To the "thread,"
Vis-a-vis BE Aerospace's announcement of yesterday. I haven't reproduced the entire piece, but have done so for the body of the release:
OCT 31, 1997, M2 Communications - B/E Aerospace Inc. (Nasdaq-NMS: BEAV) announced today a clarification of certain matters regarding its recent British Airways (BA) seating order. On Oct. 27, 1997, B/E announced that it had been selected to provide main cabin seating for 100 percent of BA's fleets of Boeing 777 and 747 aircraft as part of a major program being undertaken by British Airways.
The company has received numerous inquiries regarding an Oct. 15, 1997, press release by Simula Inc. in which Simula indicated that it had received an order from British Airways for three shipsets of main cabin seats for B777 aircraft.
B/E is confirming herein that B/E has indeed been selected to provide 100 percent of both the BA "Club World Cradle" seat and 100 percent of the main cabin World Traveler seats in 100 percent of BA's fleets of Boeing 777 and 747 aircraft. In addition, B/E is the sole provider of Variable Geometry Seats for BA's B767 fleet and its short-haul narrowbody fleet. As previously reported, the program is initially valued at $40 million and is expected to become substantially larger over time. Upon the completion of the BA seating programs, B/E will have an installed base of well over 60,000 passenger seats in the BA fleet.
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A very interesting and carefully crafted press release. The key sentence is:
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"B/E is confirming herein that B/E has indeed been selected to provide 100 percent of both the BA "Club World Cradle" seat and 100 percent of the main cabin World Traveler seats in 100 percent of BA's fleets of Boeing 777 and 747 aircraft."
I can't speak for the rest of you, but it sure is obvious to me that BE Aerospace is shipping British Air 100% of the seats that it is shipping British Air. <guffaws>
One could reasonably assume that the seats that Simula will be providing British Air aren't called "Club World Cradle" or "World Traveler" seats.
My comments from yesterday stand. Despite their momentary lack of profitability, Simula is impacting the industry. It is *still* bizarre that a $ 1.5 million seat sale (one year in the future!) would necessitate a press release by BEAV.
I am looking forward to whatever additional press releases are forthcoming when Simula signs yet another BEAV client. They too will make for interesting reading. |
