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MAY 2008
Austal in competition to build additional ships
MOBILE, Ala. – Mobile shipbuilder Austal USA is staying in the competition to build
additional littoral combat ships for the U.S. Navy. General Dynamics Corp., which leads
the Austal contracting team, and Lockheed Martin Corp. said Friday they had submitted
bids to build three more of the new breed of warship, designed for work in shallow, littoral,
waters close to shorelines. (Source: Mobile Press-Register, 05/31/08)
Austal achieves key clearance
MOBILE, Ala. – Austal USA earned top security clearance from the U.S. Department of
Defense, laying the groundwork for the Mobile shipyard to compete as a prime contractor
on future projects for the U.S. military. Austal had to meet strict criteria about foreign
ownership. Austal USA’s parent is Austal Ltd. of western Australia. The clearance process
involved creating a new Austal USA board and formation of a committee that oversees the
shipyard's compliance with U.S. security and export regulations. (Source: Mobile Press-
Register, 05/09/08)
Ship delivered to Coast Guard
PASCAGOULA, Miss. – The U.S. Coast Guard took possession of the first national
security cutter, Bertholf, this week. The 418-foot vessel is the first of eight national
security cutters planned by the Coast Guard. It’s the first large cutter to be built for the
Coast Guard in 40 years. Bertholf, built by Northrop Grumman, will be formally
commissioned in Alameda, Calif., Aug. 4. (Source: Mississippi Press, 05/09/08)
APRIL 2008
Silver Ships gets Navy contract
MOBILE, Ala. – Theodore shipbuilder Silver Ships Inc. was awarded a $2.58 million
contract from Naval Sea Systems Command for research and development. Founded in
1985, the company does about 95 percent of its work for the military and has about 40
employees. (Source: Mobile Press-Register, 04/18/08)
Austal workers reject union
MOBILE, Ala. – Austal workers voted against unionization Wednesday during Sheetmetal
Workers International Association Local 441’s second attempt to organize employees at
the Mobile shipyard. Seventy-six percent of the 699 people who voted voted “no,”
according to Austal and Local 441. (Source: Mobile Press-Register, 04/10/08
Northrop awards some work on ship to Bath
PASCAGOULA, Miss. – Northrop Grumman Corp. has awarded a contract to General
Dynamics’ Bath Iron Works for the construction of parts for a $1.7 billion San Antonio
class amphibious transport dock ship being built in Pascagoula. It’s the eighth ship in the
LPD 17 class. The units will be barged to the company’s Pascagoula facility for
integration. Northrop also does work in the ships in New Orleans and Gulfport. Northrop
Grumman and General Dynamics have a long history of collaboration including the
construction of USS Arleigh Burke class destroyers, USS Ticonderoga class cruisers and
the U.S. Navy’s next generation of destroyers, the Zumwalt class. (Source: Northrop
Grumman, 04/01/08)
MARCH 2008
Union vote slated for April
MOBILE, Ala. – A union vote is set April 9 at Austal USA’s 1,140-employee shipyard. The
National Labor Relations Board in March 2007 upheld a judge’s 2003 ruling that the
shipyard broke federal labor laws and ordered a new vote. In 2002, when the shipyard
had 130 workers, the union lost but claimed Austal broke labor laws in fighting the
organizing effort. (Source: Mobile Press-Register, 03/23/08)
C&G to add more jobs
MOBILE, Ala. – C&G Boat Works Inc. plans to add as many as 150 new jobs in the next
three years. The company, which currently employs 360 people, won approval from the
Industrial Development Board Wednesday for up to $118,800 in tax breaks. Incentives
were granted for the $1.35 million the company is spending for improvements. (Source:
Mobile Press-Register, 03/20/08)
Silver Ships gets tax abatements
MOBILE, Ala. – Silver Ships Inc. was approved for 10 years of tax abatements from Mobile
County’s Industrial Development Authority. It paves the way for a $790,000 expansion.
