Defence firm Cobham is facing relegation from London’s blue chip share index as part of the latest FTSE 100 reshuffle.
The FTSE Group confirmed the military kit manufacturer is the only company likely to leave the index after seeing its shares plunge more than 30% since April.
The quarterly review is based on Tuesday’s closing prices and will be confirmed on Wednesday after scrutiny by the FTSE committee, to take effect after the market close on December 17.
Those blue chip stocks that have fallen to below 111th place in the top tier are at risk of being kicked out each quarter.
Cobham’s woes come after it revealed revenues at its manufacturing divisions, which account for 87% of its turnover, were down in the first nine months.
The Dorset-based firm makes a wide range of products for the defence and civil aviation industries, as well as equipment to Nasa, including breathing apparatus for astronauts. It makes more than 55% of its revenues from the United States.
The company turns over about £1.9 billion a year and employs about 12,000 staff worldwide, with about 2,500 working in the UK in sites including Wimborne, Darlington, Marlow and Milton Keynes.
Cobham is likely to be replaced by engineering firm IMI, which has seen shares climb 85% in value over the last year.
The Birmingham-based firm develops valves for power plants and oil and gas production facilities, and builds climate and energy management equipment, as well as beverage cooling equipment for caterers and retailers.
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