Bell Helicopter

[alouette]

This is perhaps a question which has been posted before, but... What are Bell Helicopter Textron's intentions to turn its fortune and make it profitable again? On the latest news Bell signed an MOU with RR to retrofit the 206 the RR5500TS engine...I can't see the difference...except an increased power output of 30hp.

Any comments?

[GeorgeMandes]

This is perhaps a question which has been posted before, but... What are Bell Helicopter Textron's intentions to turn its fortune and make it profitable again

Not sure the basis of your statement, but looking at Textron releases, it appears that Bell had an operating income of $84 million in the fourth quarter. What Bell needs to improve its "fortunes," is the same thing virtually every other aviation manufacturer needs, a good economy so customers buy new aircraft.

[widgeon]

They are also reporting a net loss of 60 Million for same period.
From 2008 report Bell order backlog is 5 Billion Military and 1 billion civil.
Any guesses as to which segment most of the investment is going into ?.

And I disagree about the economy , what Bell needs is new product not a constant re inventing of old products.

[Ian Corrigible]

+30shp, but you lose the ability to keep your costs under control with PMA parts.

I/C

[GeorgeMandes]

While Bell's long term success is going to be determined by new products, I disagree that Bell's problem today is primarily the need for new products. All you have to do is look at Cessna, where each of its jets (except the Citation X) is upgraded or new -- and they are getting killed financially. Cessna's revenues fell 43% in the fourth quarter.

When the economy deteriorates so quickly, that the 407 order book goes from four years out to you can have one today, that is not something new products can solve. It certainly didn't help Cessna.

As to the loss, aren't you confusing a loss for all of Textron with Bell? Textron got hammered with its financial services sector and is exiting that business at a big hit to earnings. Also, Cessna is a drag on earnings, but Bell is a bright spot because of its large military revenues to offset the free fall in commercial business.

[widgeon]

Yes GM.
The loss is for the whole group , I don't know if they publish by sector and with the large Military portion I expect that bell is on the whole profitable.
But if they were to sell of the Civil range it would be interesting to see how the rest of the industry would value it.

Is is interesting to see that the number of FN new helicopters both for Bell and EC that are for sale on Controller is way down from where it was last year.