News in Brief

Business Buzz ¦ BTC Electronic Components Inc., an authorized, stocking and value-added distributor specializing in high reliability connectors for aerospace, military, industrial and medical applications, announced its AS9100 certification. The...


¦ Air Transport Services Group Inc. a diversified family of air cargo related businesses, reported a sharp increase in net income for its second quarter ended June 30, 2009. ATSG earned $8.1 million, or 13 cents per common share, for the quarter ending June 30, 2009, compared with a net loss of $526,000, or one cent per common share, in the second quarter of 2008. On a pre-tax basis, ATSG earned $11.9 million in the second quarter this year, of which the DHL segment provided $5.7 million, and aircraft leasing provided $5.8 million. ATSG’s revenues were $235.1 million for the second quarter of 2009, compared with $394.9 million in the second quarter of 2008. The decrease of $159.8 million, or 40 percent, reflected a reduction in reimbursements for fuel expenses, and a reduced level of services performed for DHL, ATSG’s largest customer, which reduced the scope of its U.S. operations in January 2009.

¦ Task Force Tips announced it will be opening a new world headquarters. The new facility adds 98,000 square feet of manufacturing space and 20,000 square feet of office space to the existing 50,000-square-foot location.

¦ IATA announced international scheduled traffic results for June showing passenger demand declining 7.2 percent compared to the same month in the previous year while freight demand was down 16.5 percent. International passenger load factors stood at 75.3 percent, down from 77.6 percent recorded in June 2008. The 7.2 percent drop in international passenger demand was a slight improvement on the 9.3 percent fall in May. The capacity adjustment of -4.3 percent did not keep pace with the fall in demand leaving average fares and yields under significant pressure. As a result, June revenue on international markets fell by 25 to 30 percent. Cargo demand remained weak at 16.5 percent below June 2008 levels. Notably ,the decline moderated in both premium and economy travel in June. The number of passengers traveling on economy tickets has shown signs of reaching a floor since March, but until June that seemed largely due to business travellers switching from premium to economy seats rather than any underlying stabilisation of demand. In June numbers travelling on economy tickets fell by 5.5 percent compared to a larger 7.6 percent decline in May. The decline in premium travel numbers also moderated, from 23.6 percent in May to 21.3 percent in June.

¦ JBT Corporation reported second quarter 2009 results. Second quarter 2009 revenue of $230.2 million declined 17 percent from second quarter 2008 or 11 percent in constant currencies. Segment operating profit was $22.5 million, down 10 percent from the prior-year quarter. During the quarter, the company incurred approximately $1.3 million in restructuring charges from cost reduction actions taken to respond to the continued economic slowdown. Excluding these charges, segment operating margin improved 130 basis points to 10.3 percent over the same period a year ago. Diluted earnings per share from continuing operations for the second quarter were $0.34, representing a 17 percent decline from $0.41 diluted earnings per share from continuing operations for the prior-year period (calculated on a pro forma basis to include comparable debt and interest expense) and a 28-percent decline from the prior-year second quarter GAAP diluted earnings per share of $0.47. Restructuring charges and negative translation impact from the stronger U.S. dollar accounted for $0.07 of the decline. Cash generated from operating activities totaled $21.8 million for the quarter. Debt, net of cash, was $132.4 million down from $143.1 million in the first quarter 2009.

Partnerships/Acquisitions/Contracts

¦ TLD has announced an agreement with Aero Industrial Sales Company to solely represent, market and sell the TLD ground support equipment on dedicated African countries. Aero industrial Sales Company is located by JFK International Airport and has distributed aircraft spare parts, materials and GSE for the last two decades

¦ Advanced Ground Systems Engineering LLC (AGSE) announced the signing of an agreement to purchase the assets of Eaton Corporation’s ground support equipment product line, which operates under the Stanley Aviation trade name and had sales in the prior 12 months of $3.0 million. AGSE plans to combine the engineering, manufacturing, sales and support of Stanley GSE products with those of their own at their headquarters in Santa Fe Springs, Calif.

¦ Swissport Geneva announced to two recent developments. The Geneva arm of the provider of ground services to the aviation sector has had its operating license extended for an additional seven years to 2016 by airport authority AIG; and Swissport Geneva will also be jointly founding a new company named GVAssistance to offer special services at the airport, initially for a five-year period. Both licenses were secured following open tender invitations, further underlining Swissport’s strong standing at this key airport location.

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