BAe to Boost Share
In Simulator CompanyBritish Aerospace (Holdings) Inc. Thursday revealed plans to acquire up to 49 percent of the shares of Reflectone, Inc., a Florida-based aircraft simulator manufacturer.
BAe last May acquired 6 percent of Reflectone and started working toward this latest agreement. Under its terms, BAe will buy 50,000 new 8 percent cumulative convertible preferred shares at $176 a share. After three years, each can be converted into eight shares of common stock.
The terms also provide for BAe to buy 500,000 shares of Reflectone common stock at $18 per share. Reflectone, in turn, plans to use the $9 million generated from BAe to fund a tender offer for 500,000 of its outstanding common stock.
Overall, British Aerospace's total investment will be about $20.6 million and provide it with 49 percent of Reflectone's stock. Reflectone builds a variety of flight, maintenance and procedures trainers for civil and military programs.
NEW YORK - U.S. Customs said its record $8 million seizure of cocaine in New York this week came about when their undercover operatives learned the suspects were attempting to obtain a jet aircraft to transport a quantity of cocaine from Colombia to Long Island, N.Y.
Customs said the chief suspect in the mega-bust, Robert Krevsky, who was previously arrested for a smuggling attempt in 1983, began a series of negotiations with Customs undercover operatives to obtain the aircraft and assist in the logistics of the smuggling attempt.
The agency then said Mr. Krevsky, along with co-conspirators, obtained a Westwind I jet aircraft leased by Hercules Construction Company of Brooklyn, N.Y., for $40,000 per month, from Westlease Aircraft, a Delaware corporation.
After the jet traveled from New York to Colombia and was loaded with cocaine it proceeded back to the U.S. but lost an engine and made an emergency landing in Miami.
Prop Fan Jet
Put on Hold
SEATTLE - After an extensive review, a joint venture has put on hold development of a small prop fan jet.
The venture, however, will continue to monitor the marketplace for the 93- seat to 130 seat jet powered by a propfan engine, which combines jet and propellor technologies.
The study, which began two years ago, is being conducted by Messerschmitt- Bo lkow-Blohm GmbH , of Germany; Fokker BV, of Holland; Nusantara Aircraft Co. (IPTN), of Indonesia; and Boeing Commercial Airplanes of the United States.
Federal Express Corp. reported its daily volume of packages and documents for April increased 24 percent to 951,905 from 768,318 a year earlier. Total volume in April was 20 million, 18.3 percent higher than 16.9 million in the year ago month.
For the 11 months of the fiscal year, Federal Express reported it handled an average of 871,165 packaged daily, 25.1 percent higher than 696,192 in the 1987 fiscal period. Total volume in the period was 205.6 million, 26.2 percent higher than 162.9 million handled in the year earlier period.
USAir reported it flew 1.5 billion revenue passenger-miles in April, a gain of 33.3 percent over 1.1 billion in April 1987. Load factor was 61.9 percent, compared with 68.3 percent a year earlier.
The April data include results of the former Pacific Southwest Airlines, which was integrated into USAir on April 9.
For the first four months of 1988, USAir reported 4.7 billion RPMs, a 17.8 percent increase over 4 billion in the comparable 1987 period. Load factor was 61.2 percent, compared with 63.3 percent a year earlier.
TWA Sets Dividend
NEW YORK - The board Trans World Airlines declared the payment of a quarterly dividend on its $6 Cumulative Exchangeable Preferred Stock.
The dividend covers the quarter ending June 30, 1988, and it will be paid in 0.0300 additional shares of $6 Cumulative Exchangeable Preferred Stock per share outstanding, payable on June 30, 1988 to holders of record on June 15, 1988.