Alcoa wins fourth Boeing contract in string of recent deals

Lightweight metals leader Alcoa announced a long-term supply agreement with Boeing for multi-material aerospace parts. Under this agreement, Alcoa will supply components for the 777X-Boeing’s newest commercial airplane-the 737 MAX-scheduled for first delivery in 2017-and the 787 Dreamliner. The deal draws on capabilities gained through the Firth Rixson acquisition and the company’s new aluminium-lithium facility in Lafayette, Indiana.

“This is the latest in a series of Boeing contract wins made possible by Alcoa’s recent aerospace investments,” said Alcoa Chairman and Chief Executive Officer Klaus Kleinfeld. “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.”

Under the new agreement, Alcoa Forgings and Extrusions will supply differentiated components for Boeing’s airplanes, including the wing, fuselage, and landing gear. These include:

• Advanced titanium landing gear parts and complex titanium nacelle fittings for the 737 MAX, made using specialized presses gained through the Firth Rixson acquisition;
• Boeing’s first-ever aluminium-lithium extrusion produced at Alcoa’s Lafayette facility for the 777X cargo floor, helping save weight and improve corrosion resistance; and
• Large, near net shaped parts that improve the efficiency and help reduce the costs of Boeing’s in-house machining.

This transaction is the fourth multi-year agreement recently announced with Boeing. In December 2015, Alcoa announced long-term supply contracts with Boeing for fastening systems and titanium seat track assemblies. In September 2014, Alcoa announced a significant Boeing contract win which established Alcoa as a sole supplier of wing skins on all of Boeing’s metallic structure airplanes.

Alcoa has secured approximately $10 billion in aerospace contracts since the start of 2015, including the Boeing transactions, drawing on the company’s growing aerospace portfolio.