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More Data Sought From General Dynamics

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Reuters

General Dynamics Corp. said it has received a request from the Justice Department for more information about its $2.1-billion bid to acquire Newport News Shipbuilding Inc. The request comes amid a tug of war between General Dynamics and Northrop Grumman Corp., which has submitted a rival takeover bid for Newport News.

Northrop and its supporters on Capitol Hill have raised antitrust concerns about the General Dynamics proposal, arguing that it would create a monopoly in nuclear shipbuilding and leave the United States with only one company capable of building nuclear ships and submarines for the Navy.

Given the controversy surrounding the deal, antitrust attorneys in Washington said they had expected the Justice Department to request more information.

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Newport News closed off 18 cents at $63.80, General Dynamics closed up 30 cents at $77.48 and Northrop rose 42 cents to $87.02, all on the Big Board.

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