Aerospace titanium products maker RTI International Metals posted a wider-than-expected third-quarter loss, hurt by a drop in shipments and lower prices, and said it does not see a pick-up in demand until the end of 2010.
In the latest quarter ended September 30, the company posted a net loss of USD$8.7 million, compared with a profit of USD$11.3 million a year ago.
Quarterly revenue dropped 33 percent to USD$100.2 million.
The company said it expects to post a loss for the year and forecast 2010 mill product shipments below 2009 levels as lean demand for its products continue and potential contract deferrals weigh.
CEO Dawne Hickton said she expects to see some push-outs in Airbus's contractual requirements over the next few years as a result of the excess inventory created by the delay of the A400 and the A380 schedules.
Airbus has said it might delay the delivery of some superjumbo A380s until January 2010. Earlier this year, the company said the A400M plane built for seven European NATO countries, which is already two years late, could fall three to four years behind schedule.
The company also said it continues to be affected by the production delays of Boeing's 787 Dreamliner, to which it is scheduled to supply titanium seat tracks.
Boeing is still struggling to get the first 787 into the air, almost a year and a half after the first one was supposed to be delivered.
RTI has long-term agreements as a supplier for the A400M, A380 and A350 with Airbus, and the 787 with Boeing.
"As we look toward the end of 2009, we still have not seen a pickup in demand, nor do I expect to see demand improve until the end of 2010 at the earliest," Hickton said.
