MINNEAPOLIS---ATK announced today that it will undertake a number of steps to ensure that the right business structure and the strongest leadership team are in place to ensure that the company continues to grow and deliver on its earnings growth commitment.
Paul David Miller (PDM), chairman and chief executive officer, said, "The pace of change in the aerospace and defense industry continues to accelerate, providing us with opportunities that didn't exist a year ago. The only way to stay ahead of this change is to continually adjust our organization to better address and capture new opportunities. If you stand still, you lose ground - it's that simple.
"Two major acquisitions over the past year have doubled the size of the company and made our legacy propulsion and ammunition businesses world leaders - we will stay focused on these areas and at the same time better position ATK to pursue precision capabilities - where significant opportunities exist. Accordingly, the board of directors has concurred in a new business structure that includes a third operating group, which will pursue new precision systems business. The board has approved also a number of leadership changes to ensure that we have the strongest and most balanced corporate and operations executive team to help us continue to grow."
The business structure and leadership team changes, which are effective at the start of Fiscal Year 2003 on April 1, are as follows:
--Paul Ross, senior group vice president, Aerospace, will become president.
--Nick Vlahakis, group vice president, Defense, will become senior vice president and chief operating officer. Ross and Vlahakis, along with the new group executives, will work closely together to chart ATK's internal growth.
--Jeff Foote will take over leadership of the Aerospace Group from Ross. Foote is a long-time propulsion engineer with 20 years of ATK/Hercules Aerospace experience who is currently executive vice president, ATK Thiokol Propulsion. The Aerospace Group will have two operating units - ATK Thiokol Propulsion, Promontory, Utah, and ATK Aerospace Composite Structures, Clearfield, Utah - and annual sales of approximately $850 million. Headquarters for the group will remain in Salt Lake City.
--Dan Murphy will lead the newly created Precision Systems Group, which will have annual sales of approximately $575 million. Murphy joined ATK in January 2001 after retiring from the U.S. Navy with the rank of Vice Admiral. The group will contain the majority of ATK's precision and tactical propulsion capabilities, and will comprise four operating units: ATK Tactical Systems, Rocket Center, W. Va. and Elkton, Md., previously led by Murphy; ATK Integrated Defense, Plymouth, Minn; ATK Ammunition Systems; Arden Hills, Minn.; and ATK Precision Fuze, Janesville, Wis. This group will be located at ATK corporate headquarters in Edina, Minn.
--Mark DeYoung, an ATK/Hercules Aerospace veteran with nearly 20 years of operations and finance experience, will lead the Ammunition Group, a $575 million business with three operating units, including ATK Ammunition and Powder, which operates the Radford Army Ammunition Plant in Radford, Va., and ATK Lake City Small Caliber Ammunition, which operates the Lake City Army Ammunition Plant in Independence, Mo. DeYoung is currently president, ATK Lake City Small Caliber Ammunition. The third operating unit - civil ammunition and ammunition related products - includes the former Blount businesses acquired by ATK in December 2001.
--Eric Rangen, vice president and chief financial officer, will add acquisition responsibilities to his current duties, and will work closely with PDM to continue ATK's focus on strategic growth opportunities.
"I am very comfortable that this team working closely together will take full measure of acquisition opportunities," said PDM. "We are all poised to continue the ATK hallmark of building on our strengths and delivering on our commitment to achieve average annual earnings per share growth of 15 percent. The team's combination of experience and bright new group leadership gives me a great deal of confidence that we are well positioned for Fiscal Year 2003 and beyond."
ATK is a $2 billion aerospace and defense company with leading positions in propulsion, composite structures, munitions, and precision capabilities. The company, which is headquartered in Edina, Minn., employs approximately 11,200 people.
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ATK Announces Business Structure And Leadership Changes To Position Company For Continued Growth
