USA QUESTIONS CHINA'S AIR TRANSPORT FUNDING
At the World Trade Organisation, the USA has queried state subsidies to Chinese industry programmes, including development of the AVIC ARJ21 and Comac C919 regional jets. The USA considers subsidies administered by provincial and local authorities in China to be a "significant problem".
MTU RAISES FULL-YEAR EARNINGS FORECAST
MTU Aero Engines has raised its full-year earnings forecast by €10 million ($14.8 million), to €290 million, and expects revenues to reach €2.6 billion, against original forecasts of €2.8 billion. Nine-month operating profits were down 12% at €211 million and revenue was down slightly at €1.95 billion.
US GOVERNMENT CREDIT PAYS OFF ILFC DEBT
Leasing giant International Lease Finance repaid $2 billion in debt due in October as its government-owned parent, the troubled insurer AIG, dipped into its revolving credit with the US Federal Reserve to make the repayment. ILFC has been for sale since last year as AIG seeks cash to repay US Treasury bailout funds.
HAL TO MANUFACTURE BOEING 777 FLAPERONS
Boeing has contracted India's Hindustan Aeronautics to manufacture the composite flaperons for 777s. HAL will manufacture the parts in Bangalore and says deliveries will be made in phases "beginning in the next couple of years".
SAAB EYES FULL-YEAR SALES RISE
Saab is forecasting full-year sales growth of 5%, after reporting an 8% rise in sales to SKr 16.9 billion ($2.4 billion) for the nine months to the end of September, during which operating income dropped nearly 11% to SKr 871 million. The company cited a steady inflow of small and medium-sized orders during the period.
MILITARY OFFSETS COMMERCIAL DECLINE
Lower volumes in commercial aerospace at Honeywell were partially offset by higher military sales to leave nine-month pre-tax profits down 17% at less than $1.4 billion on sales down 14% to 48.1 billion in the company's aerospace segment.
PROFITS UP BUT BACKLOG DOWN AT BELL
Textron's Bell helicopter business recorded a 25% rise in third quarter profits to $79 million despite an 11% drop in sales to $628 million, thanks in part to lower costs, a gain from the termination of a foreign exchange hedge contract and price rises. Backlog at the end of the quarter was $5.6 billion, down $250 million from the end of the previous quarter.
B/E AEROSPACE 'PASSES TROUGH'
Third quarter revenue at aircraft interiors firm B/E Aerospace was down 26.9% to $459.8 million and operating profit fell 32.5% to $69.6 million, but chief executive Amin Khoury says the quarter was probably the trough for orders and backlog; he expects a "substantial increase in both revenues and earnings in 2011".
AERO INVENTORY HALTS TRADING
Parts management firm Aero Inventory has suspended share trading on London's Alternative Investment Market. The company suspects neither fraud nor theft, but believes a parts valuation issue "may have a material effect" on its accounts.
Source: Flight International
