Sunday, 14 December 2014

Alcoa Doubling High-Tech Coating Capacity in Michigan to Capture Growing Aerospace Demand

Alcoa Inc (NYSE:AA) closed lower by -1.91% to 14.87. Alcoa Power and Propulsion – has declared that it is doubling its high-technology coating capacity at the Whitehall, MI, facility. The unit is investing $16.7 million in order to meet the rising demand for advanced jet en gine parts. 

The 7,700 sq. ft. building expansion will be located at the organization’s Thermatech plant in Whitehall where it produces thermal coated parts that enable engines to run at higher temperatures, boosting engine efficiencies. The coating also extends the working life of jet engine parts by protecting against oxidation and corrosion. 

“Alcoa is a global leader in the production of airfoil jet engine components,” said Mike Pepper, President of Alcoa Power and Propulsion. “This expansion will enable us to continue providing our high level of service as we meet growing demands for our high-tech, Thermatech-coated parts that enable enhanced fuel efficiency.”

The expansion supports Alcoa’s strategy of profitably growing its aerospace business, which achieved revenues totaling $4 billion in 2013 and is in line with organization strategy to build its value-add businesses to capture profitable growth in high-growth industries. The organization projects a compounded annual commercial jet growth rate of 7 percent through 2019 and sees a current 9-year production order book at 2013 delivery rates.


About Alcoa
 
Alcoa Inc. produces and manages primary aluminum, fabricated aluminum, and alumina. The company operates in four segments: Alumina, Primary Metals, Global Rolled Products, and Engineered Products and Solutions. The Alumina segment is engaged in mining of bauxite, which is then refined into alumina. The Primary Metals segment produces aluminum. The Global Rolled Products segment produces and sells aluminum plate, sheet, and foil. The Engineered Products and Solutions segment produces and sells titanium, aluminum, and super alloy investment castings; fasteners; aluminum wheels; integrated aluminum structural systems; architectural extrusions; and forgings and hard alloy extrusions.

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