Exemptions, including city, county and state sales tax, will total more than $74,500 over
the 10 years. The planned 20,000-square-foot facility will house a new machine to cut
aluminum. Founded in 1985, Silver Ships has about 40 employees and reports that about
95 percent of its work is for the military. (Source: Mobile Press-Register, 03/15/08)
Budget omits 10th amphibious ship
WASHINGTON – Navy officials reassured lawmakers that they plan to build a 10th LPD
amphibious warfare ship even though the president’s 2009 budget makes no mention of
the project. The $1 billion LPD ships are built by Northrop Grumman Corp. in Pascagoula
and Avondale, La. Asked during a House hearing about the future of the ships, Navy Vice
Adm. Barry McCullough said that the Marine Corps wants the 10th ship as part of the 313-
ship fleet envisioned by 2020. He said the commander of the Navy, Gary Roughead, now
agrees. (Source: New Orleans Times-Picayune, 03/06/08)
Edison Chouest to expand
In a boon to Houma, Edison Chouest Offshore will add 1,000 jobs at the Port of
Terrebonne to expand shipyard operations that support deep-water oil and gas
exploration in the Gulf of Mexico. Gov. Bobby Jindal announced an initial $14 million state
investment. The state funds will create structural improvements at the port to allow Edison
Chouest’s LaShip subsidiary to build vessels with hulls greater than 350 feet. Edison
Chouest is based in Galliano and owns and operates support vessels for the U.S.
government, offshore research and oil and gas exploration. (Source: Baton Rouge
Advocate, 03/06/08)
Northrop VP to work at Pascagoula site
Northrop Grumman says Irwin F. Edenzon, vice president and general manager of the
company’s Gulf Coast Shipbuilding sector, will administer his work from the company’s
Pascagoula offices. Northrop also named Matthew J. Mulherin as vice president and
general manager of the company's Newport News, Va., operations. Edenzon and Mulherin
will report to Mike Petters, president of Northrop Grumman Shipbuilding. The company
announced in January that it would consolidate its Newport News and Ship Systems
sector, based in Virginia and Mississippi, respectively. A headquarters for Northrop
Grumman Shipbuilding has not been decided. (Source: New Orleans Times-Picayune,
03/04/08)
Warship to be commissioned in Mobile
MOBILE, Ala. – The Navy selected Mobile as the site where its littoral combat ship
Independence will be commissioned, according to the Mobile Council of the Navy League
of the United States. Mayor Sam Jones will share details during a Monday announcement.
The ship will be launched in late April, and still has to undergo sea trials before the
commissioning. Austal in Mobile is building the ship as part of a team led by Virginia-
based General Dynamics Corp. (Source: Mobile Press-Register, 03/01/08)
FEBRUARY 2008
Austal net profit up
Austal Ltd., Australian parent of Mobile shipyard Austal USA, said Monday that net profit
for the half-year that ended Dec. 31 increased more than 53 percent to 29.9 million
Australian dollars, or about $27.6 million, with revenue up about 33 percent to $332.9
million Australian. (Source: Mobile Press-Register, 02/26/08)
Northrop awarded contract
PASCAGOULA, Miss. – The Navy awarded Northrop Grumman a $1.4 billion contract for
construction of a Zumwalt-class destroyer, DDG 1001, and major components for the
warship. The contract was awarded to Northrop Grumman Shipbuilding, a newly formed
company sector comprising the former Ship Systems and Newport News shipbuilding
sectors. Northrop’s Gulfport yard will build the composite deckhouse for all DDG 1000
class destroyers. Construction of the ship will begin in Pascagoula in late 2009, with an
expected delivery date of 2014. Fabrication of the deckhouse will start later this year.
(Source: The Sun Herald, 02/15/08)
VT Halter wins contract
PASCAGOULA, Miss. – VT Halter Marine won a contract to design and build two platform
supply vessels for L&M Botruc Rental Inc. of Golden Meadow, La. The contract is valued
at between $45 million and $55 million. Construction is scheduled to begin between April
and June, with deliveries of both vessels scheduled for 2010. The 230-foot vessels will
carry supplies, deck cargo and drilling fluids for offshore production and exploration.
