Cessna Parent Textron Sees Bizjet Recovery in 2011
During a Textron business update yesterday, company chairman and CEO Lewis Campbell said he is seeing trends of economic stabilization, though he admitted that subsidiary Cessna Aircraft is still “fighting its way through the most difficult down cycle, maybe in the history of the business jet industry.” While he added that 2010 is going to be a “tough year” for Cessna, he believes that the business jet business is “very strong” over the longer term, with a “modest recovery” expected in 2011. Campbell projects that revenues at Cessna will grow by 6 to 8 percent annually over the next four years. Textron president and COO Scott Donnelly later said he is now seeing positive trends for Cessna, such as an easing of pre-owned Citation inventory over the past four consecutive months and a flattening out of average daily business jet utilization through the summer after more than 18 months of decline. Meanwhile, Campbell said the outlook for the company’s Bell Helicopter division is a little brighter, with the softening for civil helicopters orders more than offset by defense sales. He projects that Bell will see 9- to 11-percent annual growth in revenues between this year and 2013.