VSMPO and Boeing Extend Long Term Supply Agreement

VSMPO – AVISMA Corporation (VSMPO) announced that it has agreed with The Boeing Company (Boeing) on an amendment of their existing long term contract for titanium mill products, providing for a three year extension of the contract term through the end of December, 2018.

Under the terms of the amended contract, VSMPO will continue to provide Boeing and its supply chain with agreed minimum annual levels of titanium mill products to support Boeing commercial aircraft manufacturing requirements. In addition, as part of a previously negotiated separate contract expiring at the end of December 2015 VSMPO will continue to supply closed die titanium forgings to Boeing and its partners for all Boeing in-production commercial aircraft programs except for the 747. Ural Boeing Manufacturing, a joint venture between VSMPO and Boeing, will machine a significant quantity of these forgings for the 787 aircraft at its facility located in Verkhnaya Salda.

“This contract extension is reflective of the long term relationship between VSMPO and Boeing” according to Mikhail Voevodin, General Director of VSMPO. “Our company is in its third decade of working very closely with Boeing on providing increasing levels of support, technology and services to Boeing Commercial Airplanes, and we look forward to supporting and partnering with them through the tremendous increase in production rates over the coming years”.

VSMPO will provide sales and service support of these contracts, including logistics, cutting, and just-in-time delivery services through its global sales and distribution network locations in the United States, United Kingdom, Germany, and China.


About PSC VSMPO-AVISMA Corporation

PSC VSMPO-AVISMA Corporation, headquartered in Verkhnaya Salda, Sverdlosk Region of Russian Federation, is the world’s largest producer of titanium products. The Corporation is deeply integrated into the world aerospace industry and for many companies is the basic strategic supplier of titanium products. Titanium sponge refined at AVISMA is used at VSMPO in production of higher value-added mill products, such as billet, bar, plate, and sheet, and in addition in further downstream die forgings and semi-finished machined parts. Production facilities of the Corporation employ approximately 25,000 people globally, with up to 70% of its titanium products exported from Russia. Through its distribution centers, the Corporation can also provide customers with conversion and production services including forging, rolling, cutting, heat-treatment, and machining.