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byline: Richard Foster

Lego to build $1B factory in Chesterfield

It’s highly unlikely that it will be built from brightly colored plastic bricks, but the Lego Group will be bringing a $1 billion toy manufacturing plant to Chesterfield County’s Meadowville Technology Park, creating more than 1,760 jobs, the company and Virginia Gov. Glenn Youngkin announced Wednesday during a press conference at the Science Museum of Virginia.

“The Lego Group’s decision to establish its U.S. manufacturing plant in Virginia shines a global spotlight on the advantages that make the commonwealth the best business location in the nation, and we look forward to a long and successful partnership with this iconic company,” Youngkin said. “This transformational project will … bolster Virginia’s manufacturing industry, which continues its renaissance with major investments by high-caliber corporate partners like the Lego Group. Thank you to the Senate and House leadership in partnering with our team in this process.”

Billund, Denmark-based Lego Group plans to invest the $1 billion over a 10-year period, with groundbreaking on the 1.7 million-square-foot facility starting later this year on the 340-acre site at the technology park. The international toy company plans to begin operations from a temporary building in early 2024, creating 500 jobs. The permanent factory will begin production in the second half of 2025.

Lego will begin hiring workers for the moulding, processing and packing plant in late 2022 or early 2023, with plans to reach its full workforce of more than 1,760 workers within 10 years. Lego CEO Niels B. Christiansen said he thinks the average annual salary for employees at the facility will be “north of $60,000.” As part of the project, the company plans to build an onsite solar park that it says will offset 100% of the factory’s power needs.

Christiansen said, “We were impressed with all that Virginia has to offer, from access to a skilled workforce, support for high-quality manufacturers and great transport links. We appreciate support for our ambition to build a carbon-neutral run facility and construct a solar park and are looking forward to building a great team with support from the Virginia Talent Accelerator Program.”

From left: Lone Dencker Wisborg, ambassador of Denmark to the U.S., Lego CEO Niels Christiansen, Gov. Glenn Youngkin and Virginia first lady Suzanne Youngkin

Chesterfield Economic Development first received an email from a consultant working with Lego in October 2021.

“It’s been very interesting in that as we’ve been working to get it ready to go and everything like that, it’s become clear from the team, it’s taken us seven months to get here, but the first day they met us on the site, they picked the site. … They didn’t tell us that ’till about a month ago,” Chesterfield Economic Development Director Garrett Hart said.

The Chesterfield factory will be the seventh factory worldwide for Lego, which reportedly produces as many as 36 billion Lego bricks annually, and its only U.S. manufacturing facility. A factory in Monterrey, Mexico, is currently the primary supply source for the company’s U.S. market and will be expanded and upgraded to meet growing demand for its products, the company said in a news release. Lego is also expanding its manufacturing in Europe and China, and it announced plans in late 2021 to build a factory in Vietnam to support growth in the Asian market.

Lego factory chesterfield county
Rendering of Lego factory planned for Chesterfield County’s Meadowville Technology Park

The Virginia Economic Development Partnership (VEDP) worked with Chesterfield County, the Greater Richmond Partnership and the General Assembly’s Major Employment and Investment (MEI) Project Approval Commission to secure the project. Lego will be eligible to receive an MEI custom performance grant of $56 million based on an investment of more than $1 billion and the creation of jobs estimated to be in excess of 1,760, as well as site development improvements estimated at up to $19 million, subject to approval by the Virginia General Assembly.

Support for Lego’s job creation efforts will be provided through the Virginia Talent Accelerator Program, a workforce initiative program created and administered by VEDP in collaboration with the Virginia Community College System and other higher education partners.

Founded in 1932 by Danish carpenter Ole Kirk Christiansen, Lego is celebrating its 90th birthday. The company, which began making its iconic interlocking plastic bricks in 1947, reported 2021 revenue of $4.38 billion and employs about 24,500 workers worldwide, including around 2,600 employees in the United States, where it has been operating since the 1960s. Its U.S. headquarters is in Enfield, Connecticut.

Lego operates 168 retail stores around the world, about 100 of which are in the United States, and has built eight Legoland amusement parks, which are owned by the Blackstone Group’s Merlin Entertainments subsidiary.

