By Marina Malenic
L-3 Communications [LLL] said yesterday that one of its business units has been suspended from receiving new Air Force contracts in the wake of a probe over alleged improper use of an email system by the company’s employees.
The defense contractor said in a statement that the decision regarding its Special Support Programs Division was received from the Office of the Deputy General Counsel of the U.S. Air Force on June 4. The service is also studying whether a suspension of L-3 Communications Integrated Systems LP, the parent of the already suspended division, is also in order.
L-3 provides explosive-detection devices and aviation products to the Air Force.
The company said it is cooperating with the Air Force investigation.
“L-3 cannot assess the outcome or impact, including the financial impact on L-3, of these proceedings at this time,” states a company filing with the Securities and Exchange Commission.
Air Force and L-3 officials did not reply to requests for additional comment by press time.