Sikorsky consolidation?

[Cyclic Hotline]

What will the future bring?

INTERVIEW-Sikorsky sees helicopter sector consolidation

Reuters, 06.16.03, 10:03 AM ET

LE BOURGET, France, June 16 (Reuters) - U.S. helicopter maker Sikorsky sees overcapacity in the sector and is interested in consolidation with other players, President Dean Borgman told Reuters on Monday.

"We'd be interested in consolidating," Borgman said in an interview at the Paris Air Show. "I think there's overcapacity in the industry and I think eventually there will be some consolidation."

"I would think the priority would be to consolidate in the (United) States. I think that's where the overcapacity is," he said.

"If you look at the U.S. manufacturers, each of us is part of a larger corporation. I think if we were stand-alone, there would have been more consolidation," he added.

Sikorsky, a unit of United Technologies Corp, is one five global players in the helicopter sector.

Copyright 2003, Reuters News Service

[Dave_Jackson]

Nick,

Are you now in a position to answer my June 8th question? ;)

"Your avid support of the tail rotor configuration seems to be softening a little, at least in respect to the coaxial configuration. Is this a harbinger of a future relationship between Kamov and Sikorsky?"

_______________________

'Borgman said in an interview at the Paris Air Show. "I think there's overcapacity in the industry and I think eventually there will be some consolidation."'

IMHO, if significant improvements were being made in VTOL craft, the strong product demand would negate any call for consolidation.