HUGHES FORMS SUBSIDIARY TO DEVELOP BUSINESS OPPORTUNITIES IN SAUDI ARABIA
HUGHES FORMS SUBSIDIARY TO DEVELOP
BUSINESS OPPORTUNITIES IN SAUDI ARABIA
LOS ANGELES, Nov. 4 /PRNewswire/ -- A new subsidiary, Hughes Saudi Arabia Ltd., has been formed by Hughes Aircraft Co. to develop in-country business opportunities in the fields of satellite-based communications, software and systems engineering and electro-optical depot operations.
"The Saudi Arabian economy is a growing one," said Bob O'Rourke, Hughes Saudi Arabia's chief executive officer. "Establishment of this important subsidiary is an opportunity for Hughes' entrepreneurial efforts.
"Hughes Saudi Arabia will serve as the umbrella organization within the kingdom and will be the point of contact for the Saudi government and industry with Hughes Aircraft."
Hughes, a unit of GM Hughes Electronics, was selected this year to build a new $837 million command, control and communications system for Saudi Arabia. The program will serve as Hughes' frontispiece for future large scale integrated systems.
"Peace Shield represents an important step in the future strategy of Hughes," said Malcolm R. Currie, chairman and chief executive officer of Hughes. "It builds on and expands a large scale integrated systems capability involving enormous relational data bases and real-time software systems. This will be a major growth area worldwide in the coming years."
Hughes has a backlog of systems integration related contracts exceeding $1 billion. The company is a major world supplier in air defense networks, having built more than 30 systems for 23 nations.
The Peace Shield contract calls for Hughes to develop high technology business in the Saudi Arabian economy. John Crigler has been appointed president of the subsidiary and Daniel Degenhardt is vice president of operations. Both will based in Riyadh, Saudi Arabia.
In addition to the activities by Hughes, its parent company, General Motors, is heavily involved in Saudi Arabia, O'Rourke said.
"By establishing additional presence in the country, both GM and Hughes become more than exporters to the region," he said. "We become corporate citizens' in this important market."
/CONTACT: Richard Dore of Hughes Aircraft, 310-568-6324/ CO: Hughes Aircraft Co. ST: California IN: ARO SU: KJ-CH -- LA009 -- 0716 11/04/91 12:05 EST