600 Third Avenue
New York, NY 10016
CEO: Michael Strianese
Stock Symbol: LLL
L-3 Communications is a leading defense contractor specializing in Command, Control and Communications, Intelligence, Surveillance and Reconnaissance, Government Services, Aircraft Modernization and Maintenance (AM&M) and has the broadest base of Specialized Products in the industry. L-3 is also a major provider of homeland defense products and services for a variety of emerging markets.
Customers include the Department of Defense,
Department of Homeland Security, selected U.S. Government intelligence
agencies, aerospace prime contractors and commercial telecommunications
and wireless customers.
L-3 has operations throughout the U.S.
and offices worldwide.
L-3 reported record revenues of $13.96 billion in 2007 and net income of $756 million.
In 1997, Frank Lanza and Robert LaPenta
decided to form a business that could serve as a leading mezzanine
company in the defense electronics and communications industry.
They had each spent decades in the defense industry, serving
as part of the executive team responsible for the phenomenal
growth of Loral Corporation. At the same time, there were massive
changes in the industry, resulting from dramatic declines in
the U.S. defense budgets since the mid-1980s.
Depite consolidation in the industry, there
is opportunity. First, budgetary challenges are altering the
way the Department of Defense(DoD) spends its resources. Rather
than investing in new programs, the DoD is focusing its resources
on enhancing its military readiness, joint operations, and on
multiple mission capabilities. Those requirements increase the
need to incorporate advanced electronics to improve military
equipment performance and to extend the life expectancy of existing
and future platforms. Second, defense/aerospace prime contractors
are becoming increasingly competitive in their efforts to get
more defense dollars. As a result, they are growing reluctant
to purchase products, components and sub-systems from one another
to support their platforms. In addition, the need for cost-consciousness
in purchasing these products and the growing use of off-the-shelf
products is making it more attractive to rely on mezzanine companies
As a result, Lanza and LaPenta, in conjunction
with Lehman Brothers and Lockheed Martin decided to form a mezzanine
company - L-3 Communications - that would be the supplier of
choice for prime contractors. In establishing the company, several
advanced electronics businesses were purchased that were part
of the Lockheed Martin, Loral Corporation merger that occurred
in 1996. Also purchased from Lockheed Martin was a division located
in Camden, NJ that had been part of GE.