JUNE 18--L-3 Communications (New York, NY; www.L-3Com.com) has successfully completed its acquisition of the detection-systems business of PerkinElmer. The company received clearance under the Hart-Scott-Rodino Antitrust Improvements Act without any required divestitures. The new company will be named L-3 Communications Security and Detection Systems. The acquisition is expected to generate $40 million in revenues for the remainder of 2002 and to be accretive to L-3's earnings in 2002.
With a broad range of systems and technology and an installed base of more than 16,000 units, PerkinElmer's detection-systems business offers x-ray screening for several major security applications: aviation systems for checked and oversized baggage, break bulk cargo and air freight; port and border applications; and facility protection. The customer base includes major airlines and airports, a number of domestic agencies, such as the US Customs Service, US Marshals Service, US Department of Agriculture and Department of State, and international authorities throughout Europe, Asia, and South America.
The acquisition broadens L-3 Communications' capabilities and product offerings in the rapidly growing market for explosives-detection systems (EDSs). The acquisition provides L-3 with enhanced manufacturing and marketing capabilities, which will be used as the company works to meet growing demand for its EDS products.
