During Lockheed Martin’s annual media day on Tuesday, the company’s CEO Marilyn Hewson, reaffirmed that despite some initial underperformance, there were “no regrets” about the acquisition of Sikorsky Aircraft, writes Dan Freedman for the CTpost.

“I think we made absolutely the right decision,” she commented. “It is a natural fit into our company.’’

The helicopter maker, referred to as a “world-class helicopter company” by Hewson, was purchased for $9 billion last year, but has since posted sharper declines in revenues than expected due to lower demand for its commercial helicopters, mostly caused by the continuing low price of oil.

The fall in demand had already caused Sikorsky to cut 720 jobs in its Coatesville facility, which manufactures its main civilian products used in air rescue and other governmental functions, just prior to the Lockheed purchase. This put business leaders in the area on alert as they carefully followed the acquisition and the effect it might have on the region and the remaining close to 1,000 full-time employees.  

While some analysts speculated that Lockheed might have paid 20 times more than likely Sikorsky earnings, Bruce Tanner, the Chief Financial Officer, rejected the speculation calling it an “overstated number.”

In an interview with Reuters, Tanner commented that Lockheed is still positive when it comes to Sikorsky’s long-term prospects. He also noted that the cash generated from the helicopter maker would increase as it progressed with some of its military development programs, as well as the new presidential helicopter program.

In addition to local military programs, officials at Lockheed also expressed optimism about prospects for foreign sales of its heavy lift helicopter CH-53K and Black Hawk helicopter H-60, which could counter the drop in commercial orders.

“We did not buy this business for the next three years,“ said Tanner, “we bought it for the next three decades.”

Read more about Sikorsky prospects at CTpost here, and check out previous VISTA Today coverage of Sikorsky here.