting customer priorities and defense budget pressures, we must adapt to ensure our continued ability to compete, perform, and deliver in the business environment of tomorrow,” said Jerry DeMuro, president and CEO of BAE Systems, Inc. “These organizational changes will enable a more integrated approach to the strategic development of our portfolio as we seek to protect and expand our core businesses, pursue new opportunities, and reduce infrastructure costs.”

This restructuring will better align elements of the company to further enhance our customer focus and program execution by enabling the business sectors to deliver more comprehensive, integrated, and cost-effective solutions for our U.S. and international customers.

This announced organizational consolidation follows a number of other actions that have been taken in recent years to ensure BAE Systems remains competitive.  Between now and July 1, the company will focus on ensuring a seamless transition and integration of the business sectors.

Ref. 182/2014