Alcoa Enters Into Fourth Long-term Supply Agreement With Boeing - Quick Facts

(RTTNews) - Alcoa Inc. (AA), the largest producer of aluminum in the U.S., said it has entered into a long-term supply agreement with Boeing Co. (BA) for multi-material aerospace parts. This transaction is the fourth multi-year agreement recently announced by Alcoa with Boeing and was made possible by Alcoa's recent aerospace investments.

Under the deal, 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.

Alcoa noted that the deal draws on capabilities gained through the Firth Rixson acquisition and the company's new aluminum-lithium facility in Lafayette, Indiana.

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

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

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 that established Alcoa as a sole supplier of wing skins on all of Boeing's metallic structure airplanes.