Virginia Business wins national awards for writing, design

Virginia Business won two national journalism awards Saturday during The Alliance of Area Business Publishers’ (AABP) 2022 Editorial Excellence Awards ceremony, held in Columbus, Ohio.

Former Virginia Business Deputy Editor Rich Griset placed silver in the Best Body of Work, Single Writer category for feature articles including his May 2021 cover story profile of MicroStrategy Inc. CEO and bitcoin whale Michael Saylor, who declined to be interviewed for Griset’s story, and his December 2021 profile of Bruce Thompson, the Virginia Business Person of the Year.

“Adding a creative spark to the dogged reporting seems to be Rich Griset’s hallmark,” the judges said in their remarks for Griset’s silver award. “His profile of a rising crypto chief also shows an ability to ferret out stories and other details after the executive refused to cooperate. A profile of an influential hotel developer showed a deft touch for getting the most of a cooperative subject. His writing ability was on full display in a piece on the renovation of aging shopping malls, including one that was used to shoot a pivotal scene in ‘Wonder Woman 1984.’”

Virginia Business also received a bronze award for Best Overall Design — Magazine for issues produced during 2021. The judges singled out Virginia Business Art Director Joel Smith’s use of “humorous illustrations, consistent portraits and real people [to] provide a wonderful representation of real business in Virginia. The photography and artwork are consistent and relevant to the content. The department pages are simple and professional, the features provide a pop of visual fun, and the overall page designs exemplify a great sense of hierarchy.”

The awards were judged by faculty members from the University of Missouri School of Journalism. The awards ceremony was held as part of AABP’s three-day annual conference.

Founded in 1979, AABP is a Norwalk, Connecticut-based nonprofit organization representing about 65 regional and local business publications in the United States, Canada and Australia, with a combined circulation of more than 1.8 million business professionals.

Interesting times

History doesn’t repeat itself, but it often rhymes, according to an apt but apocryphal quote frequently misattributed to Mark Twain.

We’re certainly seeing that dynamic writ large in the 2020s, though events don’t seem content with reviving just one era.

A deadly pandemic has taken millions of lives across the globe.

Inflation and mortgage rates are surging to levels not seen in decades. Fuel prices have hit record highs.

And war has broken out in Europe, driven by a nationalistic despot whose invading forces are heedless of civilian deaths and war crimes. Wary of being pulled into active conflict but not wanting to see a democratic ally fall, the U.S. president has signed a lend-lease act to provide military matériel.

While all these challenges — plus those more specific to the present moment, such as climate change, global supply chain disruptions and the Great Resignation — fall firmly within the realm of public policy and political leadership, the business community too has its role to play in influencing and addressing world events.

Amid the COVID-19 pandemic, we saw Big Pharma and health care systems develop vaccines, medications and treatment protocols in real time. Companies and business leaders not directly in the fight responded in various ways, including pivoting manufacturing operations to produce in-demand personal protection equipment, and redirecting philanthropic efforts. Many businesses implemented measures beyond those required by government, such as expanding remote work and leave policies. Even the smallest actions support the overall aim of slowing the spread of a disease that has killed more than 1 million Americans as of May and continues to take more than 300 U.S. lives per day, regardless of our desire for a return to a pre-pandemic normalcy.

Similarly, following the invasion of Ukraine in late February, about 1,000 major companies worldwide voluntarily moved to sever financial ties with Russia. Far more businesses than that are providing financial aid and other support to the beleaguered Ukrainians.

Even though recent U.S. sanctions against various Russian institutions and individuals are the most sweeping actions levied against a major foreign power since World War II, many types of U.S. business transactions with Russia remain legal.

Nevertheless, here in Virginia, several large companies have withdrawn assets and investments from Russia, according to a list maintained by the Yale School of Management. These include the commonwealth’s largest private company, McLean-based Mars Inc., as well as Fortune 500 companies like Ashburn-based DXC Technology Co. Mars and DXC also have provided significant assistance to Ukrainian aid efforts.

In this issue’s annual Generous Virginians feature package (see Page 20), Virginia Business Deputy Editor Kate Andrews covers the past year’s most laudatory acts of mega-altruism by Virginia benefactors to institutions such as universities, health care systems and museums. And we also have a story from Virginia Business Associate Editor Robyn Sidersky, who spoke with Virginia-based organizations that have been contributing to Ukrainian aid efforts. These range from fundraisers at local breweries to corporate shipments of goods  to the efforts of executives such as Stanislas Vilgrain, chairman of Cuisine Solutions in Sterling, who personally traveled to the war-torn nation to deliver truckloads of food at his own risk.

