Triumph Group (NYSE: TGI) makes aircraft components for the US military, Boeing, and Airbus. The company sells the majority of its products, 55.5%, to Boeing and the US military.^[1][2] Triumph has received contracts to produce components for both the Boeing Dreamliner and the Airbus A380. However, the value of these contracts depends on the future production levels of the aircraft.^[3] 33% of Triumph's revenue comes from government funded contracts. Since the September 11 terrorist attacks, the US defense budget has increased by 35% and the number of contracts for military aircraft and weaponry has risen.^[4]

High oil prices have increased the price of jet fuel by 53% during the first 6 months of 2008.^[5] The high fuel costs have pushed large airlines out of business or forced them to lower the number of flights they offer. High oil prices have also increased the demand for smaller, lighter aircraft - by 18% since 2006 - which are more fuel efficient than commercial jets.^[6]

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