Lockheed Martin (NYSE:LMT) revealed plans to reduce the work force of its aeronautics business by about 540 jobs by year’s end. The company had targeted about 1,500 job cuts back in June. The greatest impacts are occurring at Lockheed’s larger sites in Texas, Georgia, and California. The aeronautics unit of Lockheed employs about 28,000 people. The reductions were offset by more than 450 employees taking voluntary layoffs and the elimination of about 300 unfilled jobs, as well as 300 layoffs earlier in the year.
In July, the company reported its second-quarter profit rose 3.9% as it posted continued sales growth in its electronic systems and aeronautics segments, but saw expenses increase due to work force reductions. Though Lockheed raised its full-year guidance, it also faced the prospect of deeper cuts in U.S. defense spending, in addition to broader changes in global military programs.
Lockheed Martin’s aeronautics unit had approximately $13.3 billion in 2010 sales which included tactical aircraft, airlift, and aeronautical research and development lines of business.
Headquartered in Bethesda, MD, Lockheed Martin is a global security company that employs about 126,000 people worldwide and is principally engaged in the research, design, development, manufacture, and integration of advanced technology systems, products and services.
Shares were up 1.5% at $73.15 in recent trading. The stock is up 4.6% this year.