(Source: The Sun Herald, 02/13/08)
Coast Guard pleased with cutter
U.S. Coast Guard officials praised the National Security Cutter program Monday, telling
reporters that the service’s first large cutter will be delivered by May at a cost of about
$500 million. The Bertholf is now on sea trials in Pascagoula. Adm. Ron Rabago, the
program executive officer, said the ship is quiet, smooth and vibration free, and the Coast
Guard is excited about the capability the ship will bring. The 418-foot cutter is the flagship
of the Coast Guard’s Deepwater Program, a 25-year program to replace ships, aircraft
and communications systems. (Source: The Sun Herald, 02/13/08)
Northrop receives housing award
PASCAGOULA, Miss. – Northrop Grumman Corp. received a 2008 Pioneer Award from
Homes for Working Families for its employee-assisted housing program. Northrop’s Gulf
Coast Operations is preparing to launch an employer-assisted housing program for
employees who otherwise would not have access to affordable housing. Designed as a
recruitment and retention tool, the program will provide financial assistance through down
payments, funds in the form of a forgivable loan and counseling to eligible employees who
have been employed with the company for at least six months. Key partners in the
program are Gulf Coast Renaissance Corporation and Dependable Affordable
Sustainable Housing. (Source: Biloxi Sun Herald, 02/12/08)
Shipbuilder returns to New Orleans
NEW ORLEANS, La. – A shipbuilding company that left New Orleans after Hurricane
Katrina has returned to the city. United States Marine Inc. lost its shipyard on Chef
Menteur Highway in eastern New Orleans during the 2005 storm and had to move its
headquarters to Gulfport, Miss. But the company in November began leasing space along
the Industrial Canal from Trinity Yachts Inc. United States Marine’s headquarters will
remain in Mississippi while its new Industrial Canal space will serve as a second location.
(Source: New Orleans Times-Picayune, 02/12/08)
Facility will train shipyard workers
MOBILE, Ala – Alabama Industrial Development Training plans to open a multimillion-
dollar training facility for shipbuilders on the east bank of the Mobile River by next
summer. It will consist of a 60,000-square-foot training facility and 30,000-square-foot
outdoor area with a bulkhead and shipfitting area. AIDT Director Ed Castile said the
Maritime Sciences Center flows from the success of AIDT’s maritime training programs at
Brookley Field Industrial Complex, as well as projected demand for up to 2,000 shipyard
workers over the next two years. About 22 acres of state-owned land on the Causeway
has been earmarked for the project. (Source: Mobile Press-Register, 02/08/08)
JANUARY 2008
Cruise ship makeover
MOBILE, Ala. – Carnival Cruise Lines’ 2,052-passenger Fantasy could undergo a
multimillion-dollar renovation at a shipyard in Mobile this fall, according to Miami-based
Carnival. Carnival said the Fantasy, which sails from New Orleans to the Caribbean for
cruises, is scheduled to go into dry dock Sept. 6 through Oct 4. In 2006, three Carnival
vessels were refurbished at Atlantic Marine Inc. (Source: Mobile Press-Register,
01/31/08)
Star Aviation to pursue marine work
MOBILE, Ala. – Star Aviation, an aircraft component engineering and manufacturing firm,
wants to move into the marine engineering market. It hired Garland Borowski, who had led
Borowski Engineering & Analytical Services. Star Aviation believes it can transfer its
expertise from aviation work to ships. Borowski provided computer modeling and
simulation and had one full-time and one part-time employee. Star Aviation has more than
110 employees. (Source: Mobile Press-Register, 01/31/08)
Gulfport-Biloxi among the fastest growing metro areas
The three-county Gulfport-Biloxi Metropolitan Statistical Area is ranked 9th fastest growing
small metro areas, according to the latest list in Forbes. The metro area’s gross
metropolitan product – the value of goods and services produced – is expected to grow
23.12 percent between 2007 and 2012. Its population alone will increase by nearly 17
percent. Forbes looked at the nation’s 363 metro areas and split the list between large
and small metro areas. Forbes used projections by Moody’s Economy.com. Topping the
list of small metro areas was Mobile. The GMP for Mobile will rise 34 percent between
2007 and 2012. The top large metro area was Austin, Texas. (Source: Tcp, 01/30/08)
Ship christened in Pascagoula
PASCAGOULA, Miss. – The Navy’s newest Aegis guided missile destroyer, the USS
Dewey, was christened Saturday in Pascagoula. The Dewey was christened by Deborah
Mullen, wife of Adm. Michael Mullen, chairman of the Joint Chiefs of Staff. The ship is
named for Adm. George Dewey, famous for his victory in the Battle of Manila in 1898 at
the start of the Spanish-American War. The ship is the third to carry the name. Northrop
Grumman has built 26 of the 55 Arleigh Burke destroyers at its Pascagoula shipyard.