With so many internationally connected companies in the commonwealth, efforts such as these are a good reminder of the ability our corporate citizens have to be global forces for more than profit.

To close with another quote oft attributed to Samuel Clemens, “There are people who accomplish things and people who claim to have accomplished things. The first group is less crowded.”  

Parsons to acquire Xator for $400M

Parsons Corp., a Centreville-based federal contractor specializing in technology-focused defense, intelligence, security and infrastructure engineering, has entered into a definitive agreement to acquire Reston-based Xator Corp. for $400 million, the company announced Monday.

Founded in 1944, Parsons is a publicly traded Fortune 1000 corporation with more than 16,000 employees working in 24 nations. It posted $3.6 billion in 2021 revenue. Xator, a privately held federal contractor with more than 900 workers, was co-founded in 2005 by Jerry Pfeiffer and David Scott, who has served as the company’s CEO since 2011. The company is expected to generate approximately $300 million in revenue in 2023.

The acquisition, which is expected to close by June 30, will add to Parsons’ client base the U.S. Department of State, which is expected to be a growth area. Xator will also expand Parsons’ business with the U.S. Special Operations Command, the intelligence community, federal civilian agencies customers and global critical infrastructure markets, according to a news release.

“The addition of Xator is a natural extension of our growth strategy, adding important solutions and technologies that advance global security and protect critical infrastructure during a time of increasing and evolving threats,” said Parsons Chair, President and CEO Carey Smith in a statement. “This acquisition strengthens our position across our two complementary markets and continues our strategy of buying accretive, mission-focused companies aligned with global macroeconomic trends. I look forward to welcoming Xator’s talented team of more than 900 employees to the Parsons family as we collectively create the future.”

The $400 million transaction includes the net present value of a $57 million transaction-related tax benefit, or approximately 10.7 times Xator’s estimated 2023 adjusted EBITDA. Parsons was advised on the deal by Goldman Sachs & Co. LLC and Latham & Watkins LLP. Xator was advised by Rees Broome PC.

Xator addresses critical infrastructure protection, national security and mission training requirements for U.S. government agencies worldwide. It specializes in C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance), national security and intelligence solutions.

“Xator was built on a commitment to the customer’s mission and support for the professional development of our employees. Today we are excited to announce the combination with Parsons — a company that shares our passion for supporting our customers’ mission and is recognized consistently as a top employer,” Scott, Xator’s CEO, said. “The joining of Parsons’ impressive capabilities in infrastructure and national security solutions, along with Xator’s capabilities in infrastructure protection, engineering, C4ISR and national security will be a competitive force in the global infrastructure and national security markets.”

 

 

34 Va. companies make 2022 Fortune 1000 list

Thirty-four Virginia-based companies made Fortune magazine’s 68th annual Fortune 1000 list, which was released Monday. The list ranks the 1,000 largest United States corporations by total revenue, including public companies and private companies for which revenue information is available.

Twenty-one companies made the elite Fortune 500 list, including Henrico County-based convenience retail holding company Arko Corp., which debuted this year on the Fortune 500 at No. 498. Arko is the parent company of Henrico-based GPM Investments LLC. One of the nation’s largest convenience store chains, GPM’s brands include Fas Mart and E-Z Mart. Earlier this year, Arko completed its 21st acquisition since 2013. Arko has business across more than 3,000 locations, with 1,396 company-operated stores as well as 1,625 dealer sites for which it supplies fuel.

“We’re incredibly proud to be named to this year’s Fortune 500 list, an important confirmation that our growth strategy, disciplined investment approach, and our people continue to deliver excellent results,” said Arko Chairman, President and CEO Arie Kotler in a statement. “This is a significant achievement since joining NASDAQ less than two years ago, and a testament to our continued success. We will continue to drive growth and execute our strategy to deliver long-term value for our stakeholders.”

Last year, Virginia had 39 companies on the Fortune 1000, including 22 in the top 500. 

