General Dynamics CEO Calls Republican Tax Law a ‘Happy Event’

Top brass at defense contractor General Dynamics, owner of New England subsidiaries Bath Iron Works, and Electric Boat, say they are buoyed by the anticipated reduction in their company’s effective tax rate under the sweeping “Tax Cuts and Jobs Act” pushed into law last month by Republican members of Congress and Pres. Donald Trump.

On an earnings call earlier this week, Chief Financial Officer Jason W. Aiken told analysts the company, based in Falls Church, Virg., will likely see its 2017 full year rate of 28.6 percent drop to 19 percent in 2018.

According to a transcript of the call available online, Chief Executive Officer Phebe N. Novakovic characterized the passage of the tax overhaul as “a happy event.” Continue reading