(Source: Mississippi Press, 01/27/08)
Northrop Grumman consolidating shipbuilding operations
Northrop Grumman Corp. will merge under one entity its two shipbuilding operations
beginning Jan. 28. The new entity, Northrop Grumman Shipbuilding, combines Virginia's
Newport and Mississippi's Pascagoula-based Ship Systems. Michael Petters, president of
Newport News, will become president of the new unit and work out of Pascagoula during
the one-year transition. Philip Teel, president of Ship Systems, on April 1 will become
president of Northrop’s Mission Systems sector, which develops sensors, communications
and surveillance networks. Northrop does not expect the consolidation to lead to any
shipyard closures or job cuts. Northrop, once primarily an aerospace company, got into
shipbuilding in 2001 and 2002 with the purchase of Litton Industries and Newport News. In
addition to the shipbuilding realignment announced Monday, the company is also
realigning the reporting of its missiles business from its Mission Systems sector to its
Space Technology sector, effective July 1, 2008. Mission Systems will focus on the rapidly
growing C4ISR business, and the missiles business will be an integrated element of the
company's Aerospace business growth strategy. (Sources: multiple, 01/17/08)
Shipbuilder lands tax incentives
MOBILE, Ala. – Austal USA will get $24.4 million in property and sales tax breaks to aid
the planned $254 million expansion of its Mobile shipbuilding facility. Mobile’s Industrial
Development Board voted to shield the company from $15.7 million in property taxes over
10 years, plus $8.7 million in sales taxes that Austal would have paid on building
materials. The expansion is projected to add another 1,000 employees to Austal’s current
1,160 workers. (Source: Mobile Press-Register, 01/17/08)
Mississippi tax system gets high marks
A new report lists Mississippi with high marks for having a mechanism in place to review its
tax systems in light of the changing economy. A study by the Pew Center on the States
says effective tax systems are important for a state’s competitiveness. Good ones provide
stable revenue, efficient tax collection, transparent information about incentives and give
localities a say in how tax dollars are used. The study says many state tax systems fail on
these measures and lack the ability to support new economic engines. In addition to
Mississippi, other states with effective systems are Iowa, Maine, Minnesota, Nebraska,
New Jersey, Texas and Utah. (Source: Governing, 01/08)
Mississippi No. 2 in R&D earmarks
The top 10 state recipients of R&D earmarks receive nearly half the total, according to an
analysis by American Association for the Advancement of Science. Mississippi received
$250 million, second only to California. Excluding earmarks divided among three or more
states, the 10 states receive 44 percent of all R&D earmarks in 2008 by value. The 10
represents a mix of the most populous states and smaller states with members of
Congress in key appropriations committee chairmanships. Congress inserted nearly $4.5
billion in federal R&D earmarks, spread over 2,526 projects, in spending bills for fiscal
year 2008, according to AAAS. The earmarks are for projects not included in agency
budget requests. After a one-year moratorium in the 2007 fiscal year for most domestic
earmarks, Congress resumed the practice for the 2008 fiscal year with new disclosure
requirements. (Source: AAAS, 01/07/08)
Signal International to move corporate to Mobile
MOBILE, Ala. - Signal International, a marine and fabrication company, is moving its
corporate office from Pascagoula to Mobile’s 35-story RSA Battle House Tower, tallest
building in the state. The company will move within nine months. The Retirement System
of Alabama, which funded the downtown tower, helped finance a buyout of some of Signal’
s investors and is now a partner. Signal has 2,500 workers in two shipyards in Pascagoula
and four in Texas. (Source: Mobile Press-Register, 01/06/08)
