Airbus A380 Slowdown, Brexit Concerns Weigh on U.K. Engineer GKN
- Impact of reduced superjumbo output felt earlier than expected
- Company would follow planemaker if it shifted wing production
An Airbus SAS A380 super jumbo performs a flying display on day two of the 51st International Paris Air Show in Paris, France, on Tuesday, June 16, 2015. The 51st International Paris Air Show is the world's largest aviation and space industry exhibition and takes place at Le Bourget airport June 15 - 21.
Photographer: Jasper Juinen/BloombergAirbus SE’s superjumbo production cuts are starting to affect suppliers, with GKN Plc saying the slow-selling A380 is weighing on revenue, highlighting the intertwined nature of the aviation industry as the U.K. engineer considers following the planemaker should it move plants abroad after Brexit.
The impact of Airbus’s plan to slow output of the double-decker A380 is being felt sooner than expected, GKN said Wednesday, with revenue from the program set to slump about 45 percent this year and the slide accelerating, according to Kevin Cummings, who runs the Redditch, England-based group’s aerospace arm.