Notably, following its late 2021 move to Atlanta, No. 332-ranked railroad corporation Norfolk Southern is no longer a Virginia-based company. Similarly, Chantilly-based publicly traded defense contractor Perspecta Inc,, which ranked No. 575 last year, was acquired by the privately held federal contractor Peraton Inc. in May 2021 and is no longer on the list. Federal contractor CACI International Inc., which debuted on the 2021 Fortune 500 at No. 473, was ranked at No. 522 this year, falling 49 places. 

The only companies that moved up on the Fortune 500 this year were Goochland County-based Performance Food Group, a food products distributor that moved up two slots to No. 112, and Henrico County insurance company Markel, which moved up 22 places to No. 289. Several companies tumbled significantly lower down the list, including Henrico-based insurer Genworth Financial, which fell 86 places to No. 434, and Richmond utility Dominion Energy, which slid 64 slots to No. 257. McLean-based global hotelier Hilton Worldwide Holdings Inc., which fell off the Fortune 500 last year as it endured major revenue losses during the pandemic, rose from No. 598 last year to No. 536 on this year’s list.

Nine of this year’s 21 Virginia Fortune 500 companies are based in Fairfax County.

These are the Virginia-based companies that made the 2022 Fortune 1000 list, in order of ranking:

56) Federal Home Loan Mortgage Corp.  (“Freddie Mac”), McLean

94) General Dynamics Corp., Falls Church 

101) Northrop Grumman Corp., Falls Church

108) Capital One Financial Corp., McLean

112) Performance Food Group Co., Goochland County

137) Dollar Tree Stores Inc., Chesapeake

165) Altria Group Inc., Henrico County

174) CarMax, Goochland County

207) DXC Technology, Ashburn

257) Dominion Energy Inc., Richmond

274) Leidos Holdings Inc., Reston

289) Markel Corp., Glen Allen

333) AES Corp., Arlington

361) Owens & Minor Inc., Mechanicsville

370) Huntington Ingalls Industries, Newport News

389) NVR Inc., Reston

434) Genworth Financial, Henrico County

436) Booz Allen Hamilton Holding Corp., McLean

456) Science Applications International Corp., Reston

478) Beacon Roofing Supply, Herndon

498) Arko Corp., Henrico County

522) CACI International Inc., Reston

538) Hilton Worldwide Holdings Inc., McLean

663) ASGN Inc., Glen Allen

667) Maximus Inc., Reston

675) Brink’s Co., Henrico County

733) Parsons Corp., Centreville

801) Gannett, McLean

804) Graham Holdings Co., Arlington

832) Tegna Inc., McLean

915) ManTech International Corp., Herndon

947) NewMarket Corp., Richmond

960) AvalonBay Communities Inc., Arlington

995) BWX Technologies Inc., Lynchburg

CORRECTION: An earlier version of this story incorrectly stated that 35 Virginia-based companies made the 2022 Fortune 1000 list; only 34 companies from Virginia made the list this year. 

Something phishy

About seven or eight years ago, I was sitting at my desk one morning when I received an urgent text from my then-boss.

She was holding a meeting, according to the text, and needed me to purchase $1,000 in electronic gift cards as a giveaway to the attendees as soon as possible.

Needless to say, this text didn’t pass the sniff test. For one thing, it didn’t sound at all like something my boss would request. For another, I wasn’t aware she had a meeting that morning. Then I checked the phone number it came from — it wasn’t hers, though the text had spoofed her name.

Soon thereafter, I started hearing from co-workers who received the same spurious text claiming to come from our organization’s executive director. To our credit, none of us were fooled, but not long after, I heard about another organization that did get scammed by this con.

Whether at work or in our personal lives, we are constantly barraged with relentless attempts to dupe us into handing over credit card or bank account numbers or sensitive login information. In the worst cases, bad actors can hold critical systems or data captive for increasingly large ransoms. Last year, the Southeastern U.S. saw the real impact of these cyber assaults in the form of long gas lines, panic buying and fuel shortages following the May 2021 ransomware attack on the Colonial Pipeline.

Criminal syndicates and hostile nation-states sponsor sophisticated cybercrime operations encompassing everything from ransomware hacker networks to scam telemarketing centers, corporate espionage and cyberattacks aimed at critical systems and infrastructure. Many of these attacks originate from China and Russia, as well as Turkey and even Brazil, often with government support.

