UPDATE 1-Hexcel Corp sees 2011 EPS largely below Wall Street

* Sees 2011 adj EPS $0.90-$0.98 vs est $0.98

* 2011 rev seen at $1.23-$1.30 bln vs est $1.28 bln

* Expects recovery in industrial markets * Shares down 2 pct after market

Dec 13 (Reuters) - Hexcel Corp (HXL.N), a maker of structural materials for the aerospace industry, forecast 2011 adjusted earnings largely below analysts' estimates, but said it sees "good growth" across its markets.

The Stamford, Connecticut-based company, which serves the commercial aerospace, space and defense and the industrial markets, forecast 2011 adjusted earnings of 90-98 cents a share, on revenue of $1.23-$1.30 billion.

Analysts, on average, were expecting 2011 earnings of 98 cents a share, on revenue of $1.28 billion, according to Thomson Reuters I/B/E/S.

Hexcel, which supplies composite materials for Boeing Co's (BA.N) 787 Dreamliner plane, said it sees a recovery from 2010's depressed industrial markets, and expects good growth in aircraft build rates, new composite rich aircraft programs and rotorcraft products.

The company said capital expenditures for 2011 to support projected revenue growth are planned at $150-$175 million. Hexcel added it expects free cash flow to break even by the end of the year.

The company's shares, which have risen 82 percent from a year low of $9.86 in February, were trading down about 2 percent at $17.68 after market. They closed at $17.97 on Monday on the New York Stock Exchange. (Reporting by Fareha Khan in Bangalore; Editing by Vyas Mohan)