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General Dynamics

The primary business of General Dynamics is supplying weapons systems and services to the US government and its international allies. The company is a Delaware corporation formed in 1952 as successor to the Electric Boat Company. The company currently operates in the following business segments: Marine, Combat Systems, Information Systems and Technology, and Other. Marine includes Electric Boat Corporation (Electric Boat), Bath Iron Works Corporation (BIW), and American Overseas Marine Corporation (AMSEA). Combat Systems includes General Dynamics Land Systems Inc. (Land Systems), General Dynamics Defense Systems, Inc. (Defense Systems), and General Dynamics Armament Systems, Inc. (Armament Systems). Information Systems and Technology includes General Dynamics Advanced Technology Systems, Inc. (ATS) and three operating units which comprised Computing Devices International: General Dynamics Information Systems, Inc. (GDIS), Computing Devices Canada, Ltd., and Computing Devices Company Ltd. in the United Kingdom.

Land Systems designs and manufactures the M1 Series Abrams Main Battle Tank for the U.S. Army and various foreign governments. Land Systems also performs engineering and upgrade work, and provides support for existing armored vehicles. Production of the M1A2, the latest version of the M1, was initiated in 1992. Land Systems is currently in its second year of its five year multiyear contract with the U.S. Army to upgrade 120 tanks per year from the M1 to the M1A2 version. Land Systems is also under contract for the development of several other major armored vehicle programs. The first is the Advanced Amphibious Assault Vehicle program for which Land Systems was recently awarded a development contract, including prototype design and construction. The second is the Heavy Assault Bridge program which is currently under development and is expected to enter production late in this decade. The third is the Crusader Self-Propelled Howitzer development program of which the company's share is approximately 25 percent.

In 1991, the U.S. Navy terminated for default a contract with the company and McDonnell Douglas Corporation for the full-scale development of the U.S. Navy's A-12 aircraft. On February 23, 1998, a final judgment was entered in favor of the contractors for $1,200 million plus interest. The U.S. government has filed a notice of appeal.

Two of the company's primary operating units, General Dynamics Land Systems Inc. and Bath Iron Works Corporation, were acquired in 1982 and 1995, respectively.During the period 1992 through 1994, the company divested its tactical military aircraft, missile systems and space launch systems businesses. On January 1, 1997, the company acquired the assets of Defense Systems and Armament Systems, formerly operating units of Lockheed Martin Corporation. On October 1, 1997, the company acquired the assets of Advanced Technology Systems, formerly an operating unit of Lucent Technologies. On December 31, 1997, the company acquired the assets of Computing Devices International, formerly a division of Ceridian Corporation. Computing Devices International is a defense electronics and systems integration business for primarily the US, Canadian and UK governments. Advanced Technology Systems is a leading supplier of undersea surveillance systems, signal processing and vibration control systems and related technologies primarily for the U.S. Navy. With these acquisitions, the company formed in 1998 a third primary business segment, Information Systems and Technology.

At December 31, 1997, the company had approximately 29,000 employees (excluding contract labor), of whom 47 percent were covered by collective bargaining agreements with various unions, the most significant of which are the International Association of Machinists and Aerospace Workers, the Industrial Union of Marine and Shipbuilding Workers of America, the Metal Trades Council (MTC) of New London, Connecticut, the United Auto Workers Union, the Office and Professional Employees International Union and the United Mine Workers of America.

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