Airbus confirmed this week it plans to increase seating on its A320 aircraft from 180 to 186 seats, while maximum capacity on A321 aircraft will increase from 220 to 240 seats. Although full details will not be revealed until next month, the European Aviation Safety Agency also confirmed Airbus’ “process for significant modification” has already started.
On May 6 at the C4ISR & Networks Conference in Arlington, VA, Deltek’s principal research analyst, Alex Rossino, discussed an improving spending environment for Big Data services and technologies in 2016 and beyond, despite broader sequestration effects across all areas of the Federal budget.
International competition between the aerospace giants, Airbus and Boeing, continues to heat up as both companies secured multi-billion dollar orders in China this week. China Southern Airlines Company announced an order of 50 Airbus A320neo aircraft, as well as 30 A320 jets, with a combined order value of approximately $7.3 billion.
The House Armed Services Committee (“HASC”) unanimously approved a measure that would authorize just over $600 billion in defense spending for the 2015 fiscal year. The HASC’s version of the 2015 National Defense Authorization Act includes the Pentagon’s previously requested $495.8 billion base budget, as well as $79.4 billion for Overseas Contingency Operations (“OCO”).
There is considerable buzz in the marketplace about activity, with rumors abounding about potential public government and defense firms exploring strategic alternatives (e.g., Mercury Systems), as well as an expectation of continued divestitures (e.g., QinetiQ’s divestiture of its U.S. Services Division), as companies realign and refocus their growth strategies.
According to a new Deloitte report analyzing the financial performance of the top 20 major U.S. aerospace and defense sector companies, U.S. defense contractors posted a 2.6% revenue decrease in 2013.
Consolidation remains a key IT priority for the Department of Defense (“DoD”) and the nation’s Intelligence Community (“IC”). On March 18th, the Defense Intelligence Agency (“DIA”) released an RFP for its Enhanced Solutions for the Information Technology Enterprise (“ESITE”) contract vehicle, a 5-year, $6.0 billion, multiple-award IDIQ, designed to integrate IT services across national intelligence agencies.
Boeing’s first quarter earnings release this week offered generally clear skies, with a strong tailwind from its commercial operations. The world’s largest aerospace / defense company delivered 161 aircraft in the first three months of 2014, decidedly trumping Airbus’ 141 deliveries in the same period.