UTC Aerospace Systems, a division of United Technologies Corp.UTX , recently announced the expansion of its existing facility in Foley, AL. The company will be adding a new manufacturing and nacelle assembly unit in the area, ensuring around 260 new jobs in the Baldwin County.
UTC Aerospace Systems is one of Alabama's largest aerospace manufacturers in terms of employee strength. The new facility will be primarily built to support the operations of Airbus A320. The nacelle system in A320neo is designed to reduce drag, which in turn will improve fuel efficiency.
Integrated A320 family propulsion systems can easily be delivered from this new facility to Airbus' final assembly line in Mobile. Additionally, the site will cater to other airplanes which use the company's Pratt & Whitney PW1000G Geared Turbofan engine.
Currently, the facility in Foley operates the most efficient factories in the aerospace space, driven by the company's innovative urge to improve its service. The Aerostructures unit in Foley operates two collocated facilities - one is an original equipment plant employing approximately 600 people and the other is a maintenance, repair and overhauls (MRO) facility employing approximately 200 people.
The company chose Foley to expand its nacelle system for the A320neo aircraft since its track record in the city is quite strong. The new facility is likely to start functioning in the second quarter of 2017. Based on customer demand for commercial aircraft, the employment opportunity is also expected to grow.
The company has been a pioneer in providing nacelle technology for the A320 family for over three decades. The expansion of this facility shows the success of the system and the trust its customers have in it. This will not only increase the employment opportunity in the county but also boost the company's revenues and expand its customer base.
UTC Aerospace Systems is one of the world's largest suppliers of aerospace and defense products. The company has more than 6,000 customer service employees across 60 locations worldwide. UTC Aerospace Systems is also engaged in designing, manufacturing and servicing systems and components for various platforms such as commercial, regional, business and military aircraft, and helicopters.
United Technologies, the parent firm of UTC Aerospace Systems, currently carries a Zacks Rank #2 (Buy). Some favorably ranked stocks in the same space include CLARCOR Inc. CLC , Honeywell International Inc. HON and Carlisle Companies Incorporated CSL . All three carry the same Zacks Rank as United Technologies.