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Framatome CEO retiring; CFO to be promoted

Framatome Inc. President and Gary Mignogna will retire July 1, and Chief Financial Officer will succeed him, the Lynchburg-based and fuel company announced Tuesday. Mignogna will become chairman of ‘s board upon his .

Williams, who will continue to serve as CFO, has worked for Framatome, a French reactor company, for more than 20 years. She lived in Paris for seven years while with the company, and as CFO, she manages all Framatome’s financial activities in North America. Williams also serves on the Framatome Inc., Framatome Canada and Isogen boards. Framatome has 14,000 employees worldwide and 1,300 in Lynchburg. Its business includes designing and providing equipment, services and fuel for nuclear power plants.

Mignogna has worked for Framatome and its predecessor, Areva Inc., for 45 years, according to the company’s announcement. A mechanical engineer who earned degrees from Drexel University and an MBA from the University of Lynchburg, Mignogna became president and CEO of Framatome Inc. in 2014. In 2018, its North American headquarters moved from Charlotte, North Carolina, to Lynchburg.

“First, we congratulate Gary as he prepares to transition to a new role and we count on his continued support and counsel. His legacy of thoughtful will be a tremendous asset as chair of the Framatome Inc. board of directors,” Frédéric Lelièvre, senior executive vice president and current chairman of the Framatome Inc. board, said in a statement. “I am confident that the strong leadership that has positioned Framatome as a leader in the U.S. market will continue under Katherine. Her two decades of service to this company exemplify our core values of performance, integrity and passion for the future of .”

In 2021, Framatome Inc. started an independent subsidiary, Framatome U.S. Government Solutions LLC, which focuses on nuclear projects for federal agencies.

Before joining Framatome, Williams worked in financial at DuPont, Westinghouse and Duke Energy.

Dollar Tree CEO resigning; former Dollar General CEO to replace him

Dollar Tree Inc. will leave the -based discount retailer and its board effective Jan. 29, with Executive Chairman becoming the next CEO, the company announced Tuesday.

Witynski, who joined Dollar Tree in 2010, played a key role in the company’s 2015 acquisition of the Family Dollar retail chain. He was named president and CEO in 2020. During his pandemic-era tenure as CEO, the company controversially raised prices to $1.25 for most items in its dollar stores beginning in November 2021, resulting in backlash among some customers.

Dollar Tree’s third quarter 2022 sales grew 8.1% year over year to $6.93 billion, but rival retailer Dollar General’s sales rose 11% to $9.5 billion during the same period.

While the company had a good third quarter, the most recent earnings report available, it took three years for Dollar Tree to produce those kind of results, and that’s a relatively long time from a business standpoint, noted Reuben Gregg Brewer, a contributing analyst with Motley Fool.

In his 2017 autobiography, the late Dollar Tree co-founder Macon Brock wrote that the dollar concept was “sacred. … Ditch the dollar, I believed, and we’d surrender our niche.” At the time of Witynski’s announcement that Dollar Tree was raising prices, Scott Mushkin, an analyst and co-founder at R5 Capital, told CNN that “it will be a shock to [Dollar Tree’s] loyal customer base. It could end up being one the worst decisions in retail history if it is not dialed back.”

In the past year, there’s been a shakeup in Dollar Tree’s C-suite. Dreiling, former chairman and CEO of Dollar General, became the board’s executive chairman in March 2022 following a proxy battle with activist investor group Mantle Ridge LP.

“The opportunity to work with the talented and dedicated team at Dollar Tree has been the most rewarding of my career. During this especially dynamic period, we made the historic and consequential move to ‘break the dollar,’ and also rose to the historic opportunity to retool the company’s ranks to face the challenges ahead with fresh eyes,” Witynski said in a statement. “As I depart, I have full confidence that this team will continue to move the company forward through the years ahead.”

Brewer said the timing of the price increase — before Witynski left — was not a coincidence. The heavy lifting was already done and the new leadership would have a clean slate to work with and the ability to say they didn’t raise prices, he said.

Edward Kelly, senior equity analyst at Wells Fargo Securities, weighed in on the leadership change in a note. He noted that Witynski is the final member of the prior team to go, with the bulk of the other changes to be completed soon after Dreiling’s arrival.

“While many of the issues that made DLTR vulnerable to activism were not Witynski’s doing, we believe this move represents the final step of management house cleaning that is typical of these situations,” he wrote about Witynski’s departure.

Dreiling also thanked his predecessor.

