SAIC releases names of new spin-off companies
One business to retain the name, the other to be known as "Leidos"
- By Mark Hoover
- Feb 25, 2013
Science Applications International Corp. has announced the names for its businesses resulting from its planned separation into two independent, publicly traded companies.
Its technical services and enterprise information technology business will retain the name SAIC, while the company’s national security, health and engineering business will be named Leidos.
The separation was initially announced near the end of August 2012, and was seen as necessary in order to continue growth.
A few months later, the company appointed leaders for the spin-offs.
Leidos comes from the word kaleidoscope, and is intended to signify how the company plans to bring together solutions from different angles, yielding innovative and effective solutions, SAIC said.
"It's a memorable word with dynamic connotations that capture the energy, talent and passion that our employees bring as they work to deliver solutions that protect our nation, our communities, and our families,” said SAIC COO Stu Shea, who will serve as president and COO of Leidos.
Retaining the name SAIC for the new services business will help its future performance and success, said future SAIC CEO Tony Moraco.
The separation is expected to occur later on in fiscal 2013, pending the approval of the company’s board of directors. The name is subject to change, depending on stockholder approval, SAIC said.
Mark Hoover is a senior staff writer with Washington Technology. You can contact him at email@example.com, or connect with him on Twitter at @mhooverWT.