Wednesday, November 24

LPD 24 launched

PASCAGOULA, Miss. - Northrop Grumman Shipbuilding launched its newest amphibious transport dock ship Arlington (LPD 24) Tuesday. It's the eighth ship of the USS San Antonio (LPD 17) class of ships, and it's 77 percent complete. The ship's christening is tentatively scheduled for spring of 2011. The LPD 17 ships are 684 feet long and designed to deploy the combat and support elements of Marine expeditionary units and brigades. The ship can carry up to 800 troops and have the capability of transporting and debarking air cushion or conventional landing craft. (Source: Northrop Grumman via GlobeNewswire, 11/24/10)

Is Huntington Ingalls in the future?

Northrop Grumman took another step towards a possible spinoff of its shipbuilding operations in Virginia and Mississippi with another filing to the Securities and Exchange Commission. The new company would be named Huntington Ingalls Industries, after the founders of Newport News shipyard in Virginia and Ingalls Shipbuilding of Pascagoula, Miss. It would be based in Newport News and be a wholly owned subsidiary of Northrop Grumman. No final decision has been made on whether to opt for the spinoff or to sell the shipbuilding segment. The filing also confirmed plans to close Avondale in Louisiana by 2013 and shift the work to Pascagoula and Gulfport, Miss. (Sources: Mississippi Press, Daily Press, Sun Herald, 11/24/10)

Saturday, November 20

Pascagoula-built ship commissioned

WILMINGTON, N.C. - The Navy's newest Arleigh Burke class guided-missile destroyer, USS Gravely (DDG 107), was commissioned in Wilmington, N.C., today. The ceremony honored the late Vice Adm. Samuel Lee Gravely, Jr. About 4,000 people attended the commissioning ceremony held at North Carolina State Ports in Wilmington. (Source: NNS, 11/20/10) Gulf Coast note: The ship was built by Northrop Grumman Shipbuilding in Pascagoula, Miss. Previous story

Thursday, November 18

Signal gets BP contract

MOBILE, Ala. - Signal International said it's won a contract with BP Exploration and Production Inc. to decontaminate vessels used in response to the Gulf oil spill. More than 100 workers and subcontractors will clean tank barges at Signal's West Yard in Pascagoula, Miss. The value of the contract was not released. Work will run through the end of the year, with a possibility of an extension, company officials said. (Source: Mobile Press-Register, 11/17/10)

Sunday, November 7

Maritime Training Center set to open

MOBILE, Ala. - On Monday, Alabama Industrial Development Training will open its new $12 million Maritime Training Center. On the outside the building resembles a freighter loaded with containers from different countries. The inside is split in half, with Austal USA occupying one side of the building and AIDT, an arm of the two-year college system, running the other side. The AIDT side is for those interested in learning shipbuilding skills, and the Austal side will be used by the company for employee training. (Source: Mobile Press-Register, 11/07/10) Story on maritime academy in Pascagoula.

Friday, November 5

NG opts for spinoff, not sale of shipbuilding

Northrop Grumman told private-equity firms it's scrapping a plan to sell its shipbuilding business and will instead pursue creating a spinoff. Bids from four private equity concerns fell short of expectations. During the summer Northrop Grumman said it was exploring getting out of the shipbuilding business to focus on its other sectors. The company filed documents with the Securities and Exchange Commission on Oct. 15 to start the process. (Sources: Bloomberg via Sun Herald, Reuters, 11/05/10) Gulf Coast note: Northrop Grumman has shipyards in Louisiana, Mississippi and Virginia.

NG to begin LCS module production

Northrop Grumman was awarded a $29 million Navy contract to begin production of three mission module packages for littoral combat ships. Two surface warfare packages and one anti-mine warfare package will be built at a location not yet determined. The first package is scheduled for early 2012 delivery and the others later that year. The current, initial mission packages were designed by the Navy's Warfare Centers in Panama City, Fla., Dahlgren, Va., and San Diego, where they were built. The LCS is based on a modular concept, where different packages can be used based on the mission. The mine countermeasures package, for example, includes the Airborne Laser Mine Detection System, the Remote Minehunting System and the Fire Scout vertical takeoff unmanned air vehicle. The LCS can go to the port where mission packages are staged, off load its current package and replace it with a new one in a few days. (Source: Northrop Grumman, 11/04/10, Mobile Press-Register, 11/05/10) Gulf Coast note: Austal USA in Mobile, Ala., is one of two companies building LCS ships for the Navy; Northrop Grumman Fire Scouts are built in part in Moss Point, Miss; Northrop Grumman has both shipbuilding and aerospace operations in the Gulf Coast.

