Happiness is a warm automatic cannon

Boeing has signed an agreement to sell its ordnance business to Alliant Techsystems for an undisclosed fee.

Boeing has signed an agreement to sell its ordnance business located in Mesa, AZ, to ATK (Alliant Techsystems) of Edina, MN, pending regulatory approvals.

Under the agreement, ATK will operate the ordnance business in Mesa and will assume ownership of the facilities and other assets associated with the business.

The Boeing ordnance business itself is a producer of medium calibre automatic cannons and machine guns. Its products include the M242 automatic cannon for the Bradley Fighting Vehicle and the M230 automatic cannon used on all AH-64 Apache attack helicopters.

Each of the approximately 50 employees will be offered an opportunity to transfer to ATK when the sale is final.

The transaction, which is expected to be completed in the first half of this year, follows an announcement in May 2001 that Boeing was seeking a buyer for its ordnance Business to further focus company operations on core aerospace capabilities.

Terms of the agreement were not disclosed.

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