Austal in competition to build additional ships
MOBILE, Ala. – Mobile shipbuilder Austal USA is staying in the competition to build
additional littoral combat ships for the U.S. Navy. General Dynamics Corp., which leads
the Austal contracting team, and Lockheed Martin Corp. said Friday they had submitted
bids to build three more of the new breed of warship, designed for work in shallow, littoral,
waters close to shorelines. (Source: Mobile Press-Register, 05/31/08)
Austal achieves key clearance
MOBILE, Ala. – Austal USA earned top security clearance from the U.S. Department of
Defense, laying the groundwork for the Mobile shipyard to compete as a prime contractor
on future projects for the U.S. military. Austal had to meet strict criteria about foreign
ownership. Austal USA’s parent is Austal Ltd. of western Australia. The clearance process
involved creating a new Austal USA board and formation of a committee that oversees the
shipyard's compliance with U.S. security and export regulations. (Source: Mobile Press-
Register, 05/09/08)
Ship delivered to Coast Guard
PASCAGOULA, Miss. – The U.S. Coast Guard took possession of the first national
security cutter, Bertholf, this week. The 418-foot vessel is the first of eight national
security cutters planned by the Coast Guard. It’s the first large cutter to be built for the
Coast Guard in 40 years. Bertholf, built by Northrop Grumman, will be formally
commissioned in Alameda, Calif., Aug. 4. (Source: Mississippi Press, 05/09/08)
APRIL 2008
Silver Ships gets Navy contract
MOBILE, Ala. – Theodore shipbuilder Silver Ships Inc. was awarded a $2.58 million
contract from Naval Sea Systems Command for research and development. Founded in
1985, the company does about 95 percent of its work for the military and has about 40
employees. (Source: Mobile Press-Register, 04/18/08)
Austal workers reject union
MOBILE, Ala. – Austal workers voted against unionization Wednesday during Sheetmetal
Workers International Association Local 441’s second attempt to organize employees at
the Mobile shipyard. Seventy-six percent of the 699 people who voted voted “no,”
according to Austal and Local 441. (Source: Mobile Press-Register, 04/10/08
Northrop awards some work on ship to Bath
PASCAGOULA, Miss. – Northrop Grumman Corp. has awarded a contract to General
Dynamics’ Bath Iron Works for the construction of parts for a $1.7 billion San Antonio
class amphibious transport dock ship being built in Pascagoula. It’s the eighth ship in the
LPD 17 class. The units will be barged to the company’s Pascagoula facility for
integration. Northrop also does work in the ships in New Orleans and Gulfport. Northrop
Grumman and General Dynamics have a long history of collaboration including the
construction of USS Arleigh Burke class destroyers, USS Ticonderoga class cruisers and
the U.S. Navy’s next generation of destroyers, the Zumwalt class. (Source: Northrop
Grumman, 04/01/08)
MARCH 2008
Union vote slated for April
MOBILE, Ala. – A union vote is set April 9 at Austal USA’s 1,140-employee shipyard. The
National Labor Relations Board in March 2007 upheld a judge’s 2003 ruling that the
shipyard broke federal labor laws and ordered a new vote. In 2002, when the shipyard
had 130 workers, the union lost but claimed Austal broke labor laws in fighting the
organizing effort. (Source: Mobile Press-Register, 03/23/08)
C&G to add more jobs
MOBILE, Ala. – C&G Boat Works Inc. plans to add as many as 150 new jobs in the next
three years. The company, which currently employs 360 people, won approval from the
Industrial Development Board Wednesday for up to $118,800 in tax breaks. Incentives
were granted for the $1.35 million the company is spending for improvements. (Source:
Mobile Press-Register, 03/20/08)
Silver Ships gets tax abatements
MOBILE, Ala. – Silver Ships Inc. was approved for 10 years of tax abatements from Mobile
County’s Industrial Development Authority. It paves the way for a $790,000 expansion.