Thursday, November 4

Navy wants to split LCS contract

The Navy would buy Littoral Combat Ships from both Austal USA and Lockheed Martin under a new proposal by Navy Secretary Ray Mabus. Sens. Richard Shelby, R-Ala., and Jeff Sessions, R-Ala., said Wednesday that the plan would have Austal make 10 of the ships in Mobile, more than doubling its workforce of 1,800. Lockheed’s 10 would be built in Wisconsin by Marinette Marine Corp. The deal, if approved by Congress, would replace an earlier plan by the Navy to pick one of the two competing ship designs. (Source: Mobile Press-Register, NNS, 11/04/10)

Friday, October 29

Destroyer leaves for homeport

PASCAGOULA, Miss. - The guided missile destroyer Gravely left Friday for Wilmington, N.C., where it’s scheduled to be commissioned Nov. 20. Gravely, DDG 107, which was delivered to the Navy in July, is the 27th Aegis-class destroyer to be built at Northrop's Pascagoula shipyard. (Sources: Mississippi Press, WLOX, 10/29/10) Previous story

Thursday, October 28

Contract: Northrop Grumman, $48.1M

Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $48,107,835 modification to previously awarded contract for additional planning and advanced engineering services in support of the LHA replacement (LHA[R]) Flight 0 amphibious assault ship (LHA 7). Work will be performed in Pascagoula and is expected to be completed by May 2012. Contract funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source: DoD, 10/28/10)

Tuesday, October 26

Maritime academy design closer

PASCAGOULA, Miss. - Architects are moving in on a design for the $20 million Jackson County Maritime Trades Academy. The design was presented to the Jackson County Board of Supervisors during its regular meeting Monday morning. The federally funded academy at a nine-acre site is designed to provide a skilled workforce and help Northrop Grumman Shipbuilding expand its two- to four-year apprentice program from 610 to 1,000 students. Originally, the county planned to turn over ownership of the facility to the Mississippi Gulf Coast Community College. Now Northrop Grumman will eventually own the building and handle daily operations. (Source: Mississippi Press, 10/26/10)

Wednesday, October 20

Contract: Northrop Grumman, $62M

Northrop Grumman Shipbuilding Inc., Pascagoula, Miss., is being awarded a $62,000,000 cost-plus-fixed-fee not-to-exceed modification to previously awarded contract for advance procurement of long lead time materials in support of Landing Platform Dock 27. Work will be done in Pascagoula, Miss., and is expected to be completed by August 2014. Contract funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source: DoD, Northrop Grumman, 10/20/10)

Sunday, October 17

Spin-offs can be winners

The Mobile Press-Register on Sunday took a closer look at what might happen with a spin-off of Northrop Grumman's shipbuilding sector. Some think a shipbuilding operation turned loose from the parent could be a winner for investors. The company says it's leaning toward a spin-off, but is also meeting with large buyout firms. (Source: Mobile Press-Register, 10/17/10) Northrop Grumman owns shipyards in Pascagoula, Miss., Avondale, La., and Newport News, Va., and this past summer said it’s considering getting out of the shipbuilding business. At least one company, Cleveland Ship, has made its interest public. The company filed a Form 10 with the U.S. Securities and Exchange Commission as a first step. (Source: Northrop Grumman, 10/15/10)

Friday, October 15

San Antonio won't deploy

NORFOLK, Va. - The USS Mesa Verde will deploy as part of the Bataan Amphibious Ready Group in the summer of 2011, replacing the USS San Antonio, the U.S. Fleet Force Command announced. Work is still being done on the trouble-plagued San Antonio to return it to the fleet. (Source: NNS, 10/15/10) The first ship of its class, the San Antonio, LPD 17, has had a series of problems, including its propulsion system, since it was commissioned more than four years ago. An investigation found the shipbuilder, Northrop Grumman in Avondale, La., and the Navy at fault for not catching problems earlier. Mesa Verde, LPD 19, is the third ship of the class and was built by Northrop Grumman in Pascagoula, Miss.

