SAIC, Northrop divvy up Amsec

Science Applications International Corp. announced that it has completed the restructuring of Amsec LLC, an engineering and technical services provider to the government and the commercial maritime industry formerly co-owned by SAIC and Northrop Grumman Corp.

The restructuring divides the Virginia Beach, Va., company along customer and product lines, with parts of Amsec going to SAIC and other portions being retained by Northrop Grumman of Los Angeles.

SAIC of San Diego receives Amsec's aviation, combat systems and strike force integration businesses, including Amsec's former subsidiary Eagan, McAllister Associates Inc., an information technology and naval aviation support firm. EMA now falls under SAIC's Command, Control, Communications, Computers and IT business unit.

In addition, SAIC retains Amsec's former Strike Force Systems and Integration (SSI)/Planning Consultants Inc., which provides support to major Navy customers in the areas of combat systems (including Aegis), integration, training and engineering. SSI/PCI is now part of SAIC's Naval and Maritime Solutions business unit.

Northrop Grumman's Newport News sector retains the ship engineering, logistics and technical services businesses, which will continue to operate under the Amsec name.

Founded in 1981 as American Systems Engineering Corp., Amsec became a unit of SAIC in 1987. Amsec LLC was created in 1999 by SAIC and Newport News Shipbuilding, and grew from $100 million in revenue in 2000 to approximately $500 million in fiscal 2007, which ended in January.

Northrop Grumman acquired Newport News Shipbuilding in 2001, gaining a 45 percent ownership of Amsec.

SAIC ranks No. 5 and Northrop Grumman ranks No. 3 on Washington Technology's 2007 Top 100 list of the largest federal government prime contractors.