Science Applications International Corporation

Science Applications International Corporation, Inc.
Company type	Public company
Traded as	Nasdaq: SAIC; S&P 400 component;
Industry	Information technology and engineering
Founded	1969; 55 years ago (original company); 2013; 11 years ago (as Leidos spin-off; formerly SAIC)
Headquarters	Reston, Virginia, United States
Area served	worldwide
Key people	Donna Morea (chairman); Toni Townes-Whitley (CEO);
Revenue	US$7.70 billion (2023)
Operating income	US$501 million (2023)
Net income	US$303 million (2023)
Total assets	US$5.54 billion (2023)
Total equity	US$1.69 billion (2023)
Number of employees	c. 25,000 (2023)
Website	saic.com
	Footnotes / references; Financials as of February 3, 2023; References:

Science Applications International Corporation (SAIC), Inc. is an American technology company headquartered in Reston, Virginia that provides government services and information technology support.^[7]

History

The original SAIC was created in 1969 by J. Robert Beyster. Then on September 27, 2013, it spun off a $4 billion unit which retained its name,^[8] while the parent company changed its name to Leidos. This was due to organizational conflict of interest concerns by their main customer, the US defense department. The business units were separated into elements focused on 1) direct support and technical advice to government organizations (the SAIC portion), and 2) capability development (Leidos). Following the split, Anthony J. Moraco was appointed CEO of SAIC, and John P. Jumper was appointed CEO of Leidos.^[9] The primary motivation for the spinoff was the conflicts of interest provisions in the Federal Acquisition Regulation which prevented the company from bidding on some new contracts because of existing contracts.^[10]^[7]

On May 4, 2015, SAIC acquired Scitor Holdings, Inc. for $790 million to expand their presence in the intelligence industry through classified contracts, cleared personnel, and a robust security infrastructure.^[11] Scitor was previously owned by Leonard Green & Partners, L.P., a private equity firm.^[12]

On September 10, 2018, SAIC announced its acquisition of Engility, a competitor in the U.S. government services contracting sector, for a combined US$2.5 billion with the merger set to take place in January 2019.^[13]

On February 6, 2020, SAIC announced its acquisition of Unisys US Federal, a competitor in the U.S. government services contracting sector, for a combined US$1.2 billion.

In 2021, SAIC acquired Halfaker and Associates, a Virginia-based technology services company founded by veterans’ advocate Frances Dawn Halfaker.^[14]

Operations

SAIC has adopted a matrix operating model in which different service lines collaborate to serve a given contract.^[7]

CityTime payroll scandal

In 2012 SAIC was ordered to pay $500 million to the City of New York for overbilling the city over a period of seven years on the CityTime contract.^[15]^[16] In 2014 Gerard Denault, SAIC's CityTime program manager, and his government contact were sentenced to 20 years in prison for fraud and bribery related to that contract.^[17]

People

Deborah Lee James, president of SAIC's technology and engineering sector, was sworn in as Secretary of the Air Force on December 20, 2013, after being appointed by President Barack Obama.