With the exception of the business aviation market and lower company valuations (who’s aren’t), the aerospace/defense industry today is doing pretty well. Production rates are robust, the outlook for many government contractors is bright, cash flow is strong, balance sheets are healthy, and everyone is making money. As one well-placed observer put it last week at the 48th Paris air show, “As a whole, the industry is in fantastic shape.” Perhaps, but a huge cloud looms on the horizon: the ...


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