Goodrich to Cut 2,400 Jobs, Shut 16 Plants
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Goodrich Corp., the largest U.S. maker of aircraft landing gear, will fire 2,400 employees, or 10% of its work force, and close 16 plants as airlines reduce flights and plane makers slash production.
Profit will be less than forecast next year and sales are expected to fall by as much as 10%, Goodrich said. Profit excluding some items will be $3 to $3.10 a share this year, less than the $3.12-average forecast of analysts surveyed by Thomson Financial/First Call.
Goodrich sells wheels, brakes, de-icing and other equipment. Airlines have pared schedules by about 20% and canceled deliveries after the Sept. 11 terrorist attacks.
Third-quarter net income rose 10% to $88 million, or 83 cents a share, from $79.9 million, or 77 cents, a year ago. Sales rose 13% to $1.05 billion.
Excluding consolidation costs, Goodrich said third-quarter profit would have been 84 cents a share. That’s more than the 80-cent average estimate from four analysts surveyed by First Call. Those results include profit of $7.8 million, or 7 cents, from discontinued operations, the company said.
Shares of Goodrich rose $1.42 to $22.08 on the New York Stock Exchange. The Charlotte, N.C.-based company’s stock had dropped 43% this year.
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