Neel Mehta
A revised contract between Northrop Grumman and the state of Virginia will extend the deal for three years, according to the AP.
“We decided early on that the cost of potentially terminating the Northrop Grumman agreement were just not acceptable,” Governor of Virgina Bob McDonnell said.
Northrop Grumman’s spokesman, J. Michael Landrum, referred to the deal as “an important step forward” for the partnership between the firm and the state.
Shortly after his ’09 election victory, McDonnell appointed Jim Duffey to the post of technology secretary, primarily to oversee the restructuring of the agreement between NGC and the Old Dominion.
The deal pays out just under a quarter of a billion dollars every year to Northrop Grumman.
