Sikorsky’s Future Under Lockheed Martin

In November 2015, Lockheed Martin completed its acquisition of Sikorsky Aircraft from United Technologies. With the oil and gas helicopter market in which Sikorsky machines are very prominent being unstable, this raised a few questions.

“Lockheed Martin’s acquisition of Sikorsky … provides customers with mission-ready solutions that are affordable and efficient, while expanding our core business into the growing areas of helicopter production and sustainment,” said Dale Bennett, Lockheed Martin Rotary and Mission Systems’ EVP.

Despite pressures caused by low oil prices, Bennett said he expects Sikorsky’s commercial business to recover. As Lockheed was able to complete the purchase at a low point in the economic cycle, it sees opportunities for growth in the future. Moreover, Sikorsky has now been given the ability to leverage on Lockheed’s scale, which will “ensure it remains a technology leader at the forefront of vertical lift.”

This increase in scale is also beneficial for L-M. “Sikorsky and Lockheed Martin are better together as we leverage our combine scale and serve as technology leaders at the forefront of vertical lift,” said Bennett.

Even though L-M is best known as a defense contractor, Bennett said the commercial element was one of the major attractions of the Sikorsky purchase. “Sikorsky enables Lockheed Martin to pursue its stated interest in increasing commercial business,” he said.

To emphasize this point, he added, “Our view is that we can take the core technologies and capabilities that we are doing on the defense side and transition them into the commercial side.”

In addition to oil, Sikorsky is “pushing aggressively into the SAR, Head of State and international segments with the S-92 and S-76D aircraft,” said Bennett.

The company is well aware that customers and operators require long-term commitment from the manufacturers, and Bennett said Sikorsky is “concentrating its efforts on providing superior aftermarket support.”

In 2016, Sikorsky has seen a 20% increase in S-92 fleet flight hours. L-M is also investing in forward-stocking locations worldwide, said Bennett. Moreover, Sikorsky’s Customer Care Center opened in March 2016 under its new parent company. Also, the S-92 has been selected by the U.S. Navy to transport the U.S. president and has ordered a fleet of 21 operational and two test aircraft starting in 2020.

With both aircraft, L-M and Sikorsky are committed to increasing helicopter viability.

With their next-generation product, Lockheed is moving further with the technologies in which Sikorsky has already invested: speed, autonomy and intelligence, as well as their commercial applications. It is also working closely with its major customers to understand their needs and what is required from the next-generation products to support their missions. R&WI