Plant Doubles Capacity in La Porte, Meeting
Growing Demand from Aerospace Engine Manufacturers
- Approximately $100 million,
320,000-square-foot expansion produces nickel-based structural
components for industry’s best-selling jet engines
- Enables production of nearly 60 percent
larger structural parts, broadening reach into large commercial jet
engine market
- Supports growth of Alcoa’s value-add
business in aerospace
- To create 329 jobs by 2019; 155 new
jobs already added
Lightweight metals leader Alcoa (NYSE: AA) today officially
opened its state-of-the-art jet engine parts facility in La Porte,
Indiana. The facility doubles Alcoa’s capacity in La Porte and
provides new capabilities that broaden its reach in engines for
large commercial aircraft. The new plant will meet increasing
demand from makers of best-selling jet engines, growing Alcoa’s
value-add business in aerospace.
This Smart News Release features multimedia.
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Alcoa today officially opened its
cutting-edge jet engine parts expansion in La Porte, Indiana.
(Photo: Business Wire)
“Innovation is at the heart of the La Porte expansion,” said
Alcoa Chairman and CEO Klaus Kleinfeld. “We combined some of the
world’s best metallurgists, product engineers and manufacturing
experts to broaden our capabilities and deliver the highly advanced
components our customers need to build jet engines at high
volumes.”
The approximately $100 million, 320,000-square-foot expansion,
announced last year, enables Alcoa to manufacture single piece
structural parts—components that encase the rotating parts of an
engine—that are nearly 60 percent larger than those already
produced in La Porte. These new capabilities have broadened Alcoa’s
reach into wide- and narrow-body aircraft engines. As an example,
the new facility will supply structural components for the
PurePower® and other engines under a 10-year, $1.1 billion contract
with Pratt & Whitney announced last year. The La Porte facility
also is partnering with other major aerospace engine manufacturers
and their partners to supply parts for next-generation engine
programs.
The facility employs the latest in high-tech, advanced
manufacturing equipment, including digital x-ray and blue light
technology for enhanced quality assurance. It also 3D-prints resin
patterns for metallic prototypes and uses automated casting
furnaces with advanced controls to meet precise product
specifications.
The plant grows Alcoa’s value-add business in the soaring
aerospace market and complements Alcoa’s acquisition of TITAL,
which established titanium structural casting capabilities in
Europe, and expanded its aluminium casting capacity. Alcoa is the
world leader in jet engine blades and vanes, and through the La
Porte expansion and TITAL acquisition, is becoming a leader in
structural parts.
Ribbon Cutting
Indiana Lieutenant Governor Sue Ellspermann and other state and
local dignitaries today are joining Alcoa executives, employees and
aerospace customers to celebrate the opening of the plant which
will create 329 jobs by 2019. The facility has already added 155 of
those positions.
“Alcoa is building on our state’s advanced manufacturing
leadership, as well as providing increased opportunities for high
quality careers for our community,” said Indiana Lt. Gov. Sue
Ellspermann. “Alcoa is one of several aerospace companies choosing
to expand in the Hoosier State, together announcing plans to invest
more than $900 million and create more than 1,200 new jobs in the
coming years.”
The Indiana Economic Development Corporation has offered Alcoa
up to $4 million in conditional tax credits based on the Company’s
job creation plans. In addition, the city of La Porte has approved
tax incentives worth $7.1 million over a 10-year period.
“The City of La Porte is proud to celebrate this plant expansion
with the Alcoa Team,” said La Porte Mayor Blair Milo. “This
advanced facility grows our partnership with Alcoa and creates
advanced manufacturing job opportunities for our community. We are
excited to build on our partnership with Alcoa as it continues to
enjoy growth and success.”
Alcoa in Indiana
Alcoa employs approximately 3,200 people at three locations in
Indiana.
This is Alcoa’s second plant opening in Indiana in just over a
year. In October 2014, the Company announced the opening of its $90
million greenfield state-of-the-art aluminum-lithium facility—the
largest in the world—in Lafayette, Indiana. The Lafayette cast
house can produce more than 20,000 metric tons (44 million pounds)
of aluminum-lithium annually. Aircraft manufacturers are
increasingly turning to lighter and stronger aluminum-lithium
alloys, which are less expensive than composites and enable
increased fuel efficiency and lower maintenance costs.
