WASHINGTON - Third-quarter financial earnings reported in recent weeks reveal a stark economic divide in America’s aerospace industry, an export-rich sector that employs hundreds of thousands of manufacturing workers across all 50 states, Aaron Gregg reports for The Washington Post. Continue reading original article.
The Intelligent Aerospace take:
November 11, 2020 -In his piece for the Post, Gregg spoke with Ron Epstein, who is the managing director for aerospace and defense at Bank of America Merrill Lynch Global Research. Epstein says that companies that are majority defense are "doing fine," but, “It looks like it’s going to be a pretty rough winter for commercial aerospace,” Epstein said.
While Boeing's defense unit is doing relatively well, cratered demand for commercial aircraft has caused the aerospace giant to lay off 16,000 workers, with "thousands more" cuts planned before the end of next year. In addition, Raytheon Technologies announced it was cutting 15,000 staff and 4,000 contractors, largely at its Pratt & Whitney and Collins Aerospace divisions. In Raytheon Technologies' recently released third quarter report showed that Collins turned a profit, though it was down 94% compared to the quarter the prior year. Pratt & Whitney had an operating loss of $43 million, down 108% from the same quarter last year.
Jamie Whitney, Associate Editor