Wichita, KS (PRWEB) August 8, 2007
Hawker Beechcraft Acquisition Company, LLC (HBC) reported strong cash flow from operations for the second quarter 2007 with an inflow of $93.8 million versus an outflow of $2.4 million for the second quarter 2006. The increase in second quarter 2007 operating cash flow was favorably influenced by increased customer deposits and payments received on general aviation financing receivables.
Total net bookings for the second quarter 2007 were $1,908.2 million compared to $566.8 million in the second quarter 2006. During the second quarter 2007, HBC announced an agreement to sell 32 Hawker 4000 aircraft to NetJetsÂ® Europe, GmbH, a subsidiary of the worldÂs leading fractional company. The company ended the second quarter 2007 with a record backlog of $5.1 billion, compared to $2.7 billion at the end of the second quarter 2006.
ÂThe world-wide general aviation market continues to be strong and our new product introductions have been very well received by our customers, resulting in an all-time high backlog of $5.1 billion,Â said Jim Schuster, chairman and CEO.
The Company reported a second quarter 2007 operating loss of $36.6 million. The loss is principally due to the effects of purchase accounting related to the acquisition of the business from Raytheon Company. The company recorded additional non-cash operating costs of $57.9 million during the second quarter of 2007 as a result of the step-up in the cost basis of finished goods, work in process inventory and long term assets. The timing of new commercial aircraft deliveries to international customers and the product mix of aircraft delivered also adversely impacted operating results.
Net sales for the second quarter 2007 were $701.1 million, down 10.2 percent from $780.4 million in the second quarter of 2006. During the second quarter 2007, HBC delivered 109 total aircraft compared to 107 aircraft deliveries during the second quarter 2006. Sales declined from the prior year due to a change in the mix of aircraft deliveries, the completion of a contract with a Raytheon affiliate and a non-recurring revenue adjustment on the JPATS contract in 2006.
Financial and other information for the second quarter 2007 is available on the CompanyÂs website at http://www.hawkerbeechcraft.com.
Conference call on the Second Quarter 2007 Financial Results
Hawker Beechcraft Acquisition Company, LLCÂs second quarter 2007 earnings results conference call will be at 9:00 a.m. CDT on Wednesday, August 15. To attend, please register at:
Once you have registered, you will be provided with the information you need to join the conference, including dial-in numbers and pass codes.
A recording of the earnings call will be posted to the website on the afternoon of Wednesday, August 15.
Hawker Beechcraft is the worldÂs leading business, special-mission and trainer aircraft manufacturer Â designing, marketing and supporting aviation products and services for businesses, governments and individuals worldwide. The companyÂs headquarters and major facilities are located in Wichita, Kan., with operations in Salina, Kan.; Little Rock, Ark.; and Chester, England, U.K. The company leads the industry with a global network of over 100 factory-owned and authorized service centers.
Note to Editors:
On March 26, 2007, Raytheon Company completed the sale of its wholly owned subsidiary Raytheon Aircraft Company to Hawker Beechcraft Inc., a new company formed by Onex Partners and GS Capital Partners, an affiliate of Goldman Sachs, for approximately $3.3 billion in cash. The sale was first announced on December 21, 2006.
A member of the General Aviation Manufacturers Association.
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