Advertisement
Australia markets closed
  • ALL ORDS

    8,153.70
    +80.10 (+0.99%)
     
  • ASX 200

    7,896.90
    +77.30 (+0.99%)
     
  • AUD/USD

    0.6515
    -0.0003 (-0.04%)
     
  • OIL

    83.11
    -0.06 (-0.07%)
     
  • GOLD

    2,254.80
    +16.40 (+0.73%)
     
  • Bitcoin AUD

    108,566.95
    +1,392.74 (+1.30%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • AUD/EUR

    0.6038
    +0.0004 (+0.06%)
     
  • AUD/NZD

    1.0904
    +0.0002 (+0.02%)
     
  • NZX 50

    12,105.29
    +94.63 (+0.79%)
     
  • NASDAQ

    18,254.69
    -26.15 (-0.14%)
     
  • FTSE

    7,952.62
    +20.64 (+0.26%)
     
  • Dow Jones

    39,807.37
    +47.29 (+0.12%)
     
  • DAX

    18,492.49
    +15.40 (+0.08%)
     
  • Hang Seng

    16,541.42
    +148.58 (+0.91%)
     
  • NIKKEI 225

    40,354.05
    +185.98 (+0.46%)
     

Alcoa in $1.1 bn jet engine deal with Pratt & Whitney

Aluminum producer Alcoa reports a big increase in third-quarter earnings on higher aluminum prices as it cites stronger demand in some industrial segments

US aluminum giant Alcoa on Monday announced a $1.1 billion deal to supply jet engine parts to Pratt & Whitney, including the world's first lightweight aluminum alloy fan blade.

Alcoa said in a statement it had developed the forging for the new aluminum fan blade for Pratt & Whitney's PurePower engines, using an advanced aluminum alloy and a proprietary manufacturing process.

The New York-based company is also developing for the PurePower engines a fan blade forging using its most advanced aluminum-lithium alloy.

"We're going where no materials scientist has gone before," said Alcoa chairman and chief executive Klaus Kleinfeld.

ADVERTISEMENT

"Combining Alcoa's proprietary alloys and unique manufacturing processes with Pratt & Whitney's design, we cracked the code on forging an aluminum fan blade that is lighter and enables better fuel efficiency."

Under the 10-year supply deal, Alcoa will provide a range of other advanced engine products, including vanes and structural castings.

The agreement with Pratt & Whitney, a division of United Technologies Corporation, marked another step in Alcoa's strategy to build its value-added businesses, especially in aerospace.

In late June, the company said it stuck a deal to acquire Firth Rixson, a leading British manufacturer of jet engine components, for $2.85 billion.

Alcoa shares were up 0.8 percent at $16.10 and United Technologies climbed 0.7 percent to $114.95 in afternoon trade.