BAE shake-up to its reporting

BAE Systems yesterday announced a shake-up of its reporting structure, creating a new division for its Cyber and Intelligence activities, which analysts say could pave the way for radical changes within the company.

The defence giant said it is revising its reporting segments “to align with the group’s strategic direction.”

“There is clearly a strategy”, said Howard Wheeldon, of BGC Partners, although he was wary of predicting a demerger. “The share price has gone down 18 per cent in the past six months. That is a huge concern for them and they have to address it.”