UTC Aerospace Systems, a unit of diversified conglomerate
United Technologies Corp.
), won a contract extension from The Boeing Company (
) to design and manufacture nacelle systems for the 787 Dreamliner
UTC Aerospace also signed a Comprehensive Accessory Repair and
Exchange (C.A.R.E.) program agreement for the Dreamliner fleet of
Scoot Pte. Ltd., a Singapore-based low-cost long-haul airline.
Boeing's Dreamliner Contract
Per the contract, UTC Aerospace's Aerostructures unit will build
the aerodynamic framework that will surround the jet engine for
787-10, the next variant in the Dreamliner series. Nacelle systems
will be built for both the GE Aviation GEnx and Rolls-Royce Trent
1000 engine variants.
Additionally, UTC Aerospace will provide aftermarket support for
the 787-10 nacelle systems through its worldwide network of MRO
(maintenance, repair and overhaul) facilities and spares. The
financial details of the transaction, however, were not disclosed.
The contract was an extension of a 2004 agreement wherein the
Aerostructures business had supplied nacelle systems for 787-8 and
787-9 Dreamliners and for engines by General Electric Co. (
) and Rolls Royce.
The 787-10 is the largest jet in Boeing's Dreamliner series, with a
range of up to 7,000 nautical miles. The Dreamliners stand apart
for their distinctive scalloped nacelles (external engine
housings), which facilitate engine noise reduction. Apart from the
nacelle systems, UTC Aerospace also supplies over 20 proprietary
components and systems for the 787 Dreamliner commercial jets.
Scoot selected UTC Aerospace to provide MRO services and inventory
support for its Boeing 787 aircraft through a C.A.R.E. program
agreement. UTC Aerospace has been serving Singapore Airlines under
the C.A.R.E. programs since 2008, supporting the airline's Boeing
777 and Airbus A380 fleet.
Separately, Scoot signed a long-term comprehensive APS5000
Auxiliary Power Unit maintenance support agreement with Pratt &
Whitney, a segment of United Technologies. Per the support
agreement, Pratt & Whitney AeroPower will provide repair
services and spares asset management for Scoot's new fleet of 20
Boeing 787 series aircraft.
United Technologies presently holds a Zacks Rank #3 (Hold). A
better-ranked stock in the diversified operations industry is
Macquarie Infrastructure Company LLC (
), carrying a Zacks Rank #1 (Strong Buy).
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