Bae Systems Share Discussion Threads

[skinny] 20/2/2014 11:12

2 days running!

Cantor Fitzgerald Buy 400.25 490.00 490.00 Retains

[lateralam] 20/2/2014 10:46

Short term blip in my opinion. This time next year no one will remember. There's always a market for states that want technology to help them kill one another...

[bookbroker] 20/2/2014 09:02

Another waste of wonga spent on share buybacks here, seems to be that buybacks may create value in certain circumstances where there is so much cash on the balance sheet, in the case of Apple, and where the co. is generating such vast returns like Apple too, but perhaps best to just leave it there unless you are guaranteeing a return, albeit small, rather than just pumping the EPS!

[fangorn2] 20/2/2014 07:58

Pretty shocking figures it has to be said.

Large impairment charge, US related.
Declining cash flow.

Worse is the guidance, earnings per share to be 5-10% LOWER in this year. Presumably that is 5-10% lower pre impairment(underlying EPS 42p) rather than lower from the basic EPS per share of 5.2p!

[zeppo] 19/2/2014 17:31

Fingers crossed.

z

[wad collector] 19/2/2014 16:09

Dropped 20p since the opening - hope it is not a prelude to bad finals tomorrow.

[wad collector] 19/2/2014 08:44

The share price rise is salaam this morning. Apologies for my poor Arabic.

[fangorn2] 19/2/2014 07:51

BAE - Salam Price escalation "agreement" has been reached apparently
- Bloomberg Live!

RNS just hit



Great news.

[dafrog] 13/2/2014 09:21

Is this drop down to RR.? Would have thought the prospects for Defence growth is improving. Cameron isn't going to have his way for long, I expect.

[fangorn2] 12/2/2014 10:33

The F35 contract though is far larger in size than the Eurofighter though.
3000 aircraft vs how many Eurofighters after all the members have cut their requirements? 500?

F35 is the fighter of the future. Eurofighter is pretty old now despite taking ages to get into service.

[wad collector] 12/2/2014 08:55

I thought BAE was a bigger partner in the Eurofighter.

[yogi] 11/2/2014 22:47

Wad BAE has circa 15% of the F 35 program so is positive news for BAE.

[fangorn2] 11/2/2014 19:12

Wad,

"Lockheed Martin is the F-35 prime contractor, while Northrop Grumman and BAE Systems are principal partners in the project."

[wad collector] 11/2/2014 19:11

The UK is about to commit to the F-35 fighter project, a US-led effort to produce 3,000 aircraft which is set to cost more than £600bn globally.

The initial UK order for 14 F-35Bs will, with support costs added, cost about £2.5bn, Newsnight has learned.

Defence Secretary Philip Hammond said the F-35B was an expensive plane, but one with an "incredible capability".



This is presumably not good news for BAE.

[fangorn2] 05/2/2014 16:21

Indeed Yogi, but wouldn't we be better deepening such relationships rather than striking out on one's with France, a habitually unreliable partner. I'd also prefer we don't get sucked into a European Army, despite the cash constraints and resultant cutting of the British Army to the bone we currently see unfolding.

[dafrog] 05/2/2014 16:20

A few years ago I had a tour of the F35 production line and the flight line at Fort Worth. Very interesting place.

[yogi] 05/2/2014 16:16

Fang, from a BAE perspective there is a significant involvement with the US and Oz already e.g. 15% of the F35 programme in US, as for Australia BAE Australia is the largest defence company with several thousand employees.

[dafrog] 05/2/2014 16:15

Yes, agree. That was behind the alteration to the new carrier, to make it compatible with French aircraft. Had to do an about turn on that.

[fangorn2] 05/2/2014 16:11

Share similar sentiments Dafrog. We're better off signing agreements with the US, Canadians and Aussies frankly imo. Better capabilities.

Or we could just throw our lot in with the Russians - but bloody France!

[dafrog] 05/2/2014 16:09

Cameron is doing defence agreements with France as part of his aim to bolster reasons why we have to stay in the EU and eventually leave NATO and have Europdan Forces. The regions which are now UK, after we are abolished, will have Defence roles to play, ie, Estonia has the Minesweeping role assigned to it.

[squidsgone] 05/2/2014 15:51

... as for India - can't / won't be able to contract for a looooooong time yet. Watch this space post elections for how the competition might pan out

[yogi] 05/2/2014 15:44

In line with the recent Defence agreement signed by Cameron and Hollande. This is all about the UK operations of BAE, the Inc element may well be working on similar US programmes .....

[fangorn2] 05/2/2014 15:36

That hasn't stopped BAE's North American arm. And hasn't stopped Bae selling to key markets. Eg Saudi, ME, South Africa.

US a better and more capable partner than France imo. And I'd expect similar technology restrictions to exist in France.

[squidsgone] 05/2/2014 15:34

US will only allow certain technologies to be sold to certain countries .... that's why

[fangorn2] 05/2/2014 13:31

"Good foundation for work with France."

Why would we want to work with France? Better technological capability in US.
BAE is half American after all..