Does Firepower = Earning Power For Lockheed Martin?

The defense contractor is placing a costly bet that it does

For nearly a decade, Lockheed Martin chief executive and president Norman R. Augustine has raced to ensure that his company emerges as the top gun in the consolidating defense industry. On Apr. 23, as Lockheed Martin's $9.1 billion buy of most of Loral Corp. finally closed, Augustine had clearly hit his goal. Today, he sits atop a $27 billion one-stop weapons shop that is nearly double the size of his nearest rival. "We are going to be one of the survivors," declares Augustine.

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