This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Precision Castparts Buys Synchronous Aerospace

PORTLAND, Ore. (AP) â¿¿ Defense contractor Precision Castparts Corp. said on Monday that it has agreed to buy Synchronous Aerospace Group, which makes mechanical assemblies for commercial and military planes.

Precision Castparts said it was paying an undisclosed amount in the cash deal. It said the deal should close by the end of December and would add immediately to earnings.

Synchronous makes flight controls, wing ribs, bulkheads, and other airplane parts. It employs about 700 people in Santa Ana, Calif., where it has its headquarters, and in Kent, Wash., Wichita, Kan., and Tulsa, Okla. It is a portfolio company of the private investment firm Littlejohn & Co. of Greenwich, Conn.,

Precision Castparts Chairman and CEO Mark Donegan said it was "another tuck-in acquisition that will make a strong contribution as we continue to expand our aerostructures capabilities." He also said that Precision Castparts will be able to handle some functions that Synchronous had previously had to buy from other companies, such as fasteners (which include bolts and rivets) and metal forging and casting work.

Sterne Agee analysts Peter Arment and Josh W. Sullivan noted that this is fifth recent deal, and the fourth time this year, where Precision Castparts has bought an aerospace supplier. Previous deals included McSwain, Centra, Klune, and Primus.

Shares of Precision Castparts fell $1.25 to $178.09 in afternoon trading. Its shares peaked for the past year at $182.40 two weeks ago. They fell as low as $150.53 in early August.

Copyright 2011 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,034.93 +208.63 1.17%
S&P 500 2,100.40 +19.22 0.92%
NASDAQ 4,994.6020 +62.7870 1.27%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs