Profile: SRA International, Inc. (SRX)

SRA International, Inc. (SRA), incorporated in 1976, is a provider of technology and consulting services and solutions to clients in national security, civil government and global health. The Company offers a range of technology and consulting services spanning the information technology (IT) life cycle, including strategic consulting; systems design, development and integration; cyber security and information assurance; outsourcing and managed services, and business solutions. In connection with its service offerings, SRA also develops and sells software and hardware products in each of its markets. Depending on client needs, the Company may integrate its own hardware and software products, implement commercially available technology products, or develop a solution for the design, integration, maintenance and enhancement of a custom-built system. On July 2, 2008, the Company acquired Interface and Control Systems, Inc. On July 30, 2008, SRA acquired Era Systems Corporation (Era). On September 2, 2008, the Company sold its ownership interest in Constella Futures Holding, LLC (Futures), a wholly owned subsidiary of Constella Group, LLC. In February 2010, the Company acquired Perrin Quarles Associates (PQA), Inc., an environmental consulting firm that specializes in environmental program development and implementation for air-quality, and climate change.

During the fiscal year ended June 30, 2009 (fiscal 2009), the United States Government clients accounted for 92% of the Company’s revenue, and the remaining 8% was attributable to international government, state and local government, and commercial clients. SRA’s clients include the United States Federal Government departments in the executive branch, including the military services and combat support agencies, as well as judicial and legislative branch agencies.

In the area of national security, SRA designs, develops, integrates and implements large and complex systems for defense and military service organizations. It provides strategic and tactical command, control and communications systems for law enforcement, public safety and intelligence agencies. The Company also offers analytical support to the government and private industries. SRA supports federal civil agencies with professional and technology consulting services and enterprise-wide infrastructure support. Its largest customers in civil government include the Federal Deposit Insurance Corporation, the Government Accountability Office, the Department of Agriculture and the Department of the Treasury. The Company’s health business serves two primary markets. First, SRA provides IT and professional services to the Department of Health and Human Services (HHS) agencies, including the National Institutes of Health (NIH), the Centers for Disease Control and Prevention (CDC), and the United States Food and Drug Administration (FDA), as well as the Department of Veterans Affairs. Second, its global clinical development (GCD) business provides pharmaceutical, biotechnology and medical device firms with insight and services as they take a drug, biologic or device through the development process from concept to market.

Services

The Company helps clients formulate business and execution plans to improve performance. SRA assesses existing operations, develops targeted strategies and plans for improvement, defines key priorities and accountabilities, and designs enterprise architectures that capitalize on client investments in legacy systems while enabling them to make a transition to modern technology environments. The Company’s services include project management, systems design, network and systems integration, data analysis and integration, security engineering, software development, database design and development, and independent test and evaluation. SRA analyzes system concepts and assesses data and information needs, defines requirements, develops operational prototypes, and integrates complex mission-critical systems and solutions that comply with a client’s enterprise architecture. Based on client requirements, the Company may design custom-built systems; integrate and implement commercial off-the-shelf solutions, such as those for supply chain management, enterprise resource planning and case management, or combine both approaches using service-oriented architecture principles and other industry practices.

The Company offers a proactive, multi-disciplined approach to cyber security and information assurance based on a combination of capabilities on the offensive and defensive sides of the cyber threat. Its suite of solutions includes security architecture, secure systems integration, cyber security operations, information operations, compliance, privacy and training services. SRA has deployed these offerings for a variety of customers in the national security and civilian agency markets, both as standalone cyber security contracts and as elements of infrastructure support contracts. As part of its outsourcing and managed services, the Company partners with clients to consolidate and modernize existing infrastructures and improve customer service through effective use of industry practices and performance-based contracting methods. It also supports clients with operations management services, sometimes referred to as co-sourcing. Based on client needs, the Company may oversee their technical infrastructure, manage their applications and networks, or operate their business processes in accordance with service-level agreements. Through infrastructure support contracts, SRA also purchases third-party hardware and/or software (commonly referred to as direct materials or rebillables) for integration into the network or application systems provided by the Company.

SRA has developed tailored solutions that focus on specific business requirements that are common to many of its clients. These business solutions generally apply to clients within each of its target markets. The Company’s core business solutions include text and data mining; enterprise resource planning; business intelligence; command and control systems; contingency and disaster planning; enterprise architecture and portfolio management; environmental support services; identity management; information sharing and knowledge management; infrastructure modernization; service-oriented architecture; training, modeling and simulation; clinical research outsourcing, regulatory consulting and data management, and wireless integration services. These business solutions consist of repeatable tools, techniques and methods.

Products

Several of the Company’s software products provide data and text mining solutions. ORIONMagic helps clients to select through gigabytes of information, store the most relevant pieces and analytically search each piece. NetOwl software applies advanced natural language understanding technologies to English, Arabic, Chinese, Farsi, French, Korean and Spanish text to extract content. SRA’s GangNet database system is a browser-based investigative, analysis and statistical resource used by law enforcement officials to record and track gang members and their activities. The Company’s software products and engineering services offer real-time, embedded and autonomous command and control software systems for space applications. Other SRA software solutions include asset and vehicle tracking, medical peer review management, mobile message extraction, link analysis and visualization. Several of the Company’s products have resulted from internal research and development efforts, while others came from its acquisitions of Orion Scientific Systems, Era, and Interface & Control Systems, Inc.

Most of the Company’s hardware technology sales result from its acquisition of Era, a global provider of next-generation technologies for aircraft tracking and identification, with more than 130 air traffic control and military customers in Europe, North and South America, Asia and Africa. For air traffic control organizations worldwide, Era technologies are used to maintain safe aircraft operation on runways, during airport approach and departure, and during en-route transit. For military customers, Era provides passive electronic tracking (PET) systems. Era’s products include custom-built analog and digital hardware devices that are assembled in Era’s facility in the Czech Republic.

The Company competes with CACI International Inc., Computer Sciences Corporation, ManTech International Corporation, NCI Inc., Science Applications International Corporation, Unisys Corporation, General Dynamics Corporation, L-3 Communications, Lockheed Martin Corporation, Northrop Grumman Corporation, Accenture Ltd., Booz Allen Hamilton Inc. and International Business Machines Corporation.