"Sterling's performance since Theresa May pulled off a surprise deal with EU negotiators has been lacklustre at best. That it sank below $1.34 tells you what the market thinks.At best, this is just the end of the beginning for Britain's extraction ..."
This 534p Friday nicely bouncing off 1 year lows.
This was resistance on the 3 year chart. I suspect resistance turned support at one year lows. Sp had just shed a tad over 20%.
Good time to buy. Only imo.
Do as you wish. I've bought in today.
It looks like BAe has fallen foul of Parkinson's law: the adage that "work expands so as to fill the time available for its completion". It also applies to the growth of the bureaucratic apparatus in an organization.
I saw this when I worked for a County Council. When central funding was dramatically reduced, the council shed 50 workers from the Social Services department with no noticeable reduction in the services provided.
"LONDON (Alliance News) - BAE Systems PLC on Tuesday said it is to cut 1,925 jobs across the company as it outlined plans to restructure the business, mainly impacting workers in Lancashire, Yorkshire, Norfolk, Portsmouth.
BAE - which also said it still expects annual underlying earnings to rise between 5% to 10% this year - was down 0.2% on Tuesday afternoon at 617.50 pence.
Following reports from the BBC that up to 1,000 jobs could be cut by BAE on Tuesday, the defence blue-chip said it would be scrapping its Platform & Services divisions in the UK and from its International operations, which will involve cutting 1,925 jobs from three divisions.
BAE employs a total of 34,600 people in Britain, and including its worldwide operations centred around Australia, India, Saudi Arabia and the US, its global workforce stands at around 83,100.
Having taken over as Chief Executive in July, Charles Woodburn had said at the time of his appointment that he was keen to look at making efficiencies and streamline the business.
The changes will take effect from the start of 2018, but the US-managed business is unaffected by the restructuring.
To replace the two divisions that are to be scrapped, BAE is to streamline the business to see "strengthened" Air and Maritime sectors, it said.
Up to 1,400 roles will be cut from its Military Air & Information business. This is to "ensure production continuity at competitive costs over the medium term" and is based on currently contracted and expected aircraft deliveries that forecast a reduction in current Typhoon and Hawk production rates.
Those roles will be axed across five sites over the next three years, including Warton and Samlesbury in Lancashire. Jobs will also be lost at Brough in East Yorkshire and at RAF bases in Marham in Norfolk and Leeming in North Yorkshire.
BAE is facing an order gap for the Typhoon so production is being slowed ahead of an expected order from Qatar. Production of the Hawk jet aircraft is ending in the next few years, affecting the Brough site, although Qatar could place a new order which would keep production going for a few more years.
Around 400 redundancies are being planned at Brough.
Most of the military air job cuts will go in 2018 and 2019, with some planned for 2020 and BAE said its goal is to achieve as many voluntary redundancies as possible.
Qatar has signalled its intent to buy 24 Typhoon aircraft from BAE, and BAE said on Tuesday that negotiations are progressing to agree a contract with the government of Qatar, which, if secured, would sustain Typhoon production jobs, and manufacturing "well into the next decade."
"However, the timing of future orders is always uncertain and, to ensure production continuity and competitive costs between the completion of current contracts and anticipated new orders, we now plan to reduce Typhoon final assembly and Hawk production rates," BAE explained.
The letter of intent also included the intention to purchase six Hawk aircraft. The job cuts and restructuring efforts have been made even though BAE, despite needing to finalise the order, has included these six aircraft in its production planning.
Including those six aircraft alone before securing a firm order means Hawks will be manufactured for 12 months longer than without the order being included, albeit at a reduced rate.
"We are actively pursuing additional orders which, if secured in the next year, would further extend Hawk manufacturing," BAE said.
Meanwhile, following the UK government's confirmation that the RAF's Tornado fleet will be taken out of active service in 2019, Tornado support and sustainment activities at RAF Marham and RAF Leeming are progressively winding down and will cease at that time. However, the presence in Marham is sustained longer term by F-35 sustainment activities.
Another 375 roles will be cut from the Maritime Services unit, mainly affecting Portsmouth where around 340 of those job
Yes this is correct. To be done over 3 years, mainly through TVS I understand. Lots of fat to trim off here. From what I can see it has oodles of staff who are office based and probably have never even seen an engineer.
New CEO is an external man who looks like he's going to drag the company kicking and screaming into this century.
Guess you've got it now, appamama. Looks good to me. There must be sooo much fat to trim. One of my kids had a temp job with the MoD once, and couldn't believe the time-wasting that went on. I know BA. isn't the MoD, but....
Warton and Samlesbury, Lancashire - 750
Brough, East Yorkshire - 400
RAF Marham and RAF Leeming - 245
Portsmouth and Solent region - 340
London, Guildford and other Applied Intelligence locations - 150
Other UK locations - 30
TOTAL - 1,915
"Woodburn, a former oil industry executive who spent 15 years at Schlumberger (SLB.N), said he had taken a good hard look at BAE in the 15 months he spent as chief operating officer before taking over from Ian King as CEO in July.
