EARNINGS: "Lockheed's Net Rises as Sales Fall," by August Cole, Wall Street Journal, 22 October 2008.

Had to update a Lockheed reference in the second pass: talking about its decision to buy Pacific Architects and Engineers (basically, State's KBR), I posited that within a generation's time the division that houses PA&E (Information Systems & Global Services, owned by Linda Gooden) would constitute the primary profit engine of the company.

This article notes that already IS&GS has already become—as of 3Q 2008, the biggest revenue source at LMCO.

Here are the numbers:

IS&GS = $2.95 billion

Aeronautics = $2.92 billion

Electronic Systems = $2.80 billion

Space Systems = $1.91

IS & GS doesn't build any platforms in a conventional sense, just IT platforms and services and systems integration, and already it's the biggest source of revenue of the biggest defense corporation in the world.

Sign of the times and and the world.

August Cole is a great reporter with a nose and a mind for this sort of stuff. He's also one to watch.