Allied Defense Group Inc. / ADG
About Allied Defense Group Inc.
8000 Towers Crescent Dr., Suite 260, Vienna, Va. 22182
www.allieddefensegroup.com
| 703-847-5268
| Founded: 1961
Industry: Aerospace/Defense | Category: Top 100 Companies
Allied Defense Group had a tough year marked by financial restatements and changes in top management. The company began 2005 by announcing several multimillion-dollar contracts. But in March, the company said it had to restate earnings for 2002, 2003 and the first nine months of 2004 because its accounting for foreign currency exchange contracts did not comply with new regulations.
Then came the resignation of its chief executive and president, retired Maj. Gen. John G. Meyer Jr. He was replaced by retired Maj. Gen. John J. Marcello, who had been chief operating officer and managing director of Mecar SA, the company's largest operating unit, in Belgium. In August, Allied announced it would have to restate its financials again, from 2002 to the first quarter of 2005. During the year, the company also installed a new chief financial officer and auditor.
Its stock, which hit a high of $25.60 in April 2005, has been hovering at less than $23 per share in recent months. Earlier this year, Allied said it expected an operating loss of about $2.75 to $3 per diluted share for 2005. It has blamed the loss on unforeseen events at Mecar, including a delay in closing two major contracts worth $35 million, and problems in the quality of materials received from external suppliers. The company said it expects to recover revenue from these sources within the first six months of 2006.
In November, the company acquired Global Microwave Systems of California, an engineering and development company that makes miniature FM and digital transmitters, receivers, and surveillance and security equipment.
In June, the company's Mecar USA, a subsidiary in Marshall, Tex., became operational.
Chairman: J.H. Binford Peay III
Chairman: J.H. Binford Peay III
2007 Financial Data
Total employees: 698 | Local employees: 10Did You Know
Allied Defense Group develops and manufactures medium-caliber ammunition, electronic and microwave security systems, weather and navigation software, and battlefield effects simulators and other military training devices.
