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NEWPORT NEWS SHIPBUILDING
NOTIFIED OF DEPARTMENT OF DEFENSE RECOMMENDATION
NEWPORT NEWS, Va., October 23, 2001 – Newport
News Shipbuilding (NYSE: NNS) today was
notified by the Department of Defense (DOD) of its
decision to recommend to the Department of Justice
(DOJ) approval of the Northrop Grumman (NYSE: NOC)
offer to acquire Newport News Shipbuilding and its
decision to recommend not approving the merger agreement
between Newport News Shipbuilding and General Dynamics
(NYSE: GD). Newport News Shipbuilding
was also notified that the DOJ has commenced legal
proceedings to prevent the proposed merger between
NNS and GD.
Newport News Shipbuilding began meeting with Northrop
Grumman three weeks ago to determine whether a mutually
acceptable transaction between the two companies can
be negotiated. Any agreement reached between
Newport News Shipbuilding and Northrop Grumman would
require the approval of the Newport News Shipbuilding
Board of Directors.
Newport News Shipbuilding designs and constructs
nuclear-powered aircraft carriers and submarines for
the U.S. Navy and provides life-cycle services for
ships in the Navy fleet. The company employs 17,800
people and has annual revenues of approximately $2
billion. Visit NNS on the Web at www.nns.com.
The Solicitation/Recommendation Statements, as amended,
filed by Newport News Shipbuilding with the SEC with
respect to the General Dynamics offer and the Northrop
Grumman offer contain important information that should
be read carefully before any decision is made with respect
to the General Dynamics offer or the Northrop Grumman
offer. Investors and security holders may obtain
a free copy of the Solicitation/Recommendation Statements
and other documents filed by Newport News Shipbuilding
with the SEC at www.sec.gov.
The Solicitation/Recommendation Statements and these
other documents may also be obtained by contacting Newport
News Shipbuilding Investor Relations at 757-688-6400. |
