The reorganization will see SAIC's business unit for government technical services and enterprise information technology would continue with the SAIC name, while the newly separated national security, health and engineering business would be known as Leidos.
"With this announcement, we take another step in the disciplined, deliberate process that will result in two world-class companies when our board approves the separation," said SAIC Chairman and Chief Executive Officer John Jumper.
SAIC reported its planned separation into two independent, publicly traded companies last August, and it is expected to occur in the last half of this fiscal year if approved by SAIC's board of directors.
SAIC said that the name Leidos comes from "kaleidoscope."
"With the name Leidos, we signal that the company will deliver transforming technologies, analytics and cross-disciplinary insight for our customers to deliver real-world benefits at the speed the real world demands," said SAIC Chief Operating Officer Stu Shea. "It's a memorable word with dynamic connotations that capture the energy, talent and passion that our employees bring as they work to deliver solutions that protect our nation, our communities, and our families."
Shea will be the president and chief operating officer of Leidos.