Nearly 470 Take Rockwell Collins's Early Retirement Plan

Nearly 470 Rockwell Collins employees accepted a voluntary separation retirement incentive plan that the company offered as it lowered expectations for its business aviation revenue. Rockwell president and CEO Kelly Ortberg, in announcing the company fiscal year 2016 guidance, in September said, “we are resetting our near-term expectations for [the business aviation business].” The guidance accounted for the production rate reduction on the Bombardier Global 5000/6000, and additionally assumes rate reduction in the midsize and light segments, he said. “The resulting effect is that we now expect our overall business and regional jet OEM sales to decrease low-double digits from fiscal year 2015.”

The company concluded its voluntary separation retirement incentive plan this week, with 468 employees participating. The company called the program “an extremely successful event,” noting many of those who accepted the program had planned to retire in the next year or two. Rockwell Collins employs nearly 20,000 workers worldwide.

Separately, the company announced today that Ortberg has been elected to the additional role of chairman. He assumes this position from Anthony Carbone, who will remain on the board and serve as lead director. Ortberg joined Rockwell Collins in September 2012 and became CEO in July 2013. He became non-executive chairman in August last year. Under his stewardship, the company completed the acquisition of Arinc, the single largest purchase in the company’s history.