ITT on track to spin off aerospace and defense business unit into independent company by end of the year
WHITE PLAINS, N.Y., 11 July 2011. Leaders of ITT Corp. in White Plains, N.Y., say they are on track to spin off the company's aerospace and defense business unit into an independent publicly traded company by the end of the year, specializing in command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR), as well as information technology for military, government, and commercial applications. Spinning off the company's Defense & Information Solutions segment into an independent company is expected to enhance the segment's economic viability and enhance value to shareholders, ITT officials say.
ITT has filed Form 10 Registration Statements have been filed with the U.S. Securities and Exchange Commission (SEC) to form the aerospace and defense company and the water technologies company. ITT also has filed a Form 8-K with the SEC about the future ITT Corp. and the companies that will be spun off.
ITT shareholders will own shares in all three corporations, and the new companies will be listed on the New York Stock Exchange, ITT officials say.
The future defense company will specialize in command, control, communications, computers, intelligence, surveillance and reconnaissance (C4ISR) products and systems, as well as information technology and services for military, government, and commercial applications. The defense company will have two segments that concentrate on C4ISR electronics and systems, and information and technical services.
The new defense company's C4ISR and information segment will concentrate on communications, electronic warfare, imaging and image-processing, radar and sonar systems, space systems, and aerostructures, while the defense company's information technology and services segment will concentrate on systems integration, network design, computers, intelligence, logistics, as well as space launch and range-support.
David Melcher, president today of ITT Defense & Information Solutions, will be chief executive officer of the new defense company. The future defense company had 2010 sales of $5.89 billion.
The new ITT Corp. will concentrate on industrial products technologies for energy, infrastructure, electronics, and transportation applications, and will operate in four segments: interconnect solutions, industrial process, motion technologies, and control technologies.
The interconnect solutions segment will concentrate on harsh-environment and specialized connectors; the industrial process segment will concentrate on pumps, valves, monitoring, and controls; the motion technologies segment will concentrate on transportation technologies; and the control technologies will concentrate on aerospace and industrial components.
Denise Ramos, ITT's current chief financial officer, will be the new ITT Corp. chief executive officer. The new ITT Corp. had 2010 sales of sales of $1.9 billion.
The future water company will specialize in technologies for the water industry, such as equipment and services for water and wastewater applications. Gretchen McClain, president of ITT Fluid and Motion Control, will be chief executive officer. The future water company had 2010 sales of $3.2 billion.