Friday, October 17, 2008

Pratt & Whitney pulls in $1.4B engine deal

Pratt & Whitney reports it has won a contract potentially worth $1.4 billion from the Boeing Co. Under the deal, the United Technologies Co. subsidiary will provide engine maintenance for the C-17 aircraft fleet.

East Hartford, Conn.-based Pratt & Whitney will provide fleet management support, configuration control, thrust reversers and engine wash services for 800 F117 engines. The contract includes a one year contract and the option to extend for two additional years through 2011. Four F117 engines provide power for the C-17 Globemaster III, a heavy airlifter.

Last month, Pratt & Whitney landed a $491 million production contract for F135 propulsion systems to be used in 12 F-35 Lightning II airplanes.

In July, the company received an $83 million contract to manufacture and supply CIT Aerospace with its International Aero Engines V2500 engines. The engines, CIT reports, will be used in 15 Airbus A320-family aircraft. The contract covers propulsion engines for six short-takeoff/vertical-landing (STOVL) aircraft and six conventional take-off/landing (CTOL) aircraft, to begin delivering in third quarter 2009.

In 2007, Pratt & Whitney won two separate $1 billion deals — one from the U.S. Air Force and one from the U.S. Department of Defense — for aircraft engines. Pratt & Whitney also announced plans to open a $12 million engine part testing facility in Middletown, Conn. The facility is designed to test engine parts and gear under in-flight conditions, including in simulated altitudes of up to 45,000 feet.

Hartford, Conn.-based United Technologies (NYSE:UTX) reported a 2007 net income of $4.2 billion on revenue of $54.8 billion.