Alcoa’s Firth Rixson operations produce closed-die and isothermal forgings, and rolled rings. It has five locations in the U.S. Firth Rixson has five operations in the U.S. (two in California, Georgia, New York, and Nevada), four in England, and others in China, Czech Republic, and Hungary. Firth Rixson is among the world’s largest producers of seamless rolled rings in nickel-based superalloys and titanium, as well as forgings for jet engines.

For Alcoa, Another Long-Term Contract with Boeing

Jan. 29, 2016
Fourth LTA with jet builder includes wing, fuselage, and landing gear parts in titanium, Al-Li 737 MAX, 777X, and 787 Dreamliner Large, near net shaped parts reduce machining $10 billion in contracts

Alcoa is entering into another long-term supply agreement for aerospace parts with Boeing Commercial Airplanes, the fourth of this type completed since 2014. The new LTA will see the Alcoa Forgings and Extrusions organization supply wing, fuselage, and landing gear parts for the 777X, a wide-body aircraft now in development that Boeing is scheduled to introduce in 2020; and the 737 MAX, the revised version of the 737 single-aisle aircraft that will debut next year.

The new deal also includes parts for the 787 Dreamliner, the wide-body jet already in service.

Alcoa did not indicate the total value or the timeframe for the new LTA.

It noted the parts to be supplied would be sourced from its Firth Rixson operations, the closed-die forging and ring-rolling organization acquired in 2014 for $2.85 billion; and from its aluminum-lithium casting operation in Lafayette, IN, a $90-million specialty casting complex it opened in 2014.

Alcoa Forgings and Extrusions will supply titanium landing gear parts and titanium nacelle fittings for the 737 MAX, produced by Firth Rixson. The Lafayette operation will supply Al-Li extrusions for 777X cargo floor. Alcoa further noted the deal includes “large, near net-shaped parts” that will help Boeing to reduce in-house machining.

“This is the latest in a series of Boeing contract wins made possible by Alcoa’s recent aerospace investments,” Alcoa chairman and CEO Klaus Kleinfeld offered. “Alcoa has successfully built a strong leadership position in this market and we are proud to see our home-grown innovations and new products create value for our customers.”

Over the past four years, through acquisitions and expansions to capabilities and capacity, Alcoa has spent several billion to enhance its aerospace material production and product range.

As a result, it has several concurrent long-term agreements in place with Boeing and other aircraft and aerospace manufacturers. Last month it estimated it secured approximately $10 billion worth of aerospace supply contracts during 2015.