Analysis: 2016 Will See Big Military Decisions

Posted January 6, 2016 at 5:37pm

National Defense Magazine reports that “the defense industry is bracing for another year of tough business decisions and dicey balancing acts.”  

“With more clarity about projected military spending by the United States over the next two years, defense contractors are poised to make some bold moves to shore up their business and secure new deals, analysts predict. A change in administration looms large but companies can ill afford a wait-and-see attitude with shareholders ratcheting up the pressure to deliver short-term financial returns.”  

“’I don’t sense that industry is sitting around,’ says defense and aerospace industry consultant Kerry Millar, of Deloitte. Companies are ‘very focused on getting things done knowing that there will be a change in the White House,’ he says. ‘But there is a long runway next year before the election” and executives feel a sense of urgency to go after programs and work to deliver on the programs they’ve already won.’”