Navy Will Switch to One Supplier for Key Missile

The Navy’s cruise missile office said Monday that it plans to go to a single supplier for the Tomahawk cruise missile in fiscal 1994, a decision that could affect more than 1,000 Southern California jobs.

The single-source plan for the Tomahawk, a sea-launched weapon that earned a measure of fame in the Persian Gulf War last year, is an example of how shrinking defense budgets are causing a consolidation and restructuring among arms makers. The military’s declining appetite for weapons means there is often not enough business in one weapons program for two suppliers to profitably divide.

The Tomahawks are now built at plants operated by General Dynamics Convair in San Diego and by McDonnell Douglas in Titusville, Fla. The two companies have roughly divided the Tomahawk procurements since the early 1980s.

General Dynamics Convair employs about 2,000 workers on the Tomahawk program, while McDonnell Douglas employs about 1,300 in St. Louis and Titusville. If McDonnell Douglas were to become the sole supplier after 1994, the 2,000 Convair workers in San Diego could be directly affected.

Last May, General Dynamics Convair announced that it was selling the Tomahawk and five other missile programs to Hughes Aircraft for $450 million.

Officials at General Dynamics and Hughes said Monday that the Navy’s announcement will not affect the acquisition.