Lockheed Martin Plans to Reduce Costs

Lockheed Martin Corp. has targeted about $2.8 billion in costs to be cut over the next three years and is weighing its options in the flagging satellite market as the nation’s largest defense contractor tries to nurse its operations back to financial health. The maker of jet fighters and missile systems said it aims to trim manufacturing and administrative costs, but not cut jobs. Chief Executive Vance Coffman said Lockheed is considering options for its commercial space business, disappointed by the satellite market’s returns. “These businesses have extremely long cycles,� Coffman said. “To have markets that are flagging at a given point in time is something we have to deal with.� Coffman declined to say whether Lockheed would consider abandoning the commercial space market. Shares of Bethesda, Md.-based Lockheed fell $1.09 to close at $35.82 on the NYSE.