Aerospace jobs boosted by Airbus profit growth

THOUSANDS of jobs in the Midlands aerospace industry have received a boost following the announcement by Airbus parent EADS of a return to profit.

The company said revenues had risen 7% in 2010 as the recovery in global aerospace markets continued to be felt. Net profit for the group was £476m, which compared with a loss of around £650m in 2009.

The Midlands Aerospace Alliance said around Airbus supported around 10,000 jobs in the region right through the manufacturing supply chain and if orders were improving this was a positive sign for the whole industry.

Andrew Mair, MAA chief executive, said: “This is very positive from the viewpoint of manufacturing in the Midlands, while it also supports the Government’s strategy of promoting export-led growth.

“Probably around two-thirds of the suppliers in the region will be involved with the Airbus programme through Rolls-Royce.”

A further boost to Airbus – and the aerospace industry as a whole – has come from airline Cathay Pacific, which has announced a multi-billion dollar deal for new aircraft.

The Hong Kong-based airline is ordering 15 new A330-300 planes, while in a separate agreement it has also placed an order with Airbus rival Boeing for 10 new 777-300ERs.

Speaking on the performance of EADS as a whole, chief executive Louis Gallois said: “2010 was a year of significant progress for EADS. Commercial aircraft orders exceeded expectations and our cash flow generation was excellent.

“We took huge steps forward in managing and controlling key programmes: A400M has been substantially de-risked and A380 production is improving steadily.

“At the same time, we are paying the closest attention to the A350 programme, to the evolution of defence and space budgets and to the recovery of the helicopter market.”

He said the group’s key priority now was to further improve profitability in order to build a solid foundation for sustainable growth.