IAI seeks fresh capital for buying spree
Bond issue Israel Aircraft Industries (IAI) is preparing to raise $250 million in 2007 by issuing bonds.The money will be used for investment in infrastructure and the purchase of foreign companies, principally in the USA. The expansion plans are part of the company's strategy for achieving annual sales of $4 billion by 2010 and a net pre-tax margin of 8%. Company sources say the plan is based on building a $9 billion order backlog by 2010. During the first nine months of 2006 IAI has signed new contracts worth $2.2 billion and the sources say the full-year target is $3.5 billion.
France to help A380 suppliers
bail-out France is set to provide financial support for some of the sub-contractors affected by delays to the Airbus A380 programme and has formed a working group to assess the time lag's impact on the French aerospace industry. "The government is closely monitoring the decisions made by Airbus to combat its industrial difficulties and is completely mobilised on the question of employment in the aeronautics field, which is one of the jewels of French industry," says French transport minister Dominique Perben. Meanwhile, Airbus is to axe around 1,000 temporary staff in Germany as part of a work-reduction agreement with unions, following the A380 delays.
Hamilton Sundstrand to buy Page Group
acquisition United Technologies aircraft systems manufacturer Hamilton Sundstrand has struck a deal to acquire UK aerospace lighting and cockpit controls specialist Page Group. The Sunbury-based design and manufacturing firm, which employs 200 people and generated revenues of £23 million ($43 million) last year, supplies electronically controlled LED lighting and related power systems, warning panels and cockpit controls.
Messier-Bugatti boosts production capacity
expansion Messier-Bugatti is increasing its wheel and carbon brake production capacity in France and the USA to keep up with the new contracts it has won in the past two years as well as the forthcoming entry into service of its brakes on the Boeing 737 and 787. The company has begun work on a new production facility - scheduled to be operational early in 2008 - for wheels and carbon brakes in the USA, at the site its US subsidiary A-Carb already occupies.
Rebel Stork shareholders win support
Strategy Shareholders representing almost half of Stork's capital are suppporting a controversial proposal to focus solely on aerospace activities, through a non-binding vote at an extraordinary general meeting. The proposal was put forward by investment funds Centaurus Capital and Paulson, which together hold about a third of Stork. Stork chief executive Sjoerd Vollebregt defended the company's conglomerate strategy, but Stork's management has said it will consider all the views put forward.
API consolidates distribution bases
rationalisation US distribution and supply chain services provider Aerospace Products International (API) is consolidating four of its warehouse facilities into a new 172,000ft2 (16,0002 ) distribution facility near Memphis International airport.
Source: Flight International
