Global Fastener News

1/4/2016 2:31:00 PM
FEATURE
Alcoa Signs $2.5b Boeing Deals for Fasteners

Alcoa announced long-term supply contracts with Boeing valued at over $2.5 billion. Alcoa will supply multi-material fastening systems for every Boeing platform in its largest fastener deal ever. Alcoa also will supply ready-to-install titanium seat track assemblies for the entire 787 Dreamliner family.

“Alcoa has positioned itself to win in a multi-material aerospace industry, and these deals are the latest proof points that our strategy is working,” said CEO Klaus Kleinfeld. 

Under one contract, Alcoa Fastening Systems & Rings will supply advanced titanium, stainless steel, alloy steel, aluminum and nickel-based superalloy fastening systems for every Boeing platform, including the 777X—Boeing’s newest commercial airplane—the 737 MAX—scheduled for first delivery in 2017—and the 787 Dreamliner. Alcoa will produce these fastening systems at seven of its global manufacturing facilities.

Alcoa also announced a second agreement making it the sole supplier of ready-to-install titanium seat track assemblies for all three members of the 787 Dreamliner family of airplanes. RTI International Metals (RTI)—now known as Alcoa Titanium & Engineered Products (ATEP)—has provided seat tracks for the 787-9 and 787-8 variants under a contract signed in 2007. This contract, as amended by RTI and Boeing immediately prior to the acquisition, reinforces ATEP’s position on those variants and adds seat tracks for the 787-10. Seat tracks are critical structural assemblies that mount to the floor of the airplane, secure passenger seats and reinforce the structure of the fuselage. Titanium seat tracks are stronger, weigh less and offer superior corrosion resistance compared with traditional materials.

Alcoa is supplying the seat tracks, from raw material to finished part, by utilizing its titanium ingot melting and billetizing, extrusion, machining, processing and assembly capabilities gained through the RTI acquisition.

Alcoa’s aerospace businesses will form part of the new Value-Add Company, to be launched following Alcoa’s previously announced separation in the second half of 2016. The “Value-Add” Company will be a “differentiated supplier to the high-growth aerospace industry with leading positions on every major aircraft and jet engine platform, underpinned by market leadership in jet engine and industrial gas turbine airfoils, and aerospace fasteners.”

In October, Alcoa Fastening Systems and Rings signed a $1 billion contract with Airbus for high-tech, multi-material aerospace fastening systems. The deal is Alcoa’s largest fastener contract ever with the European aircraft manufacturer. Alcoa’s fasteners fly on every Airbus platform.

As part of this agreement, AFS&R will supply advanced fastening systems, such as those that enhance the assembly of aircraft panels and engine pylons on newer airplanes with sophisticated design features. Alcoa fasteners are made using a variety of materials including stainless steel, titanium and nickel-based superalloys, which improve fatigue life, enable lightning strike protection, and improve wear and reusability on conventional and composite aircraft.

Alcoa will produce these fastening systems at 14 of its global manufacturing facilities.

Alcoa fasteners will be used to assemble some of Airbus’s latest high-growth airplanes, including the A350 XWB, Airbus’ newest commercial airplane, and the A320neo. In addition, Airbus will use Alcoa’s fastening systems for longer-running platforms including the A330. 

Torrance, CA-based Alcoa Fastening Systems & Rings designs and manufactures fastening systems and rings, including specialty fasteners, fluid fittings, assembly components, installation systems, and seamless rings, for aerospace and industrial applications. AFS&R has over 8,700 employees at 39 manufacturing and distribution/logistics locations in 13 countries. Web: afsr.alcoa.com

GlobalFastenerNews.com reported in September that Alcoa’s Board of Directors unanimously approved a plan to separate the company into two independent, publicly-traded companies. 

Alcoa’s $1.8 billion Fastening Systems and Rings business will become part of the “value-added” company, which will include Global Rolled Products, Engineered Products and Solutions, and Transportation and Construction Solutions.

Current CEO Klaus Kleinfeld will become CEO of the value-added company.