Sequestration's Impact

Even if sequestration hits the Pentagon, Raytheon officials believe the company's portfolio is diverse enough to weather the storm. According to Raytheon's fourth-quarter earnings statement released this morning:

The financial outlook for 2013 does not reflect any of the potential effects of sequestration under the Budget Control Act (BCA). Although it remains uncertain if sequestration will be implemented, it could have a significant impact on the U.S. Military, the Aerospace and Defense Industry and Federal spending. Several industry associations estimate that sequestration, if implemented, could have a severe impact on U.S. Aerospace and Defense Industry employment nationwide. We believe that Raytheon's large international market presence, portfolio of programs, technology and focus on high priority areas should help to mitigate some of the potential overall impact.

View Raytheon's full statement -- along with other defense contractors.