LOS ANGELES, CA (WLOX) - Northrop Grumman made an announcement on Tuesday which will strengthen Mississippi shipbuilding.
Northrop Grumman officials say the Avondale shipyard outside New Orleans could close by early 2013. The company is plans to consolidate some of the shipbuilding operations in Pascagoula.
The Chief Executive Officer and President of Northrop Grumman Wes Bush explained some of the decision for consolidation.
"Our decision to consolidate the Gulf Coast facilities is driven by the need for rationalization of the shipbuilding industrial base to better align with the projected needs of our customers. The consolidation will reduce future costs, increase efficiency and address shipbuilding overcapacity," Bush said. "This difficult, but necessary decision will ensure long-term improvement in Gulf Coast program performance, cost competitiveness and quality."
To read about Consolidation Actions, Strategic Alternatives and Financial Impacts, click HERE.
"We are gratified that Northrop Grumman has confidence in our diverse and experienced workforce in Pascagoula to provide even more shipbuilding for our national security. Mississippians look forward to providing this important service to the nation into the foreseeable future. I will continue to work with the Navy to try to create the much needed stability within our shipbuilding industry."