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$LLL appointed retired U.S. Army Lt. Gen. Patrick J. "Pat" O'Reilly to the newly created role of corporate Vice President of Engineering, effective immediately. In this new position, O'Reilly will report to the company's Chief Technology Officer, Paul DeLia.
$LLL, which provides electronic systems to multiple industries, appointed Sean Stackley as Corporate VP for Strategic Advanced Programs and Technology. He will report directly to Heidi Wood, SVP for Corporate Strategy and Technology. Previously, Stackley served as Assistant Secretary of the Navy and an advisor to the Under Secretary of Defense.
Diversified technology company $LLL has named John Feren VP of Business Development and Marketing, Commercial Aviation. He will be reporting to SVP Todd Gautier. Previously, Feren had served Aviation Capital Group as EVP and Head of Global Strategy & Development. Prior to that, he held various key roles in Boeing Company.
$LLL announced that Andrew C. Ivers was appointed as corporate Senior Vice President and President of its Communication Systems business segment, effective January 1, 2018. Mr. Ivers will succeed John S. Mega, who will become corporate SVP of Special Projects.
$LLL sees FY17 net sales at $10.75-10.95Bil with a 10.3% operating margin on an effective tax rate of 27%, generating earnings of $8.50-8.70 per diluted share. Capital expenditures, net of dispositions of property, plant and equipment, is estimated at $220MM. Full year free cash flow is touted to be at $865MM.
Net sales of $LLL jumped 13% to $2.7Bil in 1Q17, as it posted a 28% drop in net attributable income of $164MM from last year's $227MM. Earnings fell to $2.07 per diluted share from $2.87 per share, mainly due to this year's absence of the after-tax gain of $64MM on the sale of the National Security Solutions business last year.
$LLL appointed Richard Foster as corporate VP of Canada Operations. Based in Ottawa, Foster will be responsible for overseeing all of $LLL's Canadian business and coordinating with the business development team to broaden L3 Canada's customer base. Foster will report to David Van Buren, SVP of Program Development.
$LLL lifted 2017 net sales outlook to $10.625-10.825Bil from $10.475-10.675Bil and its EPS guidance to $8.40-8.60 from $8.15-8.35. The company raised its segment operating margin forecast to 10.3% from 10% and its interest and other expenses estimate to $158MM from $157MM.
$LLL's funded orders for 4Q16 increased 40% to $3.58Bil from $2.56Bil last year. The increase was driven primarily by new business contract awards at Electronic Systems and earlier than expected funding on existing contracts with the U.S. Department of Defense (DoD) at Aerospace Systems. Funded backlog rose 6% YoverY to $8.9Bil at Dec. 31, 2016.
$LLL swung to a 4Q16 profit from a loss last year, which was negatively impacted by goodwill impairment charges and business divestitures. Net income was $188MM or $2.38 per share compared to a loss of $166MM or $2.11 per share last year. Net sales grew to $2.99Bil from $2.87Bil.
$LLL will realign Electronic Systems into two business segments. Todd Gautier, currently President of the company's Precision Engagement & Training sector, will become corporate SVP and President of the reorganized Electronic Systems segment.
$LLL said Curtis Brunson's responsibilities will be assumed by David Van Buren, as corporate SVP of Program Development, and Heidi Wood, as corporate SVP of Strategy. Jeff Miller, currently President of Integrated Sensor Systems sector, will become corporate SVP and President of the Sensor Systems segment.