Jerry DeMuro, a longtime executive at General Dynamics, will become the new chief executive of BAE's US subsidiary beginning Feb. 1, the company announced Jan. 7.
Jan. 7, 2014 - By ZACHARY FRYER-BIGGS – Defense News
WASHINGTON — Jerry DeMuro, a longtime executive at General Dynamics (GD), will become the new chief executive of the US subsidiary of Britain’s BAE Systems beginning Feb. 1, the company announced Tuesday.
DeMuro, who had been running GD’s Information Systems and Technology (IS&T) Group before leaving in early 2013 after a rocky 2012, will succeed Linda Hudson, who announced her impending retirement in August.
Hudson, who had run BAE’s US business since 2009, was one of the only women in a senior leadership position at a defense company until the recent elevation of several executives now running top firms.
Her replacement is moving from a division at GD that had a rough start to 2013. The company announced last January that it ran a multibillion-dollar loss in 2012, though much of that figure was derived from an accounting technique that measures theoretical value, and GD’s executives placed much of the blame on poor performance at IS&T.
“IS&T has experienced continued top line pressure, resulting from slow defense spending in their markets and margin compression due to mix shift, and cost performance,” company Chief Financial Officer L. Hugh Redd said during a January earnings call.
DeMuro stepped down from his position at GD less than a month later.
IS&T had seen slightly better results in 2013, with a 1.8 percent increase in revenue through the third quarter, the most recent financial results announced by the company.
Before joining GD, DeMuro had been an acquisition official at the US Defense Department.
“Jerry is a proven global business leader who possesses the relationships and stature to ensure our customers’ challenges are understood and met,” said Ian King, CEO of BAE Systems’ UK parent. “His experience successfully running complex businesses known for developing cutting-edge technology for diverse international, commercial and government customers will greatly benefit BAE Systems Inc., as it evolves its strategic focus toward expanding international and commercial business opportunities.”
The company said that Hudson would remain an adviser to the company until the end of May.