Lockheed Martin Corp (LMT)

[fuzzy]

7:10 am Lockheed Martin beats by $0.09, beats on revs; guides FY16; will to separate/combine Information Systems & Global Solutions segment with LDOS (LMT) :
•Reports Q4 (Dec) earnings of $3.01 per share, $0.09 better than the Capital IQ Consensus of $2.92; revenues rose 3.1% year/year to $12.92 bln vs the $12.39 bln Capital IQ Consensus.
•Co issues downside guidance for FY16, sees EPS of $11.45-11.75 vs. $12.25 Capital IQ Consensus Estimate; sees FY16 revs of $49.5-51.0 vs. $49.66 bln Capital IQ Consensus Estimate.
•Co separately announced an agreement to separate and combine its realigned Information Systems & Global Solutions (IS&GS) business segment with Leidos Holdings (LDOS) in a tax-efficient Reverse Morris Trust transaction, unlocking $5 billion in estimated enterprise value for Lockheed Martin stockholders.•Subject to regulatory approvals, the $5 billion transaction includes a $1.8 billion one-time special cash payment to Lockheed Martin, which the Corporation intends to use to repay debt, pay dividends, and/or repurchase its stock.
•LMT stockholders will receive approximately 50.5% (approximately 77 million shares) of the outstanding equity of Leidos on a fully diluted basis with an estimated value of $3.2 billion. Leidos' existing shareholders will continue to hold the remaining approximately 49.5% of the outstanding shares of Leidos.