Another Victim of These Tough Economic Times Succumbs

We keep hearing about how the economy is about to turn around any minute now... but in the mean-time, the aviation landscape is being littered with a terrifying body count... this time a major airframe parts fabrication plant.  Goodrich Corporation has  announced it will close its Marble Avenue landing gear facility in Cleveland, Ohio by the end of 2012 due to 'program volume decline and the lack of appropriate new work to cost-effectively fill available capacity.'

In other words... the economy still sucks. 

Approximately 400 employees are located at the facility which supplies a range of landing gear equipment for commercial and military customers. The activities currently performed at Marble Avenue will be gradually transferred to other landing gear facilities.

On the financial side of the game, the cost is considerable. Goodrich will record a charge associated with the facility closure. The company expects to record pre-tax charges totaling approximately $39 million of which 40 percent are non-cash. Approximately $16 million ($0.08 per diluted share) will be recorded in the second quarter of 2011 and approximately $5 million ($0.03 per diluted share) will be recorded in the second half of 2011. Approximately $15 million ($0.07 per diluted share) will be recorded in 2012. None of these charges were included in the company's 2011 outlook, released on April 21, 2011. The 2011 outlook will be updated for these items and other business-related revisions as part of the company's second quarter results press release on July 28, 2011.

Goodrich is a global supplier of systems and services to aerospace, defense and homeland security markets.

FMI: www.goodrich.com