EATON LOOKS TO LOW GROWTH IN 2009
Diversified manufacturer Eaton's aerospace segment posted a 21.5% rise in operating profits for 2008 to $288 million on revenue up 13.6% to $1.81 billion despite a slowdown in the fourth quarter, when profits grew 5.6% to $76 million and sales rose 6.4% to $446 million. US sales were down 9% in the fourth quarter owing to the Boeing machinists' strike, but in non-US markets they grew 7%. Chief executive Alexander Cutler forecasts 2009 growth of 2%, including 4% US growth and a 3% decline elsewhere.
SABENA TECHNICS TO SLASH JOBS IN BRUSSELS
Increased competition, the economic slowdown and airline consolidation has forced Belgian-based maintenance firm Sabena Technics to cut a Brussels civil heavy maintenance production line and axe jobs under a plan that could affect one-third of its 1,100 staff. Group chief executive Christophe Bernardini expects a loss of €13 million ($16.6 million) for the 2008 financial year on a turnover of €125 million and has cut 2009 sales forecasts.
GE GROWS DESPITE 'TERRIBLE' ENVIRONMENT
GE's aero engines and aviation services segment reported a 14% increase in profits last year, to $3.68 billion, on a similar increase in revenues, to $19.2 billion, despite what management describes as a "terrible credit environment". Equipment orders were down 26% in the quarter and 13% for the year. Separately, GE's GECAS leasing unit saw revenue and profits essentially unchanged at $4.9 billion and $1.2 billion respectively.
STRONG FINISH TO 2008 FOR GENERAL DYNAMICS
General Dynamics' aerospace segment enjoyed strong fourth quarter and full-year growth as operating profits for the three months to the end of December jumped nearly a quarter year-on-year to $264 million on sales up 26.5% to $1.53 billion. Full-year profits rose 26% to $1.02 billion as sales gained 14.2% to $5.51 billion. Year-end backlog was up 83% at $22.5 billion.
LUFTHANSA WEIGHS UP COMPOSITE CONTAINERS
Lufthansa Cargo is to assess the cost impact of lighter-weight composite freight containers through a pilot scheme with logistics specialist Jettainer, under which it will use 1,000 containers from four manufacturers. Aluminium LD3 containers weigh around 80kg (175lb), but a composite equivalent can be 15% lighter. Jettainer managing director Alexander Plumacher believes such containers could generate savings in the "upper double-digit million" range.
IAI PUTS CASH BEHIND INDIA VENTURE
Israel Aerospace Industries has approved up to $50 million investment in Nova , the Indian defence products maker it formed last year with Tata. The company was created to sell unmanned air vehicles, missiles, radars and electronic warfare equipment to the Indian military.
DE HAVILLAND NAME BECOMES HISTORY
Hawker de Havilland is changing its name to Boeing Aerostructures Australia to reflect the fact it is a wholly owned subsidiary of Boeing and works mostly for the US airframer. The Australian company, which has manufacturing plants in Melbourne and Sydney, started in 1927 and was originally owned by UK aircraft-maker de Havilland, becoming Hawker de Havilland when it was bought by Hawker Siddeley in the 1960s.
Source: Flight International
