Summary
Lockheed Martin Corporation (LMT) filed a Form 8-K on February 26, 2013, to announce an amendment to its internal Corporate Policy Statement CPS-704, now being replaced by Cross Function Procedure CRX-011, concerning the acquisition of international consultant services. This filing is made on behalf of its former subsidiary, Lockheed Corporation, fulfilling a 1976 Consent Agreement with the SEC. The agreement requires LMT to provide advance notice to the SEC before any amendment to policies and procedures related to compliance with the Foreign Corrupt Practices Act (FCPA). While the amendment itself is described as routine and pertains to internal procedures, the significance for investors lies in the ongoing adherence to regulatory commitments. This filing demonstrates the company's continued diligence in maintaining compliance with FCPA-related policies, which is crucial for a global defense contractor like Lockheed Martin. Investors can view this as a positive indicator of corporate governance and risk management, ensuring the company operates within legal and ethical frameworks, particularly concerning international business dealings.
Key Highlights
- 1Lockheed Martin is amending its internal policy (CPS-704) regarding the engagement of international consultants.
- 2The updated procedure, CRX-011, replaces the previous policy statement.
- 3This filing is a requirement stemming from a 1976 Consent Agreement with the SEC made by its former subsidiary, Lockheed Corporation.
- 4The agreement mandates advance notification to the SEC for any amendments to policies and procedures related to Foreign Corrupt Practices Act (FCPA) compliance.
- 5The amendment is described as routine and pertains to internal procedures.
- 6The company is providing this update ten days prior to the proposed effectiveness of the amended policy.