In this issue’s cover story, “Cyberwar zone,” freelance writer Emily Freehling reports that the average ransom payment to cybercrooks has rocketed to a staggering $541,010. Plus, President Joe Biden and federal officials are warning businesses that Russian President Vladimir Putin is likely to retaliate against U.S. sanctions on Russia and support for Ukraine by launching cyberattacks on U.S. interests.

If you’ve been whistling past the graveyard, thinking that your business will escape the notice of the bad guys, maybe it’s time to take out a life insurance policy in the form of a cybersecurity review. Freehling’s article offers some expert suggestions for where to begin with hardening your company’s security measures.

Also in the May issue, we have an exclusive interview with 92-year-old media mogul, televangelist and Regent University founder Pat Robertson about his legacy and Regent’s impact and influence in producing hundreds of conservative leaders across politics, government, law and academia.

On Page 28, Virginia Business Associate Editor Robyn Sidersky talks with new Virginia Economic Development Partnership President and CEO Jason El Koubi about his role in landing some of Virginia’s largest economic development deals, as well as his plans for expanding on the work of his lauded predecessor, Stephen Moret.

Additionally, freelancer Jenny Kincaid Boone looks at why the hotel industry is eyeing a big tourism summer, despite inflation and high gas prices. M.J. McAteer writes about why attorneys at Virginia’s biggest law firms are busier than ever, and Carl Fincke reports on how Virginia Beach is seeking to grow its economy beyond tourism and military spending.

But before you read on, I just want to offer a friendly alert that our editorial staff and freelancers will be contacting many of your businesses over the next month or two to collect information about your top executives for our annual Virginia 500 issue, which compiles the state’s most powerful leaders in business, government and education.

We won’t be phishing — I promise. 

Rising to the challenges

Last summer, as I was eating dinner at a Norfolk bar with a group of my Lead Virginia classmates from far Southwest Virginia, one of them asked what decision makers in Richmond thought about their region.

“Most of them don’t think about it at all,” I replied bluntly and not a little sadly.

During my mid-1990s tenure as a reporter for The Roanoke Times, I frequently heard people there tell me that they felt forgotten by Richmond. That was Roanokers saying that — imagine how Virginians two to three hours southwest from there in Bristol, Abingdon or Wise feel.

While the commonwealth’s populous and prosperous “Golden Crescent” (the corridor stretching from Northern Virginia down to Richmond and Hampton Roads) gets the lion’s share of economic development and transportation funding, the more rural areas of the state struggle with higher poverty, lower life expectancy and smaller and older populations.

There are a host of smart, passionate and capable locals from business, government, education, nonprofits and economic development who are working to better Southwest’s economy and quality of life. In this issue, freelance writer Beth JoJack talks with some of them and reports on why many Southwest Virginians are pinning their hopes for progress on the Youngkin administration and the region’s newfound political clout after the surprise Republican wave of victories in the November 2021 elections. (See “Rising in the Southwest.”)

The gulf between the urban and suburban haves and the rural have-nots are hardly the only challenges Virginia faces, of course — especially in this uncertain moment of escalating inflation, continuing labor and supply chain obstacles and the drumbeats of war from Russia.

As anyone who has perused Zillow over the past couple years knows, the housing market is out of control. While it remains an excellent time to sell one’s home, the bidding wars and low available housing stock have led to eye-popping home sale prices. The national median listing price for new homes in February was $392,000 — a jump of 27% in just two years. That places the American Dream of home ownership increasingly out of reach for many millennials and Gen Zers.

And for those who rent, the outlook is no better. Rental prices skyrocketed as much as 20% to 28% in some major U.S. cities during the past year. In Hampton Roads, rental prices climbed 11.2% during 2021 and are anticipated to rise as much as 12% this year, according to real estate company Axiometrics Inc.

Combined with recent record gas prices, this increasing lack of workforce-priced housing creates a quandary for workers who often face long commutes to earn decent wages in places they can’t afford to live, particularly in the affluent suburbs of Northern Virginia.

In this issue’s cover story (see “Hitting a brick wall”), freelancer Emily Freehling tackles affordable housing, writing about why economic development professionals and corporations such as Amazon.com Inc. are coming to see this as a business problem that will require financial investment and conscious, deliberate leadership to change. It may also require policy changes, such as increased incentives for multifamily developers to limit rents and build affordable housing for workers.

