The Insider

Booz Allen Hamilton said today sales and profit in its most recent quarter fell, but the contractor's chief executive struck a note of optimism for the future.

The contractor reported that quarterly revenue hit $1.3 billion, down from nearly $1.4 billion in the same three-month period a year earlier. Booz Allen reported profit of $43.4 million, down from $46.9 million the prior year.

Horacio Rozanski, Booz Allen's CEO, told analysts in a call this morning that he is seeing signs of an improved market.

"We are optimistic that this budget stability will continue," Rozanski said. However, "our planning has never been about what Congress might do. Instead, we are focused on the things we can control."

He said the market, in general, "is a lot more competitive than it used to be . . . and I don't think that's going to change."

Northrop Grumman announced today it has named Sonal Deshpande vice president of mission assurance in its electronic systems sector and Steve Lunny vice president and program manager for its information systems sector's ISR division.

Deshpande, who joined Northrop in 1986, most recently served as vice president for engineering, manufacturing and logistics for the contractor's airborne ISR and targeting systems and space ISR systems divisions. She has also served as director of the Cobra Judy replacement program, vice president of logistics services in the electronic systems sector and vice president of advanced maritime and IAMD systems.

Lunny previously worked as deputy program manager for advanced mission programs in the space systems division of Northrop's aerospace systems business.

Despite recent press speculation that a Terminal High Attitude Area Defense system could be deployed to South Korea, no final decision has yet been made, according to a senior State Department official.

"I will underscore although we are considering the permanent stationing of a THAAD unit on the Peninsula, we have not made a final decision, and we have had no formal consultations with the Republic of Korea on THAAD deployment," Assistant Secretary of State for Arms Control, Verification and Compliance Frank Rose said in a May 19 speech in Washington, adding: "To be clear, THAAD is a purely defensive system that would improve our ability to intercept short- and medium-range ballistic missiles from North Korea. It does not and cannot impact broader strategic stability with Russia and China."

Rose did note that the United States deploys Patriot Advanced Capability-3 batteries in South Korea to defend U.S. and South Korean forces. Further, "South Korea is taking steps to enhance its own air and missile defense systems, which include sea-and land-based sensors, and upgrading its Patriot PAC-2 batteries to the PAC-3 system. Additionally, the U.S. Department of Defense continues to consult with South Korea about how it can improve its missile defense capabilities as part of an Alliance response to the growing North Korean missile threat."

The full House passed the fiscal year 2016 defense authorization bill today by a 269-151 vote.

In a statement, House Armed Services Committee Chairman Mac Thornberry (R-TX) said:

I want to thank all of the Members who worked so hard and contributed so much to this product. The important reforms to the acquisition process, workforce management, and troop benefits could not have happened without contributions from across this chamber. I especially want to thank those members who contributed to this bill and voted for final passage. We have never before faced such a diverse array of serious threats. To meet them, we must preserve our agility while we recruit and retain the very best. This bill is an important step in that direction.

The Pentagon seeks to develop a stronger connection between the requirements and technology personnel, acquisition chief Frank Kendall told reporters Thursday.

In an aim to enhance that connection, the Defense Department held its first ever "lab day" on May 14, in which dozens of DOD lab projects were showcased in the Pentagon courtyard.

During the event's opening ceremonies, Deputy Defense Secretary Bob Work noted that the United States does not have a global monopoly on technology.

"Technological superiority is not an American birthright. We assume it. We have assumed it since World War II, but it is under threat," he said. "We have to work every day to keep it."

"And so that's why these types of . . . demonstrations really jazz me up because it makes me confident that we will be able to do so," Work added.

Kendall reiterated that idea when he spoke to reporters, noting that defense officials have to work harder at achieving superiority than they have over the past few decades.

The event follows closely with Work and Kendall's push to reinvigorate DOD's focus on technological superiority for 21st century conflicts.

In an unprecedented move, Defense Secretary Ash Carter has nominated a submariner, Adm. John Richardson, to succeed another member of the "silent service" as the 31st chief of naval operations.

Richardson currently serves as the naval nuclear propulsion program director. He also led the 2014 investigation of the service's Naval Nuclear Power School cheating scandal when 34 sailors were expelled.

If approved by Congress, Richardson would succeed another fellow submariner, Adm. Jonathan Greenert, and take the helm at the time the service wants to fund the multibillion-dollar Ohio-class replacement ballistic missile submarine program.