Litton to Buy SAIC’s Military Computer Unit

Litton Industries Inc. said Thursday that it agreed to buy the portable computer unit of closely held Science Applications International Corp.

Terms weren’t disclosed.

The unit, SAI Technology, is a leading maker of portable computers for the military and is expected to have sales of about $90 million in the fiscal year ending Feb. 1, Litton said.

“The purchase will give us added breadth and depth in our product line,” said Litton spokeswoman Kathleen Wailes. Litton already makes hand-held computers for combat use.

Portable military computers have many of the same capabilities of laptop computers used by civilians. They can also be used to tap into the global positioning system to determine a soldier’s whereabouts in a jungle or on a battlefield.

Woodland Hills-based Litton said it expects the sale to close next month.

Litton shares gained $1.50 to close at $46.375 on the New York Stock Exchange.

San Diego-based SAIC is the nation’s largest employee-owned research firm, with 22,000 workers, and about 83% of its revenue comes from federal government contracts.

The company has been on a buying spree lately, snapping up nine companies since 1995. It had also sought to buy Aerospace Corp. of El Segundo for about $200 million, but the proposed merger was rejected by the Air Force.