President Trump and congressional leaders reached an agreement that will keep the U.S. government operating at FY17 funding levels through mid-December. The continuing resolution (CR), part of a broader legislative package that also included a three-month increase to the debt ceiling and nearly $8 billion in hurricane relief funding, was signed into law on September 8. Republicans had been pushing for a longer extension to the debt ceiling, but the agreement sets up critical votes on both the budget and the debt ceiling in December. Continue reading
The U.S. State Department has approved the sale of 18 F/A-18E/F Super Hornets and associated equipment to Canada as part of a potential deal worth $5.23 billion, according to a September 12 announcement from the U.S. Defense Security Cooperation Agency (DSCA). The announcement outlines the potential sale of 10 F/A-18Es, eight F/A-18Fs, eight F414-GE-400 engine spares, APG-79 radars, 100 AIM-9X-2 Sidewinder Block II missiles, 30 AIM-9X-2 Sidewinder Block II Captive Air Training Missiles, and eight AIM-9X-2 Sidewinder Block II Special Air Training Missiles, as well as additional avionics and electronics. Continue reading
by Bill Ostrove, Space Systems Analyst, and Richard Pettibone, Aerospace & Defense Companies Analyst, Forecast International.
Behind all the sound and fury surrounding the recent UTC/Rockwell deal, Northrop Grumman quietly moved in earlier this week and scooped up rocket and missile maker Orbital ATK in a deal valued at $9.2 billion. Under the agreement Northrop Grumman will acquire Orbital ATK for approximately $7.8 billion in cash, plus the assumption of $1.4 billion in net debt. The transaction is expected to close in the first half of 2018 and is subject to customary closing conditions, including regulatory and Orbital ATK shareholder approval. Continue reading
After a summer of speculation, United Technologies Corp (UTC) and Rockwell Collins announced that they have reached a definitive agreement under which UTC will acquire Rockwell Collins in a cash and stock transaction valued at $30 billion. Continue reading
While new aircraft orders have slowed lately, the production of commercial aircraft is exceptionally vibrant. Airbus and Boeing are maintaining tremendous backlogs, and both manufacturers are ramping up production of their new fuel-efficient aircraft designs. This robust market is one that UTC Aerospace Systems is especially well positioned to capture. The combined entity offers a vast amount of product content – one-stop shopping – for commercial aircraft primes. The combination should also offer economies of scale, making product costs lower and even more attractive. Continue reading
Forecast International is pleased to announce the launch of a newly enhanced U.S. Defense Budget Forecast database, now featuring the ability to track major program spending and identify winners and losers within every Pentagon budget request. FI’s budget database provides quick access to DoD request and forecast budget data, justification documents, congressional markups, and more. The Pentagon’s massive weapons spending plan can be sorted by value, with options for filtering programs by appropriation title (R1/P1), service, and appropriation account. Continue reading
With commercial aviation production continuing apace, Rockwell Collins decided it wanted a bigger slice of the pie and expanded its operations with the $8.3 billion purchase of cabin interiors specialist B/E Aerospace. As a result, Rockwell is now an $8 billion company, employing some 30,000 people and commanding a diverse content base on a variety of commercial and business aircraft. Continue reading
Safran has announced that it will acquire seats manufacturer Zodiac Aerospace for approximately EUR8.5 billion ($9.1 billion).
The new entity will combine Safran’s capabilities in landing gear, wheels and brakes, nacelles, power systems, actuation systems and avionics with Zodiac Aerospace’s positions in seats; cabin interiors; power distribution; lighting; fuel, oxygen and fluid systems; and safety equipment. Zodiac Aerospace’s electrical systems assets will reinforce Safran’s portfolio of technologies and position the group ideally for future developments toward the “more electrical aircraft.”
With commercial aviation production booming, GKN has successfully positioned itself to capture a significant share of this market. As a top Tier 1 aerospace supplier, most notably to Airbus, GKN has strengthened its operations with three key acquisitions in the past few years. Continue reading
With sanctions on Iran coming to a close thanks to the agreement between Tehran and the “P5+1” countries, international businesses are lining up to enter the Iranian market. President Hassan Rouhani’s recent visit to Europe – where he reached a number of high-profile agreements, including an order for 118 Airbus jetliners[i] – has been the subject of much fanfare, but Tehran is also seeking to build up its military capabilities. Continue reading