Exemptions, including city, county and state sales tax, will total more than $74,500 over
the 10 years. The planned 20,000-square-foot facility will house a new machine to cut
aluminum. Founded in 1985, Silver Ships has about 40 employees and reports that about
95 percent of its work is for the military. (Source: Mobile Press-Register, 03/15/08)
Budget omits 10th amphibious ship
WASHINGTON – Navy officials reassured lawmakers that they plan to build a 10th LPD
amphibious warfare ship even though the president’s 2009 budget makes no mention of
the project. The $1 billion LPD ships are built by Northrop Grumman Corp. in Pascagoula
and Avondale, La. Asked during a House hearing about the future of the ships, Navy Vice
Adm. Barry McCullough said that the Marine Corps wants the 10th ship as part of the 313-
ship fleet envisioned by 2020. He said the commander of the Navy, Gary Roughead, now
agrees. (Source: New Orleans Times-Picayune, 03/06/08)
Edison Chouest to expand
In a boon to Houma, Edison Chouest Offshore will add 1,000 jobs at the Port of
Terrebonne to expand shipyard operations that support deep-water oil and gas
exploration in the Gulf of Mexico. Gov. Bobby Jindal announced an initial $14 million state
investment. The state funds will create structural improvements at the port to allow Edison
Chouest’s LaShip subsidiary to build vessels with hulls greater than 350 feet. Edison
Chouest is based in Galliano and owns and operates support vessels for the U.S.
government, offshore research and oil and gas exploration. (Source: Baton Rouge
Advocate, 03/06/08)
Northrop VP to work at Pascagoula site
Northrop Grumman says Irwin F. Edenzon, vice president and general manager of the
company’s Gulf Coast Shipbuilding sector, will administer his work from the company’s
Pascagoula offices. Northrop also named Matthew J. Mulherin as vice president and
general manager of the company's Newport News, Va., operations. Edenzon and Mulherin
will report to Mike Petters, president of Northrop Grumman Shipbuilding. The company
announced in January that it would consolidate its Newport News and Ship Systems
sector, based in Virginia and Mississippi, respectively. A headquarters for Northrop
Grumman Shipbuilding has not been decided. (Source: New Orleans Times-Picayune,
03/04/08)
Warship to be commissioned in Mobile
MOBILE, Ala. – The Navy selected Mobile as the site where its littoral combat ship
Independence will be commissioned, according to the Mobile Council of the Navy League
of the United States. Mayor Sam Jones will share details during a Monday announcement.
The ship will be launched in late April, and still has to undergo sea trials before the
commissioning. Austal in Mobile is building the ship as part of a team led by Virginia-
based General Dynamics Corp. (Source: Mobile Press-Register, 03/01/08)
FEBRUARY 2008
Austal net profit up
Austal Ltd., Australian parent of Mobile shipyard Austal USA, said Monday that net profit
for the half-year that ended Dec. 31 increased more than 53 percent to 29.9 million
Australian dollars, or about $27.6 million, with revenue up about 33 percent to $332.9
million Australian. (Source: Mobile Press-Register, 02/26/08)
Northrop awarded contract
PASCAGOULA, Miss. – The Navy awarded Northrop Grumman a $1.4 billion contract for
construction of a Zumwalt-class destroyer, DDG 1001, and major components for the
warship. The contract was awarded to Northrop Grumman Shipbuilding, a newly formed
company sector comprising the former Ship Systems and Newport News shipbuilding
sectors. Northrop’s Gulfport yard will build the composite deckhouse for all DDG 1000
class destroyers. Construction of the ship will begin in Pascagoula in late 2009, with an
expected delivery date of 2014. Fabrication of the deckhouse will start later this year.
(Source: The Sun Herald, 02/15/08)
VT Halter wins contract
PASCAGOULA, Miss. – VT Halter Marine won a contract to design and build two platform
supply vessels for L&M Botruc Rental Inc. of Golden Meadow, La. The contract is valued
at between $45 million and $55 million. Construction is scheduled to begin between April
and June, with deliveries of both vessels scheduled for 2010. The 230-foot vessels will
carry supplies, deck cargo and drilling fluids for offshore production and exploration.
