Cessna Slows Citation Production, Citing Global Economy
Textron, the parent company of Cessna, announced on Tuesday that "due to continued softening in the global economic environment," it is revising its 2009 Citation jet production schedule. The company had previously targeted about 535 Citations for delivery in 2009, up from about 475 planned for 2008. The number of layoffs hasn't been tallied.The company said that while it is still working on a detailed plan, it expects deliveries will be up only slightly over 2008 next year, although the Mustang program will continue to grow. Overall, the company estimated 2009 Cessna revenues for next year will hold about the same as this year. "As we look out to the next two to three years, it is prudent for us to evaluate the proper level of jet production and deliveries to avoid significant variations and inefficiencies in annual production," said Textron CEO Lewis Campbell. "We now believe that planning for more consistent levels of production during the next several years will best serve our shareholders, customers and employees."
Cessna's expected revenues for 2008 are about $5.9 billion, a new record, Textron said.