Constellium secures Boeing contract
Aluminum products maker Constellium has been awarded a multi-year contract with Boeing Co. to supply aluminum materials for the aircraft manufacturer.
The new agreement calls for Constellium to supply products for all of Boeing's commercial airplane programs, according to a press release from the Netherlands-based aluminum company.
Constellium said the new agreement will increase both the scope and range of products it supplies.
"This agreement further strengthens the solid partnership that Constellium and Boeing have built over the past 25 years," Constellium CEO Pierre Vareille said. "We look forward to increasing our collaborative efforts to drive value for Boeing and to address the economic and technical challenges of future programs."
The products will be manufactured at both the Constellium rolling mill in Ravenswood, as well as the company's other plant in Issoire, France.
Though the company did not detail how much the deal was worth, Constellium said Boeing aircraft production rates are expected to increase at an unprecedented rate over the next five years.
It said it will need to produce materials at both plants in order to meet that rising demand.
The agreement calls for Constellium to supply aluminum products for using the company's current and advanced-generation aluminum alloys in Boeing airframes.
The company will also continue to supply its trademarked AIRWARE low-density aluminum alloy for use in Boeing's 787 Dreamliner airplane. The AIRWARE alloy is a lighter-weight material, which helps cut maintenance costs and fuel emissions.
This is the second major multi-year aerospace contract for the aluminum company.
Last May, the company inked a $2 billion deal with European aircraft maker Airbus and its parent company, the European Aeronautic Defence and Space Co., to provide a broad range of aluminum products for aircraft frames in all of their key commercial and defense aircraft models.
The deal came about following a $46 million upgrade to the company's Ravenswood aluminum stretcher.
During a ceremony last January celebrating the completion of the stretcher upgrade, Constellium Global Aerospace Division President Christophe Villemin said the upgrade would give the company the upper hand in the global marketplace.
"It's the largest stretcher in the world with the largest pull force in the world, which enables the production of key parts and large parts for commercial aircraft like Boeing and Airbus," Villemin said.
He said 2012 would be "test year" for the plant to make sure it can meet the higher demand generated by the new contracts the company hoped to secure.
"There will be more volumes, and more critical volumes," he said. "We have to pass the test, and if we pass the test, then 2013 and next year will be very good."
Contact writer Jared Hunt at firstname.lastname@example.org or 304-348-4836.