BAE's Deal For Armor Nears Closure

Defense Daily, July 20, 2007

The Department of Justice on Wednesday granted early termination of its anti-trust review of BAE SYSTEM's pending acquisition of Armor Holdings [AH], meaning the deal has cleared its final government hurdle on the way to approval.

Next Wednesday Armor Holding's shareholders will vote on the purchase, which is expected to close within a few days of the vote.

The Justice Department's early termination of the Hart-Scott-Rodino review comes a week after United Kingdom-based BAE said in a filing with the Securities and Exchange Commission that the U.S. Committee on Foreign Investment in the United States found no reason to block the deal on national security grounds.

Separately, Armor Holdings said yesterday that its Aerospace and Defense Group has entered into an exclusive teaming agreement with composite manufacturer TPI Composites to develop and produce advanced composite solutions in support of its various safety and survivability systems, including vehicle armoring.

"We continue to focus on pushing the envelope to increase levels of ballistic protection at reduced weights," John Gatti, senior vice president and Chief Technology Officer for Armor Holdings, said in a statement. "Our partnership with TPI helps us do just that."

TPI, based in Rhode Island, makes large scale composite structures that are strong, lightweight and durable. The company is developing composite structures, such as hoods, cabs and full vehicle bodies, that reduce wight in vehicles while allowing for more efficient use and application of armor protection. TPI recently opened a manufacturing facility in Ohio to produce military and select transportation components. The company also makes composites for wind energy applications.

[Copyright 2006 Access Intelligence, LLC. All rights reserved.]

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