New Business Award for European Engine Manufacturer
Velocity Composites plc, the leading supplier of advanced composite material kits, providing engineering value-solutions for the global aerospace industry, is pleased to announce that it has been notified of an award to supply its composite material kits to a new customer based in continental Europe. The customer is a Tier 1 manufacturer of component parts for the Leading Edge Aviation Propulsion ("LEAP") engines used on the latest generation of single aisle aircraft including the Airbus A320 NEO and Boeing 737 Max platforms.
Following receipt of this award manufacturing will now commence, with the finalisation of the Long Term Agreement between the parties, to be concluded shortly, which will run through to December 2020. It is envisaged that work on LEAP engines under this agreement could contribute up to $6m to Velocity’s revenues over this period.
Jon Bridges, Chief Executive Officer of Velocity said:
"This new business award on the largest and fastest growing engine programme in the world is a significant win in its own right. In addition, with the work being based in continental Europe this further enhances Velocity’s growth into this territory, and will be a contributing programme for a new manufacturing site for Velocity in mainland Europe in due course. Whilst the Company determines the right time and location for this site to be established, the composite material kits will be supplied from Velocity’s UK sites."