Firth Rixson, P&W Canada in $1B Supply Agreement

Forged ring supplier secures 10-year contract with jet-engine builder

Aerospace forgings producer Firth Rixson Ltd. and Pratt & Whitney Canada have established a long-term purchase agreement, continuing a supply arrangement the two have maintained since 2005. The new agreement will run more than 10 years, extending through 2021, the forger announced.

Firth Rixson estimates the value of the agreement at $1 billion in sales over the term.

Pratt & Whitney Canada is a unit of United Technologies that designs and manufactures aircraft engines for business and regional jets and general aviation. It also produces auxiliary power units and industrial gas turbines.

Firth Rixson Ltd. operates several forged ring plants in the U.S. Late in 2009 it announced it will build a 200,000-ft 2 closed-die forging plant near Savannah, GA. It will be Firth Rixson’s fourth closed-die operation, and the first in the U.S.

Most of Firth Rixson’s forged products are supplied to aerospace markets, but also to, automotive, chemical manufacturing, defense, general engineering, off-highway vehicles, oil drilling and refining, power generation, and rail transportation industries.

It said the new supply agreement provides price stability for both companies, and meets Pratt & Whitney Canada’s long term sourcing initiatives.

“The innovative approach to this agreement further refines our successful business relationship with Pratt & Whitney Canada,” stated CEO David C. Mortimer, “by providing a strategic horizon beneficial to both companies into the next decade and beyond.”

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