Cancellations Continue Into Q2 as Cessna's Revenues Drop

According to a report from parent company Textron, Cessna delivered 84 Citations in the second quarter of this year, compared with 117 for the same time period last year. Revenues also decreased by $630 million, a shortfall of some 42%. Profits were down also, to $48 million (from $214 million) due to low sales volume and other factors, including overhead expenses. Cancellations numbered more than 240 for the time period, including dissolution of the 74 orders for the cancelled Columbus large-cabin jet. Still, Cessna expects to deliver as many as 275 jets in 2009, virtually keeping pace with expectations. Further cancellations are expected to be offset by new sales.