Industry lifts off after decline; Suppliers focus on engineer expertise, collaboration during...

Byline: Roger Slavens

Thanks to robust spending by the U.S. Department of Defense for military aircraft, missiles and space projects, the U.S. aerospace industry generated $161 billion in sales in 2004, according to the Aerospace Industries Association. Revenues should continue their upward climb this year, with the AIA projecting the industry will grow another $12 billion.

But perhaps more important, profit margins reached their highest level in five years-an estimated $10 billion. "When it comes to profit margins, the long-term industry commitment to Lean