Hartford-based United Technologies Corp. on Monday said it plans to sell or spin off its Stratford-based Sikorsky Aircraft business, subject to final board approval, with a final decision expected by the end of the third quarter.
- The exterior of Sikorsky Aircraft in Stratford in August. File photo by Ned Gerard / Hearst Connecticut Media
UTC announced in March it was considering shedding Sikorsky, citing declining military revenues and Pentagon budget pressures as the driving reasons.
Calling it a “restructuring announcement,” Stratford Mayor John Harkins said in a statement, “Since Igor Sikorsky first flew the helicopter here decades ago, Stratford has been home to the best helicopters in the world. Regardless of who owns Sikorsky Aircraft after the restructuring recently announced by UTC, the town of Stratford is looking forward to continuing its strong working relationship with Sikorsky for many more decades to come.”
UTC President and CEO Gregory Hayes said the move would benefit both companies.
“Our strategic review has confirmed that exiting the helicopter business is the best path forward for United Technologies,” Hayes said in a statement. Â “Sikorsky is the world’s premier helicopter company and through a series of strategic wins is well positioned for long-term growth. However, separation of Sikorsky from the portfolio will allow both United Technologies and Sikorsky to better focus on their core businesses. Over the coming weeks, we’ll determine whether a spinoff or direct sale is the best way to enhance Sikorsky’s long-term success and create the most value for customers and shareholders.”
The company discussed its intention to exit the helicopter business at its investor meeting during the Paris Air Show.
Sikorsky employs some 8,000 people in Stratford, Bridgeport, Shelton and Trumbull combined and in a small lab in Stamford focused on emerging innovations. The company this month announced it is cutting 1,400 jobs worldwide in the coming year, including about 180 in Connecticut, and that it is moving its Bridgeport operations to its facility in Stratford.
