Dick CheneyAH-64 ApacheBoom!Bob StumpB2 BomberJDAM diagramGBU-15Edward KennedyJDAMC-117 GlobemasterJohn WarnerBoom!Trent LottCBU-87 Cluster BombletPaul Wolfowitz
The Perpetual War Portfolio
Index Value Change Since Inception
of PWP (12/2/02)
The PWP    697.69 + 1.31 + 0.19% + 55.04%
Dow
Nasdaq 2810.06 - 7.12 - 0.25% + 90.03%
S&P 500 1328.70 - 3.62 - 0.27% + 41.91%

Prices last updated 2/15/2011 @ 12:44pm EST

      About the PWP:
The Perpetual War Portfolio is an evenly weighted basket of five stocks poised to succeed in the age of perpetual war. The stocks were selected on the basis of popular product lines, strong political connections and lobbying efforts, and paid-for access to key Congressional decision-makers.

News: The PWP was shown some love in a recent issue of the New York Post.
Company & Description Killer Products Political Connections Lobbying Expenditures & Political Contributions

Boeing

Boeing is probably best known for making commercial jet airplanes, but 40% its annual revenue is generated from the sale of military aircraft, missiles, lasers, guidance systems, and the like. The company's Joint Direct Attack Munition (JDAM) was such a big hit in Afghanistan that it can hardly keep up with orders from the Air Force and Navy. Also, through its Phantom Works division, Boeing has become the industry leader in the development of Unmanned Combat Aerial Vehicles (UCAVs) such as the extremely cool X-45, which will be a lucrative line of business in the age of robotic warfare.

Aircraft:

Missiles:

Bombs (Bomb Guidance Kits):

  • Richard Armitage - State, Deputy Secretary | President and partner, Armitage Assoc. LLP, a Boeing consultant
  • Karl Rove - White House, Senior Advisor to the President | Shareholder

2000 Lobbyist Spending: $7,820,000

2001/2002 Contributions: $1,470,474

Targeted Contributions:

House:

  • John Murtha (D-PA) - Appropriations Committee (Defense Subcommittee, Ranking Member) | $27,349 of contributions in last election cycle (Boeing ranks #4 of Mr. Murtha's contributors)
  • Jim Moran (D-VA) - Appropriations (Defense) | $21,850 (#1)
  • Norm Dicks (D-WA) - Appropriations (Defense) | $14,000 (#1)

Senate:

Northrop Grumman

Northrop Grumman is positioned to profit nicely from the War on Terror. The company is the prime contractor on the B2, and a major subcontractor on both the F-18E/F and the new Joint Strike Fighter. Northrop Grumman makes the unmanned Global Hawk (which got rave reviews in Afghanistan), is building the X-47 UCAV for the Navy, and, like Boeing, has a strong UCAV program. The best thing about owning this company, however, is its strong connections with current officials in the Bush administration (the secretary of the Air Force is a former Northrop Grumman president, for crying out loud), and its well-targeted campaign contributions to key members of both the House and Senate Armed Services Committees.

Aircraft:

  • I. Lewis Libby - White House, Chief to the President | Consultant
  • Dov Zakheim - Defense; Under Secretary for Comptroller | Paid advisory board
  • Douglas J. Feith - Defense; Under Secretary for Policy | President and managing partner of former law firm, Feith & Zell; clients include Northrop Grumman
  • Paul Wolfowitz - Defense; Deputy Secretary | Consultant
  • James Roche - Air Force; Secretary | Former president
  • Nelson F. Gibbs - Air Force; Assistant Secretary for Installations, Environment and Logistics | Former corporate comptroller
  • Sean O'Keefe - Office of Management and Budget; Deputy Director | Paid advisory board

2000 Lobbyist Spending: $6,882,720

2001/2002 Contributions: $1,181,280

Targeted Contributions:

House:

Senate:

Raytheon

Raytheon is best known for its Tomahawk cruise missile, the preferred method for getting any party started. Each missile costs $2M. The company also makes the Paveway series of laser-guided bombs (LGBs), used widely in Afghanistan, and the 5,000-pound GBU-28 "Bunker Buster" that comes in handy when trying to dislodge rogue dictators and terrorist masterminds.

Missiles:

Bombs:

  • Richard Armitage - State, Deputy Secretary | President and partner, Armitage Assoc. LLP, a Raytheon consultant; Advisory board member
  • Sean O'Keefe - Office of Management and Budget; Deputy Director | Strategy advisory board member

2000 Lobbyist Spending: $2,320,000

2001/2002 Contributions: $824,406

Targeted Contributions:

House:

Senate:

Lockheed Martin

As the worlds's largest defense contractor, Lockheed Martin is an important part of any Perpetual War Portfolio. The company has an excellent suite of products to make war, from the new Joint Strike Fighter, to the Hellfire missile, to the widely popular BLU-109 warhead. Lockheed Martin is also the industry leader in lobbying expenditures, campaign contributions, and two of its former executives are in leadership positions at the Air Force and Navy.

Aircraft:

Missiles:

Bombs & Warheads:

  • Lynn Cheney - Wife of the Vice President | Director
  • Stephen Hadley - White House; Deputy National Security Adviser | Partner, Shea and Gardner, law firm representing Lockheed Martin
  • Peter B. Teets - Air Force; Assistant Secretary | Former CEO
  • Gordon England - Navy; Secretary | Former President
  • Everet Beckner - Energy; Administrator for Defense Programs | Former Vice President
  • Otto Reich - State; Assistant Secretary for Latin America | Paid Consultant
  • Norman Mineta - Transportation; Secretary | Former Vice President; Shareholder
  • Michael Jackson - Transportation; Deputy Secretary | Former Vice President; Former COO Lockheed Information and Management Services; Shareholder
  • Larry C. Johnson - Justice; Deputy Attorney General | Partner at Atlanta law firm of King & Spalding, client to Lockheed

2000 Lobbyist Spending: $9,740,000

2001/2002 Contributions: $1,678,098

Targeted Contributions:

House:

Senate:

Alliant Techsystems

I normally only like mega-cap stocks like Boeing and Lockheed Martin, but smallish Minnesota-based Alliant Techsystems is a deserving member of this group. The company is the largest supplier of ammunition to the US military, its largest supplier of cluster bombs, and provides propulsion and structures for many of the missile and aircraft systems listed above.

Bombs & Ammo:

None Found.

2000 Lobbyist Spending: $460,000

2001/2002 Contributions: $135,960

Targeted Contributions:

House:


SOURCES


Feedback: dack@dack.com
Last Modified: January 2, 2003
© 2002-2003 Dack Ragus

Special thanks to Peter Lawrence for the technical support.