Defense Contractors Look Beyond U.S. Military For More Sales

摘要

Facing declining Pentagon spending, defense contractors from Exelis to Engility are increasingly reducing their U.S. military work and moving into federal civilian, commercial and international sales to make up for it. Engility touted last month that its purchase of contractor TASC would lower its Pentagon work to 48 percent of its sales, down significantly from the 75 percent of sales it represented in 2012. After being sold to a private-equity firm this month, CRGT boasted that Pentagon work used to provide virtually all of its sales, but now makes up only about 40 percent. Exelis said this month that sales to the Pentagon and intelligence agencies represent about 60 percent of its business - but it's made significant investments to bolster its growing international and commercial sales.