ELBIT US ACQUSITION BOOSTS MILITARY OFFER
Elbit Systems of America has boosted its US military services offering with the $85 million cash acquisition of M7 Aerospace, which supports aerostructures manufacturing, logistics, maintenance, engineering and supply chain management.
SAFRAN DEBT OFFER OVERSUBSCRIBED
Safran has signed a €1.6 billion ($2.1 billion) revolving credit facility to be used for general corporate purposes, maturing in December 2015, with a group of 13 banks. The offer, originally set at €1 billion, was significantly oversubscribed at €2 billion, which Safran describes as a statement of confidence in the company.
A380 FUND OPENS TRADING
Share trading has begun in London and the Channel Islands Stock Exchange in Doric Nimrod Air One, an exchange-traded fund created to buy an Emirates Airline Airbus A380-600 (MSN 016) for leaseback over 12 years to the carrier, for a yearly rent of approximately $21.8 million. The Guernsey-based fund raised £39.6 million ($62.3 million) and has taken on $122 million in debt.
AEROSONIC DOWN 72% AT NINE MONTH MARK
Third-quarter sales fell by 6.5% to $7.05 million and operating profit plunged by nearly two-thirds to $345,000 at Florida-based flight products maker Aerosonic. For the nine months to end-October, sales were down by 15% to $20.8 million, while operating profit fell by 72% to barely $1 million. Chief executive Doug Hillman says falling profits reflect a the product mix, lean investment activities and contract loss provision.
P&WC TO INVEST $1 BILLION IN R&D
Pratt & Whitney Canada will invest more than $1 billion in engine research and development over the next five years. The investment includes a $300 million repayable contribution from the government of Canada. P&WC is currently recruiting more than 200 engineers.
QANTAS ACQUIRES PERTH CHARTER OPERATOR
Qantas Airways will acquire Perth mining sector charter operator Network Aviation, noting: "Mining company demand for fly-in-fly-out air services to and from remote sites within the state cannot be met solely by regular passenger transport services." Qantas may expand Network Aviation's fleet of two 100-seat Fokker 100 aircraft and six 30-seat Embraer Brasilia EMB-120ERs.
KAMAN COMPLETES GLOBAL BUY
Kaman Aerospace has completed its acquisition of Global Aerosystems of Everett, Washington. Global, a provider of aerostructure engineering design analysis and Federal Aviation Administration certification services to the aerospace industry, is expected to have sales in 2010 of approximately $20 million.
MACHINISTS OPPOSE KOREA FREE TRADE PACT
The International Association of Machinists and Aerospace Workers has criticised the proposed US-Korea free trade agreement as a "Bush-era agreement [that] will further empower the same old trans-national business interests that are all too eager to shift more US production jobs to countries like South Korea, China, and Mexico." IAM president Tom Buffenbarger called on Congress to "vigorously oppose" the deal.
Source: Flight International