Paraphrasing Virginia Realtors economist Lisa Sturtevant from the story, state and local governments could find that not fixing the problem will be costlier to the commonwealth in terms of lost economic development opportunities.  

The bigger picture

Welcome to the 10th edition of The Big Book.

Virginia Business Publisher Bernie Niemeier had the inspiration for this annual issue more than a decade ago when he was retrieving his mail and noted the heft of Vanity Fair’s jam-packed annual Hollywood issue.

“Why can’t we have a big book like this?” he thought to himself.

Why not, indeed?

In March 2013, Virginia Business debuted the first annual installment of The Big Book (“book” being publishing lingo for a magazine issue). It replaced the List of Leaders, a special annual issue that, since the 1990s, had included a series of charts tracking 18 industries.

In the intervening years, The Big Book has evolved into both an economic development yearbook of the past 12 months’ biggest deals across the commonwealth, as well as an indispensable annual business reference tool, providing information about the major corporate players in Virginia.

Whether you’re a company looking to locate in Virginia or you’re an established presence here, it’s an excellent annual deskside resource. Need to know the top law, accounting or commercial real estate firms in Virginia? The Big Book’s got you covered. What are the biggest public and private companies? We’ve got that too. Need to get the lay of the land and know who the commonwealth’s top movers and shakers are? Consult our list of the 50 most influential Virginians.

But The Big Book consists of more than just lists and reference material.

In this year’s issue, you’ll also find a timely feature article from freelance writer Greg Weatherford about how the shortage of available, ready-to-build industrial sites is seriously hampering Virginia’s ability to compete with other states for many of the biggest economic development prizes.

Additionally, longtime Virginia Business writer Gary Robertson brings you an up-to-date report about how Virginia Military Institute, the nation’s oldest state-run military college, is meeting the challenges of one of the most pivotal times in its history, following a state-ordered investigation that found evidence of a “racist and sexist culture” at VMI.

And Virginia Business Associate Editor Robyn Sidersky writes in this issue about how the commercial real estate market for office space may be forever changed by the pandemic.

As you read through this year’s Big Book, themes will emerge. You’ll notice references to the labor crunches of the Great Resignation, the transformative nature of remote work, and the uncertainty that still plagues a business landscape that is grappling with 40-year inflationary highs and ongoing supply chain problems, as well as the potential for more COVID variants.

But what also comes across is the resilience of Virginia’s economy, buoyed by the strength of its many Fortune 1000 companies and the massive federal spending that fuels government contractors in Northern Virginia and Hampton Roads.

There’s also Amazon.com Inc.’s HQ2 East Coast headquarters underway in Arlington and four new casinos under development in Bristol, Danville, Norfolk and Portsmouth. Meanwhile, the commonwealth’s higher education institutions are prepping for tomorrow’s workforce and emerging technologies, led by the Virginia Tech Talent Investment Program.

These are some of the many reasons that Virginia in 2021 became the first state to be named CNBC’s Top State for Business twice in a row.

And if it happens for a third time, you’ll read about it in next year’s Big Book. 

HII names new president and CEO

Christopher D. Kastner will become president and CEO of Newport News-based Huntington Ingalls Industries, the nation’s largest military shipbuilder, on March 1. Mike Petters, who has served as the Fortune 500 company’s president and CEO since Northrop Grumman Corp. spun off its shipbuilding division in 2011, will become executive vice chairman of the board for a transition period, the company announced Friday.

“We’ve spent the past 11 years building a company for the 21st century,” said Petters, who will remain with HII through 2022. “HII is now that company, with a leadership team and portfolio to serve our nation’s critical national security needs. I am proud of the work we have done together and excited to watch the company fulfill its promise. I have complete confidence in Chris and the senior leadership team in this next chapter.”

Kastner became HII’s chief operating officer in February 2021 and previously served as the company’s chief financial officer and executive vice president since 2016. Prior to becoming HII’s CFO, Kastner was vice president and CFO for HII’s Pascagoula, Mississippi-based Ingalls Shipbuilding division. He was also vice president, business management, and CFO for Northrop Grumman Shipbuilding-Gulf Coast, and vice president, contracts and risk management, for Northrop Grumman Ship Systems.

