Blumenthal seeks more info on how DOD will review Raytheon-UTC merger

Sen. Richard Blumenthal (D-CT) today said he'd like information about the "consideration and criteria" the Pentagon will use when reviewing the planned merger between Raytheon and United Technologies, given the consolidation trend underway.

Speaking to David Norquist at his nomination hearing to become deputy defense secretary, Blumenthal said the deal "raises some very significant policy implications."

"I would like an outline from you as to the kinds of consideration and criteria that will come into play when you consider it because I think they set an important framework for broader issues facing the defense industry," he added. "The trend toward consolidation is likely to continue, for better or worse, and the Department of Defense ultimately is the consumer here. In most mergers, the consumers are ordinary folks who go to the supermarket or retail stores or the Internet to buy, but here the major consumer is the Department of Defense."

Norquist said the Pentagon, when reviewing any proposed merger, considers whether there's a loss of competition or a disruption to an existing acquisition program.

"Those are some of the primary concerns," he told Blumenthal.

Norquist agreed that consolidation within the industry is "an area where you want to keep an eye on it over the long term."