Wednesday, October 13

Report says ferries sold

MOBILE, Ala. - Two ferries built by Austal USA to shuttle people and goods between the Hawaiian Islands were sold at auction to the federal government. Hawaii Superferry ordered the two ferries in 2004, but the company filed for bankruptcy after a state law that allowed the company to operate while an environmental study was done was ruled unconstitutional. The Virginian-Pilot reported that the ships were sold for $25 million each to the U.S. Maritime Administration this week. (Source: Mobile Press-Register, 10/12/10)

Tuesday, October 12

Contract: Austal, $203.7M

Austal USA, Mobile, Ala., is being awarded a $204,652,897 modification to previously awarded contract for the exercise of construction options for ships four and five of the Joint High Speed Vessel program. The JHSV will provide high speed, shallow draft transportation capability to support the intra-theater maneuver of personnel, supplies and equipment for the Navy, Marine Corps, and Army. Work will be performed in Mobile, Ala., and is expected to be completed by December 2013. The Naval Sea Systems Command, Washington, D.C., is the contracting activity. (Source: DoD, 10/12/10)

Friday, October 8

Signal International lands contract

Signal International won a $32.4 million contract with Transocean Offshore Drilling to refurbish and upgrade the company's Deepwater Navigator drillship. Signal will use its yards in Pascagoula, Miss., and Mobile for the work, which should take 160 days. Signal is hiring in all crafts at both yards. In Pascagoula it will hire 300 workers and in Mobile 100. The Pascagoula shipyard has 600 workers and the Mobile yard 240. (Source: Mobile Press-Register, Sun Herald, 10/08/10)

Thursday, October 7

Fuel loaded on newest transport

PASCAGOULA, Miss. - Northrop Grumman Shipbuilding achieved a key milestone by loading 100,000 gallons of fuel aboard the company's sixth San Antonio-class amphibious transport dock ship over the weekend. The loading of fuel is important as the shipbuilder prepares to light the San Diego's first generator and later send the ship to sea for its first sea trial. The generator light off for LPD 22 is scheduled for next month. The ship was christened in June and is scheduled for sea trials in the second quarter of 2011. The 684-foot long ship is capable of embarking a landing force of up to 800 Marines. It's powered by four turbo-charged diesels. (Source: Northrop Grumman, 10/06/10) Previous story

Wednesday, October 6

AFL-CIO gets in shipyard fight

The AFL-CIO is throwing its weight behind Louisiana shipworkers in a bid to save thousands of jobs. Northrop Grumman, owner of the Avondale shipyard, issued the first round of pink slips to workers on Monday. Northrop Grumman, which has 5,000 workers at the Avondale yard, said in July that it would close the yard and shift the work to its shipyard in Pascagoula, Miss. The company also said it's looking at shedding all of its shipbuilding sector, including Pascagoula and Newport News, Va. AFL-CIO President Richard Trumka said his organization is meeting with government officials and prospective buyers of the shipbuilding unit to try and find a solution that will keep the unit on the job. (Source: The Hill, 10/05/10)

Monday, October 4

Bidder reported for shipyards

Bloomberg is reporting that Cleveland Ship LLC, formed to bid for a new class of U.S. Navy oilers, made an offer for Northrop Grumman Corp.’s shipbuilding unit. The Cleveland-based company did not specify the value of its Sept. 23 bid. Cleveland Ship said it had expressed interest earlier this year in buying Northrop Grumman's shipyard in Avondale, La. Northrop Grumman said in July it will be closing the Louisiana shipyard and consolidate work in Pascagoula, Miss. But the company also said it is considering selling its entire shipbuilding sector, which also includes Newport News, Va. (Source: Bloomberg, 10/04/10)