Kastner holds an MBA from Pepperdine University and earned his bachelor’s degree in political science from the University of California at Santa Barbara. He sits on the board of trustees for Eastern Virginia Medical School and serves as treasurer on the board of directors for WHRO Public Media.

His appointment to HII’s top position was part of the company’s multiyear succession plan, HII’s board of directors said in a statement.

“Given HII’s support for national security, the company takes business continuity extremely seriously,” said Kirk Donald, chairman of HII’s board. “We are grateful to Mike for his immeasurable contribution to the nation, and for what is now a supremely responsible leadership handoff. The entire board joins me in congratulating Chris as he takes the helm of HII. The company’s workforce and customers can be confident that HII’s work will carry on with the same great sense of mission and service to our customers and our country.”

HII is the nation’s largest military shipbuilding company, with more than 44,000 employees worldwide. More than 20,000 of those employees work for HII’s Newport News Shipbuilding division, the state’s largest industrial employer. HII reported 2020 revenue of $9.36 billion and reported $2.3 billion in revenue for the third quarter of 2021. The company presently has a $48 billion shipbuilding backlog.

HII is preparing the USS Gerald R. Ford (CVN-78), the first of the new Gerald R. Ford class of nuclear powered U.S. Navy aircraft carriers, for deployment this fall. Newport News Shipbuilding is also fitting out the USS John F. Kennedy (CVN-79) and constructing the USS Enterprise (CVN-80) and the USS Doris Miller (CVN-81).

The longest year

Amid some of the worst days of the COVID-19 pandemic, Virginia’s patient satisfaction rate fell slightly in an annual nationwide survey, and just two hospitals in the commonwealth received top marks from their patients. Overall, Virginia patient satisfaction lagged the national average by 3% in 2020.

The patient satisfaction scores come from the annual Hospital Consumer Assessment of Healthcare Providers and Systems conducted by the Centers for Medicare & Medicaid Services (CMS).

The Virginia results of the latest survey are shown on Pages 36-37. The latest survey was conducted in 2020, assessing patient satisfaction as the ongoing coronavirus pandemic moved toward its zenith.

The results are provided by Virginia Health Information, a Richmond-based nonprofit organization offering an array of data on hospitals, nursing facilities, physicians and health insurers in the commonwealth.

In addition to the patient satisfaction survey, VHI annually provides Virginia Business with service line reports showing patient discharge volume by region for a wide variety of hospital procedures.

The national satisfaction survey asks patients two questions: How do they rate the hospital? And would they recommend the hospital to friends and family?

The highest ratings in answer to the first question are 9 or 10 on a 10-point scale. The highest recommendation in response to the second question is: “Yes, definitely.”

In answering both questions in 2020, 80% or more of respondents gave top ratings to just two of 82 Virginia acute-care hospitals: Carilion Giles Community Hospital in Pearisburg and Riverside Doctors’ Hospital in Williamsburg.

Carilion Giles Community Hospital also received top marks in the 2016, 2017, 2018 and 2020 surveys.

Additionally, another eight hospitals scored 80% or better on one of the two questions in the 2020 survey: Inova Fair Oaks Hospital in Fairfax; Inova Fairfax Hospital in Falls Church; Inova Loudoun Hospital in Leesburg; Sentara Martha Jefferson Hospital in Charlottesville; Smyth County Community Hospital in Marion; StoneSprings Hospital Center in Dulles; University of Virginia Medical Center in Charlottesville; and Virginia Hospital Center in Arlington.

The Virginia average percentages for top ratings in the 2020 survey were 69% for both questions (down 2% for the first question and down 1% for the second question from the 2019 survey). The national averages for the latest survey were 72% for the first question and 71% percent for the second, each a percentage point lower than the previous year.

In the 2020 survey, data was unavailable from six hospitals, and an insufficient number of patients took the survey at two other facilities.

The service line reports on Pages 38-44 show consumers which hospitals are the market leaders in their regions in terms of patient discharges for a variety of procedures. VHI suggests that patients seek additional information about their options and needs from health care providers. Not all hospitals provide the same types of care.

VHI also publishes regional and statewide costs for dozens of services to help consumers compare expected costs. These and other details about Virginia hospitals and other health providers are available at vhi.org.