(Source: The Sun Herald, 02/13/08)
Coast Guard pleased with cutter
U.S. Coast Guard officials praised the National Security Cutter program Monday, telling
reporters that the service’s first large cutter will be delivered by May at a cost of about
$500 million. The Bertholf is now on sea trials in Pascagoula. Adm. Ron Rabago, the
program executive officer, said the ship is quiet, smooth and vibration free, and the Coast
Guard is excited about the capability the ship will bring. The 418-foot cutter is the flagship
of the Coast Guard’s Deepwater Program, a 25-year program to replace ships, aircraft
and communications systems. (Source: The Sun Herald, 02/13/08)
Northrop receives housing award
PASCAGOULA, Miss. – Northrop Grumman Corp. received a 2008 Pioneer Award from
Homes for Working Families for its employee-assisted housing program. Northrop’s Gulf
Coast Operations is preparing to launch an employer-assisted housing program for
employees who otherwise would not have access to affordable housing. Designed as a
recruitment and retention tool, the program will provide financial assistance through down
payments, funds in the form of a forgivable loan and counseling to eligible employees who
have been employed with the company for at least six months. Key partners in the
program are Gulf Coast Renaissance Corporation and Dependable Affordable
Sustainable Housing. (Source: Biloxi Sun Herald, 02/12/08)
Shipbuilder returns to New Orleans
NEW ORLEANS, La. – A shipbuilding company that left New Orleans after Hurricane
Katrina has returned to the city. United States Marine Inc. lost its shipyard on Chef
Menteur Highway in eastern New Orleans during the 2005 storm and had to move its
headquarters to Gulfport, Miss. But the company in November began leasing space along
the Industrial Canal from Trinity Yachts Inc. United States Marine’s headquarters will
remain in Mississippi while its new Industrial Canal space will serve as a second location.
(Source: New Orleans Times-Picayune, 02/12/08)
Facility will train shipyard workers
MOBILE, Ala – Alabama Industrial Development Training plans to open a multimillion-
dollar training facility for shipbuilders on the east bank of the Mobile River by next
summer. It will consist of a 60,000-square-foot training facility and 30,000-square-foot
outdoor area with a bulkhead and shipfitting area. AIDT Director Ed Castile said the
Maritime Sciences Center flows from the success of AIDT’s maritime training programs at
Brookley Field Industrial Complex, as well as projected demand for up to 2,000 shipyard
workers over the next two years. About 22 acres of state-owned land on the Causeway
has been earmarked for the project. (Source: Mobile Press-Register, 02/08/08)
JANUARY 2008
Cruise ship makeover
MOBILE, Ala. – Carnival Cruise Lines’ 2,052-passenger Fantasy could undergo a
multimillion-dollar renovation at a shipyard in Mobile this fall, according to Miami-based
Carnival. Carnival said the Fantasy, which sails from New Orleans to the Caribbean for
cruises, is scheduled to go into dry dock Sept. 6 through Oct 4. In 2006, three Carnival
vessels were refurbished at Atlantic Marine Inc. (Source: Mobile Press-Register,
01/31/08)
Star Aviation to pursue marine work
MOBILE, Ala. – Star Aviation, an aircraft component engineering and manufacturing firm,
wants to move into the marine engineering market. It hired Garland Borowski, who had led
Borowski Engineering & Analytical Services. Star Aviation believes it can transfer its
expertise from aviation work to ships. Borowski provided computer modeling and
simulation and had one full-time and one part-time employee. Star Aviation has more than
110 employees. (Source: Mobile Press-Register, 01/31/08)
Gulfport-Biloxi among the fastest growing metro areas
The three-county Gulfport-Biloxi Metropolitan Statistical Area is ranked 9th fastest growing
small metro areas, according to the latest list in Forbes. The metro area’s gross
metropolitan product – the value of goods and services produced – is expected to grow
23.12 percent between 2007 and 2012. Its population alone will increase by nearly 17
percent. Forbes looked at the nation’s 363 metro areas and split the list between large
and small metro areas. Forbes used projections by Moody’s Economy.com. Topping the
list of small metro areas was Mobile. The GMP for Mobile will rise 34 percent between
2007 and 2012. The top large metro area was Austin, Texas. (Source: Tcp, 01/30/08)
Ship christened in Pascagoula
PASCAGOULA, Miss. – The Navy’s newest Aegis guided missile destroyer, the USS
Dewey, was christened Saturday in Pascagoula. The Dewey was christened by Deborah
Mullen, wife of Adm. Michael Mullen, chairman of the Joint Chiefs of Staff. The ship is
named for Adm. George Dewey, famous for his victory in the Battle of Manila in 1898 at
the start of the Spanish-American War. The ship is the third to carry the name. Northrop
Grumman has built 26 of the 55 Arleigh Burke destroyers at its Pascagoula shipyard.