Dreiling

“We greatly appreciate Mike’s contribution over his career with Dollar Tree, which included the acquisition and integration of Family Dollar, navigating COVID, and contributing to the company’s current transformation strategy,” Dreiling said in a statement. “Dollar Tree will continue to thrive, grow and win in the marketplace in this next chapter, and I’m thrilled for the opportunity to work with the extraordinary Dollar Tree team to advance our focus on delighting customers, associates and other key stakeholders.”

In June 2022, the company began overhauling its C-suite leadership, seeking a new chief operating officer, chief financial officer, chief information officer and chief legal officer.
Dollar Tree hired Jeffrey A. Davis as CFO in August 2022 and Bobby Aflatooni as chief information officer in July 2022.  In September 2022, the company announced its new COO and chief development officer.
Then in November 2022, Dollar Tree named a new chief compliance officer, chief diversity officer, chief sustainability officer and chief communications officer.

Kelly, with Wells Fargo, pointed out Dreiling’s temporary position. “It’s important to note that DLTR did not name Dreiling as an interim CEO, suggesting he will be focused on leading the company for the foreseeable future. We believe Dreiling is less than one year into a five-year employment agreement, and expect the board to revisit planning at the appropriate time when the company is clearly on the path to achieving its long-term vision. This move is a statement of commitment from Dreiling,” he wrote.

He also noted that 2023 will be “another year of repositioning for DLTR and that consensus is too high. Today’s news probably only supports this view. That being said, we expect this guidance to be bought into what should be an action packed and positive analyst day this spring. We do expect 2023 guidance to be provided on the Q4 call, which creates a tricky near-term setup.”

Dollar Tree, which operates more than 16,000 Dollar Tree and Family Dollar stores in the United States and Canada and employs more than 200,000 , will report its fourth-quarter earnings March 1.

In 2022, Dollar Tree ranked No. 137 on the Fortune 500 list. Its stock price opened at $148.27 Tuesday and was down 2.96% at $146 per share at 4:30 p.m.

Leidos wins $1.5B Social Security Administration contracts

Leidos Inc. won two Administration task orders with a combined potential value of $1.5 billion, the -based contractor announced Monday.

The task orders fall under the SSA’s IT Support Services Contract II. Under the indefinite delivery, indefinite quantity task orders, will provide software systems and infrastructure support for the SSA’s deputy commissioner of systems, including web/interface design and lifecycle software improvement. The company will also plan, implement, operate and maintain the SSA Office of Systems Operations and Hardware Engineering’s computer systems, enterprise IT infrastructure and application services.

“We are pleased to continue our work with the SSA and provide innovative solutions along their IT modernization journey,” Leidos Health Group President Liz Porter said in a statement. “These awards will allow us to extend our current support into new areas such as IT infrastructure and programmatic support.”

Each award has a base period that ran from early September 2022 to the start of the first option on Sept. 29, 2022, with five one-year options and one six-month option. Herndon-based Peraton Inc. contested the awards, and the Government Accountability Office denied a second challenge, according to Washington Technology.

Leidos previously received an IT Support Services Contract from the SSA in August 2018 that had a combined potential value of $639 million. The contractor provided support in development, testing, maintenance, data base administration, document , strategic planning and project management services.

Leidos provides technology, engineering and science services to defense, intelligence, civil and health markets. The company employs 44,000 and reported $13.74 billion in 2021 revenue.

Rivers Casino Portsmouth opens to big crowds

When Rivers opened its doors Monday, Christopher Hoffman was among the thousands of patrons attending opening day at the first permanent casino to open in Virginia.

A resident and manager at Rosie’s Emporium, Hoffman said he wanted to be “part of history” happening in the state. He gave the casino a good review, saying he plans to visit about twice a month, but said he wished the 250,000-square-foot casino would designate a smoking area, instead of allowing smoking in the entire gaming room in a way reminiscent of Las Vegas . Others guests Virginia Business spoke to agreed with the sentiment. (The Virginia Clean Indoor Air Act, which generally prohibits smoking in restaurants and other indoor public places, carves out exceptions for “any portion of a facility licensed to conduct casino gaming.”)

Nevertheless, didn’t deter the crowd inside the casino Monday as they pulled levers on slot machines, slid playing cards across tables and sipped on cold drinks at the multiple bars. Chips flipped and dice rolled across gaming tables. Lights flashed from slot machines and simultaneously celebrated wins and bemoaned money lost.

