Project America Is On Track At Litton Ingalls Shipbuilding!

Cruise3.jpg (36883 bytes)March 9, 2000 - The last passenger cruise ships built in the United States, SS BRASIL and SS ARGENTINA, were built by Litton Ingalls Shipbuilding in Pascagoula, Mississippi, and delivered to Moore McCormack Lines in 1958. That both of these ships are still in operation more than four decades later is a living testimony to the quality design and construction craftsmanship in our shipyard.

One year ago today, Ingalls set a course for its future by signing a contract with American Classic Voyages Co. (AMCV) worth a total potential value of $1.4 billion, to build two 1,900-passenger cruise ships, with an option for a third.

Litton Ingalls Shipbuilding, along with Litton Avondale Industries in metro New Orleans, Louisiana, is part of Litton Ship Systems (LSS), one of the nation's leading full service systems companies for the design, engineering, construction, and life cycle support of major surface vessels for the U.S. Navy and international navies, and for commercial vessels of all types.

AMCV is the largest owner and operator of U.S.-flag passenger vessels, and its Project America vessels will sail under AMCV's new brand, United States Lines®, one of the most storied names in the history of ocean-going passenger transportation.

Project America is the result of the U.S.-Flag Cruise Ship Pilot Project Statute passed by Congress in 1997, designed to revitalize the U.S.-flag oceangoing cruise ship fleet. It is expected to create more than 5,000 American jobs, help sustain and modernize the U.S. shipbuilding industrial base, increase U.S. tax revenues, boost Hawaii tourism, and expand consumers' leisure travel opportunities. The U.S. Department of Defense and the U.S. Maritime Administration (MARAD) have strongly supported the U.S.-Flag Ship Pilot Project.

When completed, the Project America vessels will sail within the Hawaiian Islands on seven day cruises, with port calls planned for each major island. The design of the state-of-the-art luxury cruise ships, 840 feet long, embrace all the amenities of modern cruise ship luxury. Each vessel will feature a four-deck-high atrium, a 1,060-seat dining room, an 840-seat theater, a 590-seat cabaret lounge, and a uniquely Hawaiian outdoor performance stage. The ship will have 85,850 square feet of open deck space.

As the Project America team celebrates the one-year anniversary since contract signing, a worldwide effort is underway developing the detail design and beginning to build the pieces for first cruise ship in America in 40 years.

Project America is utilizing a "Joint Class" approach, using both Lloyds and ABS (known as "The Class"). This effort is providing the yard with a wealth of technical expertise. Although these societies are usually competitors in this market, they have teamed up to give Project America a firm foundation to ensure compliance with a majority of the regulatory requirements. " We just had our first review with the Coast Guard and it was very apparent that having both of these outstanding class societies on the team, that we are well on the way to providing a very safe ship," reported Kevin Jarvis, Ingalls' Project America Program Manager.

Finnish design firms Delta Marin and Elomatic are well into development of the manufacturing drawings needed to construct the vessel. January 2000 marked delivery to Ingalls of the first detail design drawing; and follow-on deliveries will accelerate at a very rapid rate.

The two Finnish firms are not the only ones working elements of the design. Imeco/ABB Flakt are working the HVAC system design in Sweden. Electrical system analysis and power system design are underway at Logimatic in Denmark while; electronic system integration is being accomplished in Charlottesville, Virginia, by Litton Marine Systems. Kvaerner Masa Marine is responsible for the Hull structure development including both the Hull Class Drawings and Finite Element analysis at both their Annapolis, Maryland, and Vancouver, Canada, offices.

The final piece of the design puzzle is the experience Ocean Development Company, headed up Jon Rusten is bringing to the project. Rusten indicates that, "Several people in the industry are beginning to see a real team approach between the owner and the shipyard. Ingalls recognizes we have a wealth knowledge in cruise ship design and construction and aren't afraid to involve us in their process." Since the program got underway last year, more than 200 Ingalls employees and 400 other ship design and production professionals worldwide have been involved in the project.

If you visit Ingalls today, you will hear the sound of several pile drivers taking on the task of driving hundreds of cement piles to form the foundation for a major upgrade to the Yard. This upgrade includes addition of over 300,000 square feet of covered area that comprise a new panel line, single deck Outfitting Hall and a multi-deck Stacking Hall. Coupled with covered fabrication areas is the shift to a 600 ton full breath build strategy highlighted by the addition of a 600 ton bridge crane that will span 411 feet (two build positions) and extend upward 329 feet.

Ingalls' Operations Vice President, Paul Robinson, noted that "this upgrade will support both our new cruise ship project and our ongoing U.S. Navy work. This enhancement will maintain our position as a world class shipbuilding facility and improve our efficiency for all of our current and new customers."

Kvaerner Masa Yards has played a big role in helping Ingalls through the companies' teaming agreement in developing the yard improvement as well as helping Ingalls with manufacturing techniques necessary to successfully construct the ship.

Paralleling the design and pre-construction efforts, a majority of major procurements are in place.

Litton Industries is bringing its wide range of capabilities to the project. Litton Ship Systems will use Ingalls as the prime builder and leverage the capabilities of Litton Avondale Industries for the fabrication of large structural members, a majority of the ship's pillars and several miscellaneous parts. Litton Marine Systems adds solid electronics integration experience and reliable hardware to the effort. Data Systems Division brings automation experience to the design effort.

The list of other suppliers is familiar to industry, such as Wartsila for the main engines, Alstom for the propulsion power, Kamewa working through Alstom for the pods and bow thrusters and ABB Flackt for the majority of the HVAC system.

Passenger and hotel areas bring familiar names like SeaKing for galleys and pantries, MacGregor for provisions storerooms, tender platform and elevators, Scan Ship for the ship's incinerators and Marioff for fire suppression systems.

The project is bringing in several American companies to help with effort such as Pacific Marine with their time saving clamp in system for windows and balcony doors, Caterpillar for the emergency diesel generator, Litton Marine for fin stabilizers, navigation and bridge equipment and Carrier for the AC compressors.

Companies such as Mavco for entertainment systems, Thorn for security systems, Litton Marine for navigation and Hose McCann for internal communications make up a majority of the ships electronics.

Hopeman Brothers and Jamestown Metal are working diligently with two architectural firms, Yran and Storbraaten and Tillberg Design, to add the finishing touches to cabin and public space specifications. The joint venture between the two joiner companies known as the "The Joiner Team" is well on the way to starting up a cabin factory near the yard to manufacture cabins using the Danish Inexa bulkhead system and wet modules from Chantiers in France.

Jarvis indicated that Ingalls has seen hundreds of vendors, and that price is not the only factor in selecting suppliers. "Experience and quality are major consideration in the yard's selection but several vendors can attest that if you aren't in the price range, better luck next time," he said.

On July 3, 2000, just one day before the American Independence Day, a torch will light over the first steel part for the newest member of United States Lines at Litton Ingalls Shipbuilding. This step will be another milestone in U.S. shipbuilding's reentry to the market and will be in keeping with the Project America team's slogan, "Project America ... We Will Make It Happen!".

Litton Ship Systems, which also includes the new LSS Full Service Center, currently employs more than 16,000 shipbuilding professionals, primarily in Mississippi and Louisiana. LSS has a firm business backlog exceeding $6 billion, in a variety of naval and commercial shipbuilding and fleet support programs. Litton Industries (NYSE: LIT) is also a leading information technology (IT) contractor to the U.S. government and provides specialized IT services to commercial customers and government customers in local/foreign jurisdictions. Litton provides defense and commercial electronics technology, components, and materials for customers worldwide. Headquartered in Woodland Hills, California, the company has more than 40,000 employees.