Newport Seeks More Details on Northrop Bid

Northrop Grumman Corp. has not provided enough information about its $2.1-billion bid to buy Newport News Shipbuilding Inc. for the company’s board to consider the proposal, Newport News’ top executive said.

The Newport News, Va.-based builder of nuclear submarines and aircraft carriers had already agreed to an offer from General Dynamics Corp.

“Our plan is to proceed with the deal in hand unless we have a superior offer before we close the deal,” said William Fricks, chief executive of Newport News.

A Northrop Grumman spokesman said details of the Los Angeles-based defense giant’s proposal will be filed with the Securities and Exchange Commission and forwarded to Newport News officials early next week.

Northrop’s bid comes in at the same price but is 75% stock and 25% cash, whereas General Dynamics’ proposal is all cash. Northrop has not provided key details on the exchange rate for the stock portion of its bid.

Shares of Newport News closed up 31 cents at $64.35, Northrop fell 54 cents to $89.95 and Falls Church, Va.-based General Dynamics closed up 9 cents at $81.97, all on the New York Stock Exchange.