Cessna Aircraft, a division of Textron, continues to drag earnings for Textron down as the company continues its efforts to restructure. So far over 4,600 of the 6,200 persons laid off by Textron have been at Cessna Aircraft as demand for its aircraft continues to decline.
If memory serves me right general aviation has usually been the last to feel the effects of an economic slowdown, and the last to recover. I would guess that this is because of the long lead time between aircraft sales and aircraft deliveries. Aircraft manufacturers are not able to produce vehicles as quickly as say an automobile manufacturer.
Sales at Cessna have fallen by some 38% while the Bell helicopter unit of Textron continues to experience growth, in large part because of military helicopter acquisitions.
In the meantime the CEO for Piper Aircraft, James Bass, said the effect of the U.S. government’s “assault” on general aviation will linger much longer. His remarks, made Tuesday at the Sun ’n’ Fun Fly-In in Lakeland, Fla., were a biting criticism of government officials and media outlets that are spreading the off-base message that “private aircraft equal corporate excess…that’s the new equation, and Washington has made it a sound bite that no politician seems able to resist.
Given the excesses by our government and its leaders it is difficult to swallow the criticism of a critical part of our transportation system. Political retoric to curry favor with an unsuspecting public to carry out the redistribution of wealth in the United States by an out of control administration is leading our country down a path which many believe will result in the United States losing its leading role in the world economy.
Just last night President Obama stated again that this is "the worst economic crisis since the Great Depression", a statement which is completely false. Unemployment is no where near where it was in the Great Depression, and while economic growth is negative interest rates are no where near where they were under Carter.
It is time for more conversation about facts and less false statements to further frighten an already frightened public. Someone please stand up and tell the truth! We need general aviation, and so do the airlines. There are not enought pilots in the military to replace all of the retirements coming, so don't be surprised if the new wave of pilots for the airlines are not Americans.
Until next time keep your wings straight and level Hersch!
"When once you have tasted flight, you will forever walk the earth with your eyes turned skyward, for there you have been, and there you will always long to return."