MD Helicopters

copter doctor · November 20, 2005

Just wanted to get others opinions on where MD is headed? I saw an article in AIN in which they talked to Lynn Tilton, the lady who is calling the shots for MD right now. They asked her about the continued production of the 500E and 530F. She stated that only the NOTAR models would stay in production. Seems like a bad move to me. None of the NOTAR models have the performance of the 530F. They do seem committed to turning things around, but I don't know if that is a good move or not. Just wondering what thoughts you may have.

500E · November 20, 2005

Good and Bad

Good I cant fly FS allways crash before translation (see helicopter flying in Flight Sim posts)

Please say the MD post is a wind up No 500e or 530F is life worth living ::confused::

Heloplt · November 21, 2005

If they don't start supporting the product they already have in the field no one is going to buy the new product. If they actually drop the E/F models I don't see a future for the MD company. Just my humble opinion, but they should drop the 600 line and concentrate on the 500 series which seems to be the bread and butter of their products.

*But I'm keeping my avatar*

klas · November 21, 2005

http://www.shephard.co.uk/Rotorhub/Industr...f1-4edb0ee9451e

BLOOMFIELD, Conn., Nov. 17 -- (Nasdaq: KAMN) Kaman Corporation announced today that it has reached a multi-year agreement with the newly recapitalized MD Helicopters, Inc. (MDHI) to resume production of rotor blades, pitchcases and flexbeams, primarily for the MD Explorer helicopter. MDHI was acquired by the investment firm, Patriarch Partners, in July of 2005. Production work will be conducted at the Kaman Aerospace Helicopters Division facilities in Bloomfield.

Under the terms of the agreement, the company today received a payment in the amount of $4.0 million from MDHI and is scheduled to receive additional payments totaling approximately $1.0 million by the end of the first quarter of 2006. These payments are all related to past due amounts for accounts receivable and inventory previously written off as part of a $20.1 million non-cash charge recorded during the third quarter of 2004 to eliminate the company's investment in its previous MDHI programs. Those programs included the blade work now being resumed, and production of fuselages for the MD-500 and MD-600 series of helicopters, which the company does not expect to resume. As a result, the company has recorded fourth quarter pre-tax income of approximately $5.0 million.

These payments are in addition to previously reported payments of $1.4 million received and recorded in the third quarter of 2005.

500E · November 21, 2005

Ok Class what do you think this will mean, no 500 or 600 Fuselages no production ! only service ? dont quite understand the underlined it would sugest resumption of work, then says they are not expecting production to resume

HeliMark · November 22, 2005

If this is true and they stop production of the 500E/F, they are dead. Only to be maybe a parts company.

In the something like 15 years they have only sold around 150(?) or less 520N's. And most of those who bought them (police departments) have/are going to the AS350 or 206/407 line.

Think they are banking too much on that possible Army contract. Although I have heard the 902 is a pretty good helicopter, you need the american market to really succeed. And since we do not have to have a twin over cities or at night, as far as the bean counters are concerned why buy a twin.

D_F · November 25, 2005

Boy that just stinks. There goes a dream. Right after I got to observe some great work by an operator net gunning elk this week. Maybe we will get lucky and they will sell the T/C for some capital and someone else will start up the series again. Anyone seen the cruise specs on the 902? How is it hot and high? I looked a long time ago and it didn't seem all that great. (off to look)