Northrop Update: 'Not Clear' If Jobs Will Be Lost

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Northrop Grumman's two South Bay-based business sectors will combine as part of a larger corporate restructuring to cut costs and streamline the business, the company announced Wednesday.

El Segundo-based Integrated Systems, maker of aircraft such as the Global Hawk, will join with Redondo Beach-based Space Technology, which builds government satellites and develops military lasers.

The combined entity will be known as Aerospace Systems.

Two other Northrop business sectors also will combine. Information Technology and Mission Systems will form the new Information Systems sector. Mission Systems has a facility in Rancho Dominguez near Carson.

"These actions are critical steps in shaping our future," Ronald D. Sugar, Northrop's chairman and CEO, said in a statement Wednesday.

Integrated Systems employs about 13,300, including 4,400 employees in El Segundo and 1,400 in Palmdale. The El Segundo facility includes an assembly line that makes the center and aft fuselage of the F/A-18 Super Hornet.

Space Technology employs about 8,350, with 7,600 working at the Redondo Beach Space Park complex or nearby.

In Rancho Dominguez, the Mission Systems sector employs about 900 people who primarily work on battle command systems.

It is unclear how the reorginazation would impact jobs, a Northrop spokesman said.
"We do anticipate that this reorganization will result in a streamlined organizational structure, but it is premature to identify specific actions, or how this streamlined organizational structure will affect specific staffing levels," spokesman Dan McClain said.

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This page contains a single entry by Muhammed El-Hasan published on January 7, 2009 5:02 PM.

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Biz Waves is a one-stop Web hub for business news and content from the South Bay region of Los Angeles County and beyond.

The primary contributor is:

Muhammed El-Hasan, a business reporter at the Daily Breeze since 2000, covers aerospace and everything else about business in the South Bay. Muhammed previously reported at the San Bernardino Sun and the community news division of The Orange County Register. He also worked as a researcher in the Jerusalem bureau of the Los Angeles Times in 1996-97. But his career highlight as a young man was driving a forklift at a Gardena company near Hawthorne, where he grew up.

You can email Muhammed at muhammad.el-hasan@dailybreeze.com

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