Aerospace giants Raytheon, United Technologies announce merger

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Aerospace giants Raytheon, United Technologies announce merger
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Aerospace giants Raytheon and United Technologies announce merger that would create defense a behemoth second only to Boeing

Raytheon Co., one of the world's largest defense contractors, and the aerospace giant United Technologies Corp. announced an all-stock merger on Sunday that would create the second-biggest defense and aerospace company in the United States, behind only Boeing Co.

United Technologies Chief Executive Greg Hayes will be chief executive of the combined company, and Raytheon Chairman Thomas Kennedy will be chairman, they said. Analysts said the deal makes sense because the two companies' core businesses don't overlap greatly, meaning they're not likely to run into regulatory roadblocks.

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