Monday, July 21, 2008

Hexcel sells ownership share of Chinese aerospace firm

By Mass High Tech Staff

Hexcel Corp. reports it has sold its share in a Chinese company to the Boeing Co. for $22.3 million. 

Under the deal, Chicago-based Boeing (NYSE:BA) becomes the majority owner in BHA Aero Composites Parts Co. Ltd., a joint venture between Boeing and China’s Aviation Industry Corp., specializing in composite secondary structures and interior parts for the aerospace industry.

In May, Hexcel (NYSE: HXL) landed a contract that could be worth $5 billion to provide Airbus SAS with aircraft materials. Under the contract, Hexcel provides carbon fiber composite materials for the primary structures of the Airbus long-range wide-body A350 XWB aircraft, which is still in the design process.

Stamford, Conn.-based Hexcel reported a 2007 net income of $61.3 million on revenue of $1.2 billion.