Officials cut the ribbon Monday at , the commonwealth’s first permanent casino. Photo courtesy Rivers Casino Portsmouth

After initially delaying its opening by about a week, the $340 million Portsmouth casino opened to bustling crowds as people lined up early ahead of its 10 a.m. Monday opening. Norfolk State University’s Spartan Legion marching band kicked off the opening and Portsmouth Mayor Shannon Glover, Portsmouth Economic Development Director Brian Donahue, Virginia Lottery Executive Director Kelly Gee were present at the grant opening with Tim Drehkoff, of Chicago-based Rush Street Gaming LLC, which operates the casino.

Gina Smith, the Virginia Lottery’s deputy director of gaming compliance, presented the casino its official operator license during the Monday opening ceremony.

“We’re here to serve the community, our guests and our team members,” Roy Corby, general manager of Rivers Casino Portsmouth, said in a statement. “We’ll accomplish that mission by creating a stellar guest experience and becoming the entertainment destination of choice for Portsmouth, Hampton Roads and visitors to our area.”

The casino had two soft opening nights benefitting three local charities before Monday’s opening. Proceeds from those nights went to Children’s Hospital of The King’s Daughters, USO Hampton Roads and Central Virginia and Wesley Community Service Center. Each group received $170,000 in total contributions. Glover, state Sen. Louise Lucas and House Minority Leader Don Scott placed the ceremonial first wagers during the charity event Saturday.

The casino has hired about 1,000 employees so far, with plans to eventually employ 1,300 permanent workers. Rivers Casino Portsmouth’s estimated annual payroll will be $62 million.

Beatrice Joseph of Virginia Beach occupied a chair at one of the 1,446 slot machines in the casino’s gaming room. She arrived at the casino at about 2 p.m., but was unable to snag a seat at one of the 24 poker tables. Still, she deemed it a “really nice establishment,” saying she planned to come back often.

Another area of the casino has 57 game tables. cover band Better by Tuesday played on the stage of The Sound Bar. Meanwhile, casinogoers crowded around tables and bar at the sportsbook, with its 753-square-foot screen — a 12-foot-by-62-foot-wide viewing wall that can simultaneously display dozens of televised sports events.

The casino’s restaurants, which include Admiral’s Steak & Seafood, Crossings Cafe, Mian, Slice Pizzeria and Starbucks, also attracted long lines of patrons Monday. Later this year, a Yard House restaurant will open.

The casino also has  a 25,000-square-foot multipurpose Event Center. The Epsilon Nu Lambda chapter of Alpha Phi Alpha Fraternity Inc. held its annual Martin Luther King scholarship luncheon as the venue’s first event on Jan. 16.

On the casino’s 90,000-square-foot main floor, nearly every seat was taken, and a line stretched out the door of folks waiting to get in to try their hand at gaming. Nearly every parking space in the 2,000-space lot was taken by mid-afternoon.

Ivory Ned of Chesapeake arrived at 9 a.m. He wanted to be there on opening day because he’s a fan of casinos and said he’s glad he won’t have to drive to Maryland to play now.

The Portsmouth casino is the first permanent casino to open in Virginia, but a temporary casino opened in Bristol in July 2022. Two more casinos, one in Norfolk and one in Danville, are in the pipeline, while Richmond and Petersburg officials are sparring over the possibility of a fifth casino in the commonwealth.

Rivers Casino Portsmouth was built by Virginia Beach-based S.B. Ballard Construction Co. and Philadelphia-based Yates Construction. Raleigh, North Carolina-based Kimley-Horn served as engineering consultant; Las Vegas-based Klai Juba Wald Architecture + Interiors was the architect of record; New York-based Jeffrey Beers International was the primary interior designer and Illinois-based DMAC Architecture & Interiors designed interior venues. The casino’s construction supported 1,400 jobs.

Navy awards Boeing subsidiary $463M contract

Fairfax-based Inc. has received a $463 million contract to procure and produce sensor components for fielding in manned and unmanned aircraft, the announced Friday.

Argon ST is a wholly owned subsidiary of Arlington-based aerospace contractor Under the contract, Argon ST will procure various Multi-Intelligence Sensor Development (MISD) Sensor Suite components for use in aircraft. The company will also provide engineering support for the Navy, foreign cooperative partners and foreign military sales customers.

According to the Pentagon announcement, 75% of the work will be performed in , with the remaining 25% taking place in Germantown, Maryland. Work is expected to be complete in January 2028.

