Lockheed Martin Second Quarter 2011Earnings Increase Despite Severance Charges

Lockheed Martin Corporation (NYSE:LMT), the largest public company in the Baltimore-Washington area measured by revenues and profits said its net revenues totaled $11.6 Billion in the three months ended June 26, 2011, up from $11.3 Billion in 2010.

The Bethesda, Md., defense giant showed a net income that was down to $742 Million from $824 Million in 2010, due to the sale of Pacific Architects and Engineers, Inc. and Enterprise Integration Group (EIG) back in 2010, where the company gained a net sum.

"During the second quarter, we had strong execution across the company even while implementing difficult measures to rightsize our business for an environment that remains challenging,” said Bob Stevens, chairman and chief executive officer. “Our focus in this new reality continues to be on delivering affordable solutions that provide value to both our customers and our shareholders."

Despite the layoffs at its Aeronautics and Space Systems divisions with severance charges totaling $97 Million that lowered net income by $63 Million , what was called an unusual tax benefit that totaled $89 Million offset those charges.

The Electronic Systems division contributed the most to revenue bringing in $3.75 Billion, followed by Aeronautics, Information Systems & Global Solutions and Space Systems.

With over $45.8 Billion in revenues in 2010, Lockheed Martin is a Fortune 100 company with a labor force of about 126,000 people around the world. The company has a market capitalization of approximately $28 Billion.

For the full press release please click on the link below,


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