(Source: Mississippi Press, 01/27/08)
Northrop Grumman consolidating shipbuilding operations
Northrop Grumman Corp. will merge under one entity its two shipbuilding operations
beginning Jan. 28. The new entity, Northrop Grumman Shipbuilding, combines Virginia's
Newport and Mississippi's Pascagoula-based Ship Systems. Michael Petters, president of
Newport News, will become president of the new unit and work out of Pascagoula during
the one-year transition. Philip Teel, president of Ship Systems, on April 1 will become
president of Northrop’s Mission Systems sector, which develops sensors, communications
and surveillance networks. Northrop does not expect the consolidation to lead to any
shipyard closures or job cuts. Northrop, once primarily an aerospace company, got into
shipbuilding in 2001 and 2002 with the purchase of Litton Industries and Newport News. In
addition to the shipbuilding realignment announced Monday, the company is also
realigning the reporting of its missiles business from its Mission Systems sector to its
Space Technology sector, effective July 1, 2008. Mission Systems will focus on the rapidly
growing C4ISR business, and the missiles business will be an integrated element of the
company's Aerospace business growth strategy. (Sources: multiple, 01/17/08)
Shipbuilder lands tax incentives
MOBILE, Ala. – Austal USA will get $24.4 million in property and sales tax breaks to aid
the planned $254 million expansion of its Mobile shipbuilding facility. Mobile’s Industrial
Development Board voted to shield the company from $15.7 million in property taxes over
10 years, plus $8.7 million in sales taxes that Austal would have paid on building
materials. The expansion is projected to add another 1,000 employees to Austal’s current
1,160 workers. (Source: Mobile Press-Register, 01/17/08)
Mississippi tax system gets high marks
A new report lists Mississippi with high marks for having a mechanism in place to review its
tax systems in light of the changing economy. A study by the Pew Center on the States
says effective tax systems are important for a state’s competitiveness. Good ones provide
stable revenue, efficient tax collection, transparent information about incentives and give
localities a say in how tax dollars are used. The study says many state tax systems fail on
these measures and lack the ability to support new economic engines. In addition to
Mississippi, other states with effective systems are Iowa, Maine, Minnesota, Nebraska,
New Jersey, Texas and Utah. (Source: Governing, 01/08)
Mississippi No. 2 in R&D earmarks
The top 10 state recipients of R&D earmarks receive nearly half the total, according to an
analysis by American Association for the Advancement of Science. Mississippi received
$250 million, second only to California. Excluding earmarks divided among three or more
states, the 10 states receive 44 percent of all R&D earmarks in 2008 by value. The 10
represents a mix of the most populous states and smaller states with members of
Congress in key appropriations committee chairmanships. Congress inserted nearly $4.5
billion in federal R&D earmarks, spread over 2,526 projects, in spending bills for fiscal
year 2008, according to AAAS. The earmarks are for projects not included in agency
budget requests. After a one-year moratorium in the 2007 fiscal year for most domestic
earmarks, Congress resumed the practice for the 2008 fiscal year with new disclosure
requirements. (Source: AAAS, 01/07/08)
Signal International to move corporate to Mobile
MOBILE, Ala. - Signal International, a marine and fabrication company, is moving its
corporate office from Pascagoula to Mobile’s 35-story RSA Battle House Tower, tallest
building in the state. The company will move within nine months. The Retirement System
of Alabama, which funded the downtown tower, helped finance a buyout of some of Signal’
s investors and is now a partner. Signal has 2,500 workers in two shipyards in Pascagoula
and four in Texas. (Source: Mobile Press-Register, 01/06/08)