Lockheed’s next CEO foresees more industry consolidation
Shrinking domestic sales are prompting U.S. and European defense contractors to consider M&As, Christopher Kubasik tells the Wall Street Journal.
Looming Defense Department budget cuts could trigger another round of defense-industry consolidation, Christopher Kubasik, Lockheed Martin’s next CEO, tells the Wall Street Journal today.
The top tier U.S. and European defense contractors are already wrestling with shrinking domestic business and targeting more sales to governments in Asia and the Middle East, he said.
Now, large-scale mergers and acquisitions are also a topic of consideration. Consolidation "would absolutely be a scenario. It would not surprise me," Kubasik told the newspaper.