Our History

1950s: Origins

Edward Shay founded Pacific Architects and Engineers Incorporated in Tokyo in 1955. Inspired by efforts to rebuild Japan following WWII, Shay saw an opportunity to provide critical services to U.S. government agencies in Asia.

1960s: Core

PAE developed a reputation for flexibility, responsiveness and service excellence. When the United States entered the conflict in Southeast Asia, the government selected PAE as one of the primary design firms supporting construction of infrastructure in the region. The Vietnam experience established a great part of the PAE culture – a can-do, make-it-happen attitude and the ability to provide flexible, rapid and responsive services in challenging environments to support U.S. and Allied troops.


1970s: Diversification

PAE expanded into Europe to provide civil engineering and facilities engineering services for U.S. military installations, while sustaining a presence in Vietnam to support the International Commission on Control and Supervision (ICCS). As the Vietnam conflict concluded, PAE focused on leveraging its can-do expertise in remote environments, for clients in the oil industry throughout Southeast Asia and the U.S. Army Corps of Engineers in Saudi Arabia, among others.

1980s: Leverage

By the 1980s, PAE had become a diversified government services organization capable of performing contracts successfully and efficiently anywhere in the world.  During these years, PAE provided O&M and related services to the U.S. Air Force in Spain, Greece, Japan and Honduras, and to the U.S. Army Corps of Engineers in Saudi Arabia. One of PAE’s major contract wins of this decade was the company’s selection as the service provider to the DoS at the U.S. Embassy in Moscow.  

1990s: Development

In the 1990s, PAE focused on aligning with U.S. Department of Defense (DoD) and Department of State (DoS) missions. The Company also expanded its customer base to include governments and international organizations engaged in peacekeeping and capacity building missions. In 1995, after the death of PAE’s founder, Ed Shay’s son Allen E. Shay became Chairman and Chief Executive Officer.  

2000s: Evolution

Throughout this decade, PAE continued to expand its customer base, with a particular focus on peacekeeping and capacity building activities, which led to new and expanded relationships with the DoS, UN, CDND, NATO, AU and USAID.  In 2006, the Lockheed Martin Corporation acquired PAE after Allen Shay decided that the next steps in PAE’s global expansion would be best implemented with additional business infrastructure.

2010s: Looking Forward

In 2011, Lockheed Martin divested PAE to a private equity firm in order to refocus on its core business. Over the past few years, PAE has increased its breadth of services with the acquisitions of Lockheed Martin/Day & Zimmerman JV Defense Support Services (DS2) in late 2011; the Applied Technology Division (ATD) of CSC in 2013; the Global Security & Solutions (GS&S) business unit from USIS in 2015; A-T Solutions in 2015; FCi Federal in 2017; and Macfadden in 2018.

From our founding in 1955, PAE has offered enduring support for the essential missions of a wide range of customers, including the U.S. government, its allied partners and international organizations. We attribute our success to the quality of our work and the integrity and high ethical standards that define our business operations. As a global company, we recognize that we have a core responsibility to positively impact the communities in which we work and live. Our employees perform with excellence and dedication in more than 60 countries, in some of the world’s most challenging regions. PAE’s current portfolio includes capabilities in aviation, capacity building and stabilization, critical infrastructure, expeditionary logistics, identity and information management solutions, integrated security solutions, test and training ranges, and training solutions; and enterprise-level technology products and software.

Over the past few years, PAE has increased the breadth of services we offer our customers by integrating companies with proven capabilities and a customer-focused workforce culture. PAE’s more recent acquisitions of Macfadden in February 2018, FCi Federal in June 2017, A-T Solutions in May 2015 and the Global Security and Solutions (GS&S) business unit of US Investigation Services (USIS) in January 2015 enhanced PAE’s national security and international disaster response operational support portfolios. With FCi Federal, A-T Solutions and GS&S, PAE supports programs of critical national importance for customers across the law enforcement, homeland security and Intelligence communities. These new team members also enhance PAE’s ability to support the U.S. Armed Forces, our allies and other DoD agencies. With Macfadden, PAE provides specialized capabilities for the United States Agency for International Development (USAID) humanitarian and disaster relief programs and maintains critical government financial systems, safeguarding key government information systems for multiple federal government customers.

PAE’s 2013 acquisition of CSC’s Applied Technology Division expanded the company’s portfolio to include military and space testing and training ranges primarily within the United States, infrastructure services and aviation maintenance support at critical U.S. government installations. The acquisition of the Applied Technology Division complemented PAE’s acquisition of Defense Support Services in 2011. PAE integrated the leading provider of aircraft and vehicle maintenance, logistics and base support services, and continues to provide the services that support our customers’ most challenging missions.

With all five acquisitions, PAE added new capabilities and expanded the Company’s talented workforce and geographic footprint. As we continue to grow, the values that have set us apart over the past six decades will continue to guide our company in leading with integrity and excellence. We are strongly committed to diversity, recognizing that our success depends on bringing together a wide range of perspectives, skills and experiences to find the most innovative, cost-effective solutions for our customers.

A complete timeline of PAE history is available within PAE’s History Booklet. For a summary of PAE capabilities, please view our PAE Overview.