Alcoa Aerospace
Alcoa has been growing its multi-material aerospace business to
capture growth in the global aerospace market in support of its
broader transformation, and has become a leader in jet engine
components and aircraft structures. Alcoa acquired global titanium
leader RTI International Metals, aerospace components manufacturer
TITAL and global jet engine parts leader Firth Rixson. On a pro
forma basis, Alcoa’s 2014 aerospace revenues reached $5.6 billion
following these acquisitions, making it one of the world’s largest
aerospace parts manufacturers.
Alcoa also has grown organically. It opened the world’s largest
aluminum-lithium facility in Lafayette, Indiana, launched
expansions to increase jet engine parts production in La
Porte, Indiana and Hampton, Virginia, began installation
of advanced aerospace plate manufacturing capabilities
in Davenport, Iowa, announced plans to double its coatings
capabilities for jet engine components in Whitehall, Michigan,
announced an investment in technology that strengthens the metallic
structures of traditional and additive manufactured parts in
Whitehall, Michigan and announced plans to expand its R&D
center in Pittsburgh, Pennsylvania to accelerate the development of
advanced 3D-printing materials and processes.
These investments support Alcoa’s strategy to build the
value-add business for profitable growth and greater innovation in
the aerospace market. As reported on October 8, the Company expects
robust global aerospace sales growth of 8 to 9 percent in 2015.
Additional resources: Go to www.alcoa.com/laporte
for more information, photos and b-roll.
About Alcoa
A global leader in lightweight metals technology, engineering
and manufacturing, Alcoa innovates multi-material solutions that
advance our world. Our technologies enhance transportation, from
automotive and commercial transport to air and space travel, and
improve industrial and consumer electronics products. We enable
smart buildings, sustainable food and beverage packaging, high
performance defense vehicles across air, land and sea, deeper oil
and gas drilling and more efficient power generation. We pioneered
the aluminum industry over 125 years ago, and today, our more than
60,000 people in 30 countries deliver value-add products made of
titanium, nickel and aluminum, and produce best-in-class bauxite,
alumina and primary aluminum products. For more information,
visit www.alcoa.com, follow @Alcoa on Twitter
at www.twitter.com/Alcoa and follow us on Facebook
at www.facebook.com/Alcoa.
Forward-Looking Statements
This press release contains statements about future events and
expectations, or “forward-looking statements,” all of which are
inherently uncertain. Forward-looking statements include those
containing such words as “estimates,” “expects,” “plans,” “should,”
“may,” “will,” or other words of similar meaning. All statements
that reflect Alcoa’s expectations, assumptions, or projections
about the future other than statements of historical fact are
forward-looking statements, including, without limitation,
forecasts regarding global aerospace sales growth, and expected
benefits of Alcoa’s acquisitions and investments growing its
multi-material aerospace business, including the expansion of the
La Porte, Indiana facility. Forward-looking statements are subject
to risks and uncertainties and are not guarantees of future
performance. Important factors that could cause actual results to
differ materially from those expressed or implied in the
forward-looking statements include: (a) unfavorable changes in the
markets served by Alcoa, including the aerospace market; (b)
failure to realize expected benefits from new technologies,
processes, or equipment; innovative products; advanced alloys;
acquisitions; or expanded facilities, including the La Porte
facility, whether due to competitive developments, changes in the
regulatory environment, failure to meet customer specifications, or
other factors; and (c) the other risk factors discussed in
Alcoa’s Form 10-K for the year ended December 31, 2014 and other
reports filed with the Securities and Exchange Commission. Alcoa
disclaims any intention or obligation to update publicly any
forward-looking statements, whether in response to new information,
future events or otherwise, except as required by applicable
law.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20151029005809/en/
AlcoaInvestor ContactNahla Azmy,
212-836-2674Nahla.Azmy@alcoa.comorMedia ContactChrista Bowers,
212-836-2605Christa.Bowers@alcoa.com
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