The Cambridge University electrical engineering graduate said BAE expected to benefit from governments spending more on defence in some of its biggest markets, but it could still do more to improve efficiency.
We will do that by continuing to be focused on our costs as well as bringing together the power of the group more effectively, collaborating to the benefit of our customers, he said.
He pointed to work by business units in Australia and the United States on the Land 400 combat vehicle project in Australia as an example of successful collaboration.
BAEs largest markets are Britain and the United States, and it also has substantial operations in Saudi Arabia, India and Australia.
It has long been expecting a major follow-on Typhoon order from Saudi Arabia but Woodburn declined to comment on the prospects on Wednesday.
I am certainly not going to speculate on Typhoon, other than to say we are confident we will get future Typhoon orders in the portfolio, he told reporters."
So maybe the triennual, or whenever, head count days are over.
"LONDON (Reuters) - British defence company BAE Systems will announce more than 1,000 job cuts this week, mainly affecting its Warton plant in Lancashire, north England, where it assembles the Eurofighter Typhoon fighter jet, Sky News said on Monday.
BAE Systems was not immediately available to comment."
I doubt that the job losses are a result of a trading down-turn (could be wrong..), but more the result of the traditional head-count. But this is 2017 and they shouldn't still be engaging in that antiquated mode of running a company
It was fairly recently that the heavy squad were called in to force BA. to pay a supplier money owed - not because BA. couldn't afford it, but because the left hand didn't know what the right hand was doing.
Somebody needs to get a grip, and slim down this behemoth. Hopefully, that's what's happening.
"BAE Systems (LSE:BA.)We were going to cover the US firearm industry, specifically focusing on ammunition sales on the basis a gun is sold just once. But the fuel it requires is an ongoing industry.Adopting the UK moral high ground fell apart when ..."
" BAE SYSTEMS (LSE:BA.) We were going to cover the US Firearm industry, specifically focussing on ammunition sales on the basis a gun is sold just once. But the fuel it requires is an ongoing industry. Adopting the UK moral high ground fell ..."
That's an unusual mix of aircraft types. Typhoon is a pure fighter with some ground attack (GA) capabilities. The F-15QA and the Rafale are primarily GA aircraft. Three completely different aircraft from 3 different countries. Maintenance and support costs will be astronomical.
"DOHA (Reuters) - Qatars defence minister has signed a letter of intent to purchase 24 Typhoon jets from British defence group BAE Systems, in a move that could anger other Gulf countries boycotting Doha.
Saudi Arabia, the UAE, Egypt and Bahrain cut diplomatic and trade links with Qatar on June 5, suspending air and shipping routes with the worlds biggest exporter of liquefied natural gas, which is home to the regions biggest U.S. military base.
The letter of intent includes the ministrys intention to purchase 24 modern Typhoon aircraft with all their equipment, state news agency QNA reported on Sunday.
The agreement was signed by Minister of State for Defence Affairs Khalid bin Mohammed Al Attiyah and his British counterpart Michael Fallon, QNA added.
This will be the first major defence contract with Qatar, one of the UKs strategic partners, Britains Ministry of Defence said in a statement, adding that talks over a deal had taken several years.
We also hope that this will help enhance security within the region across all Gulf allies.
The Eurofighter Typhoon is a joint project between BAE, Frances Airbus and Italys Leonardo, previously known as Finmeccanica, and supports an estimated 40,000 jobs in Britain.
Neither statement gave the cost of the combat jet deal. BAE had agreed in 2014 to supply Saudi Arabia with 72 Typhoon jets in a deal worth 4.43 billion pounds.
Fallon told a conference in London on Saturday that the British government would step up efforts to help BAE Systems to sell more Typhoon jets with government-to-government deals.
The Typhoon has attracted fewer orders this year than the rival Rafale built by Frances Dassault Aviation, which has agreed deals with Egypt and Qatar.
Qatar also signed a deal in June to buy F-15 fighter jets from Boeing Co in the United States for $12 billion and concluded a 5 billion euro ($6 billion) deal with Italy for seven navy vessels.
The wealthy Gulf state has been accused by its neighbours of supporting terrorism and meddling with Iran, Saudi Arabias arch-rival in the region. Qatar denies the accusations.
The crisis has put the region on edge and prompted Turkey to send troops to Doha in a sign of support."
That was a bit of a blow, but BA.'s just going to have to shape up. Nothing wrong with competition, just as long as BA. don't cut the wrong sort of costs - the cheap road hath no ending. Made that up meself, and proud of it .
British industry will build 15 percent of each of the more than 3,000 planned F-35s, generating significant export revenue and GDP growth. The program is projected to create and support more than 24,000 jobs across every region of the United Kingdom.
"With sales and profits ahead of expectations, the new boss of LSE:BA.:BAE Systems couldn't have asked for a kinder introduction to the results-day hot seat. Share price reaction has been mixed, however, and after making a three-week high in early ..."
It was a relatively small deal in aerospace terms but one for the long term. Turkey has a very large standing army and since 1998 been modernising its armed forces including being a F-35 partner. The opportunities for future contracts can only be more promising.
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