NEW YORK (

TheStreet

) --

Lockheed Martin

(LMT) - Get Report

will lay off or transfer more than 1,000 employees as it plans to close its Eagan, Minn., facility by 2013 and move manufacturing work from its Middle River, Md., and Owego, N.Y., sites by 2011.

The changes will affect nearly 1,000 jobs in Minn., 60 in Md. and 40 in N.Y. The defense and aerospace company said that tje layoffs will be partially offset by the transfer of about 650 jobs from Eagan to Owego, San Diego and Manassas, Va.

About 35 ground vehicles program positions will also transfer to Dallas while jobs will be created in Camden, Ark.

"In an era of increased affordability, it is essential we drive down costs and optimize capacity at our facilities nationwide," the company's mission systems and sensors president Orlando Carvalho said. "While these changes will result in layoffs in some locations, they will strengthen employment in others and provide efficiencies that make us more competitive. We estimate these actions are expected to save approximately $150 million over the next ten years."

The layoffs and transfers will begin in the first quarter of 2011 and continue for two years.

Lockheed Martin employs about 133,000 people worldwide.

--Written by Theresa McCabe in Boston.

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