United Technologies, Canada reach deal on delayed helicopters

WASHINGTON, June 18 Wed Jun 18, 2014 6:22pm EDT

WASHINGTON, June 18 (Reuters) - United Technologies Corp said on Wednesday its Sikorsky Aircraft unit signed a revamped agreement with Canada for 28 maritime patrol helicopters after the initial C$5 billion ($4.61 billion) deal ran into delays and was nearly scrapped.

The contract amendment signed on Wednesday will allow Canada to retire its current fleet of Sea King helicopters in 2015, and accelerate efforts to start operating the new CH148 Cyclone helicopters, the company said in a statement.

It said the changes would allow Sikorsky to record sales of about $850 million and a charge of $440 million in the second quarter of 2014. The company said the charge would be offset by one-time gains during the course of 2014 and would not have any effect on earnings per share for the year.

United Technologies said its forecast for 2014 earnings per share remained unchanged at $6.65 to $6.85. ($1 = 1.0853 Canadian Dollars) (Reporting by Andrea Shalal. Editing by Andre Grenon)