I think BE Aerospace is a buy because of growth in both the Executive Business market and the In-Flight Entertainment market, from which BEAV should greatly benefit, and recent market misperception regarding the health of the company's operations. Aerospace, Inc. is the world's largest manufacturer of commercial aircraft cabin interior products. In addition, BE provides services and specialty products for aircraft cabin interiors.
Management believes the company has the largest installed base of aircraft products in the industry.
BE is the largest manufacturer of airline seats in the world. It is the largest supplier of such equipment to Airbus Industrie. Proceeds will be used to pay down debt. Elimination of 7 manufacturing sites and a reduction of 500 employees over the next 12 months. The company has also made a number of acquisitions during fiscal 1999.