User talk:Michaelmayes

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[edit] BAE Systems Avionics

Hi Michael. I note you have some of the same interests as myself, particularly BAE Systems and its predecessor companies. As such I'd really appreciate it if you could answer a question of mine. BAE is selling its avionics business, it must make business sense, but is this not abandoning major capabilites (never mind history)? Mark 20:51, 29 Apr 2005 (UTC)

I'll have to be careful in publicly airing the personal opinions I have on this subject for reasons that you can probably guess, but I'll have a quick shot at it

Thinking about the history angle, it is obviously sad to another set of sites go into foreign ownership (although they remain open and busy, for now at least) and to see some more names go by the wayside. This does however follow a trend that goes back to the First World War and has seen such (then) glorious names as Hawker-Siddeley, Ferranti, Plessey, GEC and BAe disappear. This time around it is only AMS that goes and there is probably not the same level of historical and emotional attachment, especially as not all are sad to see the back of a joint venture

I can't really comment on the business aspects of the avionics deal (mainly because I don't know much about them), but this appears to follow the pattern of aiming to divest of non-core interests (Airbus? Shipbuilding? Atlas Electronik?) that BAE Systems has been alleged by the media to be be following. Yes Avionics is still a major and sensitive capability, but it doesn't seem one that has been much of a lucky charm lately for the business and is now dwarfed in size by the corresponding operations over at Finmeccanica. Anyhow they are both part of the 75%/25% joint venture SELEX S&AS which was launched today so too late to ponder now I guess. I think it became something of a sacrificial lamb, offered up in order to ensure that BAE Systems was able to hang onto it's more prized possessions in command & control and C4ISR, which it intends to grow greatly in order to capitalise on the booming Homeland Security demand in the United States Michael 12:22, 02 May 2005 (UTC)

Thanks for a very full answer!! You're right about Avionics being dwarfed - the 2003 results I added to BAE SYSTEMS states a profit of £12 million, compared to £232 million for BAE Systems North America! Thanks again Mark 16:59, 3 May 2005 (UTC)