Aviation News Item: 01074

31st Jul 2009

Source: fly-corporate.com

Textron revenues in the second quarter of 2009 were $2.6 billion, down 29 percent from the second quarter of 2008. The company is now estimating 2009 revenues of approximately $10.6 billion, down from its previous expectation of about $11.0 billion due to lower expected jet deliveries.

"Overall Bell and Textron Systems delivered strong performance, TFC liquidations remain ahead of schedule, Industrial returned to profitability, and despite cancellations, we saw early signals of stabilisation late in the quarter in the business jet market," explained Textron Chairman and CEO Lewis B. Campbell.

Cessna

Cessna's second quarter revenues decreased $630 million from the same period last year, reflecting the delivery of 84 jets this year compared with 117 jets last year.

Segment profit decreased $214 million primarily driven by the lower sales volume. Segment profit included higher write-downs of pre-owned aircraft inventory and higher unabsorbed overhead costs related to lower production levels and temporary plant shutdowns. These decreases were partially offset by an increase in deposit forfeiture income from order cancellations and lower selling, general and administrative expense largely due to workforce reductions.

Cessna backlog at the end of the second quarter was $8.2 billion, a decline of $4.8 billion from the first quarter. The decline included $2.1 billion related to the removal of Citation Columbus orders from the backlog.

Bell

Bell's second quarter revenues decreased $28 million from the same period last year. The reduction reflects an unfavorable commercial product mix and the cancellation of the ARH program. These decreases were partially offset by increased commercial pricing.

Segment profit increased $4 million primarily due to improved performance.

Bell backlog at the end of the second quarter was $5.9 billion, down $231 million from the end of last quarter.

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