NEW YORK, Nov 30 (Reuters) – U.S. weapons makers told
investors this week that they are doing all they can to prepare
for leaner U.S. defense budgets, including redoubling their
efforts to cut costs, drum up export sales and sell more goods
to commercial clients.

Industry executives and Pentagon officials say they are
still sorting out the potential impact of an additional $600
billion in defense cuts over the next 10 years, on top of some
$489 billion in cuts already being absorbed.

Nov 23 (Reuters) – The narrowing price gap between the two
main benchmarks for crude oil could bring relief for U.S.
airlines burned this year by their divergence.

Carriers like Southwest Airlines , United
Continental Holdings and Alaska Air had
markdowns or special expenses in the third quarter tied to
hedges in West Texas Intermediate crude oil, which fell in
price while jet fuel prices, which have been more closely
tracked by North Sea Brent crude this year, remained high.

By Bijoy Anandoth Koyitty and Karen Jacobs

(Reuters) – U.S. defense contractor General Dynamics Corp (GD.N: Quote, Profile, Research, Stock Buzz) said Monday it would buy smaller rival Force Protection Inc (FRPT.O: Quote, Profile, Research, Stock Buzz) for $360 million to beef up its armored vehicle business, as the industry faces big cuts in spending.

Shares of Force Protection, which also reported a quarterly profit that beat estimates, shot up 30 percent, or $1.28, to $5.49.

Oct 28 (Reuters) – Airplane supplier Rockwell Collins Inc
(COL.N: Quote, Profile, Research) is not looking to be acquired, its chief executive said
on Friday.

“The company is not for sale,” Clay Jones said when asked
if the provider of flight controls and other electronics for
airplanes would consider selling itself.

By Karen Jacobs

(Reuters) – Raytheon Co and L-3 Communications Holdings on Thursday reported a drop in quarterly sales, but the defense contractors cited rising backlogs as a cause for optimism in the face of falling defense budgets.

Results at Goodrich, a supplier of aircraft parts that derives about one-third of its revenue from defense, were buoyed by strong commercial equipment and servicing revenue.

Oct 27 (Reuters) – Raytheon Co and L-3
Communications Holdings on Thursday reported a drop in
quarterly sales, but the defense contractors cited rising
backlogs as a cause for optimism in the face of falling defense
budgets.

Results at Goodrich , a supplier of aircraft parts
that derives about one-third of its revenue from defense, were
buoyed by strong commercial equipment and servicing revenue.

WASHINGTON/ATLANTA, Oct 26 (Reuters) – After months of
grumbling behind the scenes, U.S. arms makers are now publicly
criticizing Pentagon plans to change the way it buys weapons
and make industry shoulder more of the risks of development.

No. 1 U.S. defense contractor Lockheed Martin Corp
used its quarterly earnings report to flag concerns about what
it called an “unprecedented” move by the Defense Department’s
push to make the company pay for design changes in the F-35
fighter jet that come up during testing, which is continuing
even as the plane has already entered production.

By Karen Jacobs

(Reuters) – Delta Air Lines Inc’s (DAL.N: Quote, Profile, Research, Stock Buzz) quarterly profit fell short of Wall Street expectations because of higher fuel costs, and its shares sank more than 6 percent in morning trading.

Delta said corporate travel was holding up but added it was intent on reducing non-fuel expenses as a skittish global economy still threatens overall demand for air travel.

Oct 20 (Reuters) – Discount carrier Southwest Airlines posted a higher-than-expected quarterly profit,
excluding special items, and said bookings look strong, sending
its shares up more than 4 percent.

Dallas-based Southwest, which acquired AirTran Holdings
earlier this year to get access to new U.S. East Coast markets
such as Atlanta, said it expected “solid” growth in passenger
unit revenues during the current fourth quarter as business
travel was stable.

By Karen Jacobs and Tim Hepher

(Reuters) – Pratt & Whitney said on Wednesday that it will spend $1.5 billion to buy Rolls-Royce Holding Plc’s (RR.L: Quote, Profile, Research, Stock Buzz) share of the International Aero Engines consortium that produces the engine that powers the Airbus (EAD.PA: Quote, Profile, Research, Stock Buzz) A320 plane family.

The two engine makers also said they will form a partnership to develop engines for mid-size aircraft that in future years will replace new, revamped versions of the Airbus A320 and Boeing (BA.N: Quote, Profile, Research, Stock Buzz) 737 narrow-body jets.