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BusinessJuly 14, 1997

Lockheed Martin Corp., the nation's leading defense contractor, keeps getting bigger. The maker of the F-16 Falcon jet fighter and the Trident missile announced Thursday it is buying Northrop Grumman Corp. for about $8 billion, adding the B-2 stealth bomber and the MX missile system to its weapons arsenal...

Lockheed Martin Corp., the nation's leading defense contractor, keeps getting bigger.

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The maker of the F-16 Falcon jet fighter and the Trident missile announced Thursday it is buying Northrop Grumman Corp. for about $8 billion, adding the B-2 stealth bomber and the MX missile system to its weapons arsenal.

Combining what had been five independent defense contractors just three years ago, the deal represents yet another round of shrinkage in an industry struggling with decreased defense spending.

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