UNC IS TO SELL its AlliedSignal TFE731 overhaul approval to Sabreliner to comply with anti-trust conditions applicable to its acquisition of Garrett Aviation Services. Garrett will retain its authority to service the widely used business-jet engine.
UNC now hopes to complete the acquisition of Garrett during the second quarter, and is proceeding with plans to raise $150 million to pay for the transaction. The combined company will have annual sales approaching $1 billion. UNC says that the TFE731 business being sold has annual sales of around $10 million.
The company has posted a 13% increase in first-quarter sales to $141.5 million, and net earnings of $474,000, up from $49,000 in the same period of 1995. Operating profits during the period were up 12% to $5.9 million.
Source: Flight International
