This month, Congress successfully passed a $1.1 trillion omnibus spending bill, which funds government operations through September 30, 2014. The bill was signed by President Obama shortly after arriving with significant momentum, having passed with a 359 – 67 bipartisan congressional majority.
Earlier this month FireEye, the provider of software-based malware protection systems that went public only last September , announced its acquisition of Mandiant, a provider of threat detection and response solutions, which rose to prominence after linking certain cyber-attacks to a unit of the People’s Liberation Army in February 2013.
Bombardier’s rough beginning to 2014 continues as the company announced it would lay off approximately 1,700 employees from its aerospace division, or 4.4% of its aerospace workforce, due to continued difficulties within the tough market and ongoing delays of its CSeries line of aircraft.
On Thursday the Senate approved a $1 trillion omnibus spending bill for FY 2014, which was approved by the House of Representatives on Wednesday with broad bipartisan support. President Obama is expected to sign the legislation before the current stop-gap funding measure expires on Saturday
Boeing started the year on a high note as the Company announced it set a new record of deliveries in 2013 in addition to coming to an agreement with machinist union members surrounding assembly work for the new 777X. Driven by high production rates on the 737, 777, and 787 lines of aircraft, which the OEM has been steadily ramping up over the past few years, Boeing delivered 648 commercial aircraft in 2013.
2014 looks to be an important year for execution for three major aerospace OEMs and their newer model landmark aircraft. Airbus is now facing a crucial twelve months as it enters the second half of the A350-900 flight-test program and moves towards addressing items required for certification.
M&A activity in the aerospace / defense industry in 2013 was decidedly mixed. The headline is that 158 industry transactions were announced during the year, down from 2012’s 177 transaction announcements (see chart below).
Ending a year that witnessed several high-profile cybersecurity breaches, December saw two of the year’s largest. National retailer Target Corp. reported a breach of it users’ credit and debit card data that affected approximately 40 million accounts, with the perpetrators gaining access to card numbers and encrypted PIN data.