26th Jun 2007 07:01
BBA Aviation PLC26 June 2007 26th June 2007 Trading Statement BBA Aviation plc today issues its regular trading statement ahead of its interimresults for the half-year ending 30th June 2007, which will be announced on 30thAugust. During the first six months of the year our businesses have continued to performwell and we expect to make good progress against the first half of 2006 on aconstant currency basis. In the Flight Support division both Signature and ASIG have performed stronglyin the first half of the year. Signature fuel volumes have continued well aheadof last year's driven, in particular, by demand from the fractional operatorsand for the first half we expect organic sales growth of approximately 8 percent. The acquisition of Executive Beechcraft, announced on the 26th April, isexpected to be completed by the end of July and we continue to work on otheropportunities to expand our network globally. In ASIG, a significant effort hasbeen made to reduce costs. This, together with the exit from uneconomiclocations in 2006 and a good de-icing season earlier in the year, is expected tolead to a much improved performance compared to the first half of 2006. In Aftermarket Services and Systems, the Engine Repair and Overhaul businesscontinues to make good progress with increased demand on a number of engineprogrammes. Ontic is performing ahead of our expectations and is working onseveral additional licensing opportunities. Our other component repair anddistribution businesses have seen some reduction in demand for reconditionedengines but this is expected to improve in the second half of the year. The APPHgroup will benefit from the recently announced Finmeccanica C27J Joint CargoAircraft for the US Military where APPH, in conjunction with their Italianpartner Magnaghi, is responsible for the supply of landing gear systems. Thisprogramme is expected to generate in excess of $60 million of revenue for APPHfrom original equipment and logistical support over the next 10 years with thefirst deliveries expected in 2008. Overall, our Aftermarket Services and Systemsbusinesses continue to perform in line with our expectations. We announced last week the disposal of the Oxford Aviation Training business for£32 million to GCAT Flight Academy realising a profit on disposal of c. £20million. Commenting on the trading statement Simon Pryce, Chief Executive said: "I am pleased with the positive progress the Company is continuing to make. Ourbusinesses have performed very well in the first six months of the year andstrong market conditions look set to continue into the second half of 2007. Weare working on a number of acquisition opportunities in our core businesses andhave made further progress in rationalising our portfolio. We are confident thatwith continued strong organic growth in our markets we can make good progressfor the year as a whole on an underlying basis." Enquiries: BBA Aviation plcAndrew Wood, Finance Director020 7514 3999 Brunswick Group LLPLucie Anne Brailsford / Jemma Hill020 7404 5959 Notes to Editors BBA Aviation BBA Aviation is a world leader in aviation services focusing on Aviation FlightSupport and Aftermarket Services and Systems. BBA Aviation provides flightsupport services for corporate and commercial aviation customers as well asmaintenance, repair, overhaul and spare parts for aircraft engines. It alsosupplies aviation components, landing gear and hydraulic systems. These areattractive niches in a $250 billion market with clear barriers to entry, whereBBA Aviation has leading positions, well-known and reputable brands and a proventrack record of organic and acquisition-led growth. BBA Aviation was formerly part of BBA Group, but following the demerger ofFiberweb, in November 2006 it became a stand-alone aviation services business. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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