- Alcoa aluminum sheet and plate to have
prominent position on Embraer’s new E-Jet E2 family of jet
airliners, scheduled to enter into service in 2018
- The agreement between the companies
makes Alcoa sole supplier for proprietary wing skins and fuselage
sheet
- Embraer planes will feature proprietary
Alcoa alloys, chosen for superior combination of strength,
corrosion resistance and fatigue resistance
Lightweight metals leader Alcoa (NYSE:AA) today announced a
long-term contract with Embraer – the leading manufacturer of
commercial jets up to 130 seats – valued at approximately $470
million. Under the multiyear agreement, Alcoa will supply aluminum
sheet and plate for Embraer’s new E2s, the second generation of its
E-Jets family of commercial aircraft, a narrow-body medium-range
jet airliner. The Embraer E-Jets E2 were launched at the Paris
Airshow in 2013 and are scheduled to enter into service in
2018.
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Alcoa signed a $470 million contract with
Embraer to supply aluminum sheet and plate for Embraer's new E2
aircraft. (Photo: Business Wire)
“Our partnership with Embraer is rooted in constant innovation
and this contract is further proof of that strength,” said Mark
Vrablec, President of Alcoa’s Aerospace & Automotive Products
business. “Our patented alloys enable us to support our customer’s
game-changing E2 program, and we’re proud that Alcoa will fly with
Embraer.”
Embraer chose Alcoa’s proprietary alloys for the E2 due to the
combination of strength, corrosion resistance and fatigue
resistance that they offer.
“Alcoa offers a good combination of technical expertise and
industry leading material and capabilities,” said Fernando Queiroz,
Embraer Vice President, Supply Chain. “Embraer designed the E-Jets
E2 commercial aircraft to be the best in its segment and to do
that, we needed the best material in the business, and Alcoa offers
the best solution.”
According to Embraer, the market segment that the new E2 program
was designed to serve is projected to require 6,350 new aircraft
over the next 20 years. In addition, Embraer also stated that it
has more than 50 percent market share by orders with the current
E-Jet and expects to maintain similar levels with the new E-Jets
E2 aircraft.
The long-term agreement makes Alcoa sole supplier to Embraer for
proprietary wing skins and fuselage sheet on the E2 line of jets.
Other Alcoa plate products, used in key applications such as wing
ribs, fuselage frames and other structural parts of the aircraft,
are also part of the contract and will be featured on the E2 as
well as Embraer’s KC-390 military transport aircraft and executive
jets.
Alcoa has developed most of the aluminum aerospace alloys to
ever take flight, and every major new aircraft program incorporates
Alcoa’s product innovations. The Alcoa/Embraer partnership draws on
the aerospace manufacturing capabilities of Alcoa’s Global Rolled
Products business, supplying Embraer from its plants in Davenport,
Iowa, and Kitts Green, United Kingdom.
Alcoa products can also be found on other parts of the E2
aircraft: the state-of-the-art Pratt & Whitney PurePower®
engine. Alcoa already supplies key parts for the PurePower®
engines, including the forging for the first ever aluminum fan
blade.
About Alcoa Aerospace
Alcoa’s aerospace businesses will form part of Arconic – Alcoa’s
new Value-Add company – to be launched following Alcoa’s separation
in the second half of 2016. Arconic 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 aerospace structures, jet
engine and industrial gas turbine airfoils, and aerospace
fasteners. The separation remains subject to the satisfaction of
certain conditions, including obtaining final approval from the
Alcoa Board of Directors, receipt of a favorable IRS ruling and
opinions of Alcoa’s tax advisors regarding certain U.S. federal
income tax matters and the effectiveness of the Form 10.
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
approximately 58,000 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.
Dissemination of Company Information
Alcoa intends to make future announcements regarding Company
developments and financial performance through its website on
www.alcoa.com.
Forward-Looking Statements
This release contains statements that relate to future events
and expectations and as such constitute forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements include those containing such
words as “anticipates,” “estimates,” “expects,” “may,” “plans,”
“projects,” “should,” “will,” “would,” 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, statements regarding the separation transaction
and projections regarding growth of the aerospace and other end
markets. Forward-looking statements are not guarantees of future
performance and are subject to risks, uncertainties, and changes in
circumstances that are difficult to predict. Although Alcoa
believes that the expectations reflected in any forward-looking
statements are based on reasonable assumptions, it can give no
assurance that these expectations will be attained and it is
possible that actual results may differ materially from those
indicated by these forward-looking statements due to a variety of
risks and uncertainties. Such risks and uncertainties include, but
are not limited to: (a) uncertainties as to the timing of the
separation and whether it will be completed; (b) the possibility
that various closing conditions for the separation may not be
satisfied; (c) the outcome of contingencies, including legal
proceedings; (d) unfavorable changes in the markets served by
Alcoa, including the aerospace market; and (e) the other risk
factors discussed in Alcoa’s Form 10-K for the year ended December
31, 2015, and other reports filed with the U.S. Securities and
Exchange Commission. Alcoa disclaims any obligation to update
publicly any forward-looking statements, whether in response to new
information, future events or otherwise, except as required by
applicable law. Market projections are subject to the risks
discussed above and other risks in the market.
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version on businesswire.com: http://www.businesswire.com/news/home/20160630005163/en/
Alcoa InvestorMatt
Garth212-836-2674Matthew.garth@alcoa.comorAlcoa MediaLori K.
Lecker412-553-3186Lori.lecker@alcoa.com
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