Julian Moxon and Gilbert Sedbon/PARIS
EUROCOPTER president Jean-Francois Bigay has warned that the Franco-German manufacturer will have to press on with cost-cutting measures in the face of a patchy market performance in 1994, when orders and deliveries fell again.
The tally of new helicopter deliveries ended the year down from 159 to 149, while the group's turnover slumped by 12%, to the Fr9 billion ($1.72 billion) mark.
Bigay adds that efforts to achieve a stable balance sheet are expected to bear fruit in 1995, however. "Our financial situation is healthy, despite the negative results," he said, unveiling the 1994 figures in Paris. The group nevertheless wants to reduce costs by a further 10%, and will continue its policy of partial layoffs to adjust to market conditions.
The intake of new orders also fell in 1994, ending the year at 133, while orders for used aircraft rose to 62, reflecting caution among buyers. The total order value is being put at Fr7.3 billion.
Eurocopter still claims the world lead in civil and public service export markets, with its aircraft accounting for more than half the value of the world fleet. Bigay concedes that the market remains soft, however. "Overall, the market grew by around 8%, but the recovery varies by region. In Europe, it was nil," he says.
Eurocopter suffered worst in military markets, where Bigay says the company was drastically affected by growing competition from Russia. He estimates that Russian manufacturers won "more than 30% of the market" through making sales at "very reduced prices".
Eurocopter claims to have netted 15% of the world's military-helicopter deliveries over the past three years and says that it retains a lead in global export markets.
Growing deliveries of Super Pumas to Turkey and the Netherlands will help the figures this year, but these end in 1996. Without significant further orders, Bigay warns that 1997 and 1998 look "hollow".
The hope for 1995 is that orders for Tiger battlefield helicopters will be forthcoming from the Netherlands and the UK, for a total of 125 machines.
A decision on industrialisation of the Tiger should be taken "as soon as possible" by France and Germany, says Bigay, to show that the two governments are fully committed to producing the Tiger. He wants the decision to spend money on tooling and production to be taken by May instead of November, before the UK makes its choice.
This year will see the first flight of the NH90 transport helicopter, which NH Industries programme manager Jean-Pierre Berthelemy says, is "absolutely on schedule". He adds that, while the four nations involved in the programme (France, Germany, Italy and the Netherlands) remain solidly behind their shares in the project, there remain "some strains" in the equipment selection process.
Source: Flight International