In a February 2021 pre-solicitation notice, Naval Air Systems Command said that Argon ST is “the original designer, developer and manufacturer” of the MISD Low Band Sensor Suites used by the Navy and Army and determined that the company was the only one with the expertise to fulfill its needs.

Founded in 2001, Argon develops command, control communications, computers, intelligence, surveillance and reconnaissance (C4ISR) and combat systems to its clients. acquired the company, which is a division in the Boeing Defense, Space & Security unit, in August 2010.

Boeing has more than 140,000 employees worldwide. The company reported $62.2 billion in revenue in fiscal 2021.

Prism Maritime receives $250M Navy contract

-based Prism Maritime LLC has received a contract valued up to $250.8 million to install, modify and upgrade various combat systems for the , Coast Guard and for foreign militaries, according to the .
The cost-plus-fixed-fee, cost-type contract, announced Friday, will continue through October 2027 if all options are exercised. Work will be performed on shore at land-based test facilities, shipyards and onboard ships in port or at sea for the Navy, Coast Guard and at foreign military sale locations and supports the Alteration Installation Team at Port Hueneme Division in California.
Fiscal 2023 funds totaling $10,000 were obligated at the time of the award. Prism was among three contractors to submit a bid. In 2021, the company announced it would invest $4 million to construct two 12,000-square-foot building for manufacturing, lab and storage space.

VersAbility Resources lands $140M Air Force contract

Hampton-based VersAbility Resources Inc. has received a $140.7 million contract to support mail and postal service center support at installations across the U.S., the announced Friday.

The firm-fixed-price, indefinitely delivery contract was a sole source acquisition and work is expected to be complete by Jan. 17, 20s3.

Founded in 1953, VersAbility Resources serves more than 1,800 with disabilities and their families annually with a variety of services, including employment programs and business partnerships that provide staffing solutions.

 

Petersburg industrial building sells for $4.6M

An building in that once served as the tri-cities headquarters for Pepsi has sold for about $4.6 million, One South Commercial announced Wednesday.

An entity connected with Waukeshaw Development Inc. in Petersburg sold the 100,492-square-foot building located at 1501 W. Washington St. in Petersburg to 1501 Petersburg LLC, an entity based in McLean. The industrial building, which includes close to 100,000 square feet of leased warehouse space and 8,500 square feet of office space, is on 8.52 acres, according to One South.

Tom Rosman, Ken Campbell and Ryan Rilee, all of One South Commercial, represented the seller.

Former EAB buildings in Henrico sell for $5.35M

A Richmond-based real estate company has purchased three in western for $5.35 million, Commonwealth Commercial Partners LLC announced Monday.

Formerly the headquarters of education research company EAB, the buildings are located at 1910, 1920 and 1950 E. Parham Drive. Marwaha Property , doing business as Marwaha Business Park LLC, purchased the buildings from SIR Properties Trust, a Henrico real estate developer. The buildings are 33,900 square feet, 28,800 square feet and 26,190 square feet.

In June 2022, EAB announced would expand and relocate, consolidating its operations into another space in Henrico.

The buyer plans to rebrand the vacant complex Marwaha Property Management, according to Commonwealth’s announcement. Marwaha manages commercial and residential real estate across Virginia, and it plans to relocate its office into one of the buildings and lease the other two to other tenants.

Tucker Dowdy and Michael Good, both of Commonwealth Commercial, represented the buyer in the transaction.

Colliers to manage, lease City Center at Oyster Point

Colliers will be the and company for at in , Florida-based real estate investment firm Murphy Property Group announced last week.

will manage nearly 600,000 square feet across nine buildings. City Center, which is 52 acres, serves as sort of a central downtown area for Newport News and is a high-density, mixed-use development zoned for 250,000 square feet of , 1 million feet of Class A office space and 600 residences. MPG purchased the portfolio in 2021, and their holdings include nearly 450,000 square feet of Class A office space and more than 100,000 square feet of retail space.

“We have seen a trend where companies are moving to Class A mixed-use submarkets as a way to encourage employees to get back to the office,” Perry Frazer, executive vice president, said in a statement. “Amenity-rich Class A offices are in high demand as recruiting and retention are critical to companies moving forward in 2023. City Center checks all the boxes as a vibrant, active, walkable community filled with best-in-class companies.”

Colliers‘ Frazer, Brian Davidson and Robbie Berndt will handle office leasing. Harrison Hall, Peter Vick, Tyler Brooks and Maddy Spear will handle retail leasing. Todd Willett and Jessica Poyner will lead full-service property management.