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MB AEROSPACE STRIKES GOLD WITH MULTI-MILLION DOLLAR BOEING CONTRACTDecember 1, 2006 MB Aerospace Limited, one of the main subsidiary groups of Motherwell Bridge Limited, has announced details of a major order from The Boeing Company on the same day it was awarded gold supplier status from the defence giants. The contract, the largest MB Aerospace has received from Boeing, will see the Motherwell-based company supply several variations of launch systems for the Boeing Harpoon program, including the supply of Torpedo launch systems for submarine platforms. Managed across MB Aerospace's two sites in Burnley and Motherwell, the Boeing contract is a significant extension to the group's current order book with Boeing Integrated Defense Systems of St. Louis, USA. The contract will run concurrently with existing orders and will generate additional sales revenue of approximately $15 million. Subject to customer call-off this will add a further two to three years to the company's order book at its Burnley site where the supply chain management, final assembly and tests are performed. The Boeing contract will stimulate additional work packages for MB Aerospace's Motherwell plant, which has a significant manufacturing capability, providing a range of CAM (Computer Aided Manufacture) and precision machined aerospace components for the commercial and defence aerospace markets. MB Aerospace specialises in the supply chain management, integration and assembly of defence launch systems for a range of global defence contractors and is one of only three companies in Europe to have been awarded the prestigious gold supplier status. Craig Gallagher, managing director of MB Aerospace, said: "We are delighted with this order and it is a great opportunity for both our plants to combine their skills and engineering capability to offer a solution to one of the industry's top global organisations. "Boeing has publicly stated that it intends to support this programme until 2020 and although this Harpoon product is currently over 20 years old and has undergone many upgrades, it remains a challenging but growing programme to support, as Boeing continues to develop and support several international customers.
He added: "We are delighted to have received Boeing Gold Supplier Status and are one of only three European-based companies to have done so. Not only is this a tremendous boost but it highlights our commitment to excellence and further strengthens our long standing relationship with The Boeing Company with whom we've worked closely with for 20 years. "We also recently embarked on a two-year Lean Partnership Initiative with The Boeing Company. Over 30% of our total workforce attended Boeing training courses in the USA, with the aim of improving skills, efficiency and reducing product costs and lead-times. "In recent years industry leaders have been concentrating their efforts on developing high value supply chains which can offer competitive solutions and responsiveness similar to those in the automotive sector. With our ability to integrate manufacturing and other services across both sites, we're in a very strong position to capitalise on the growing range of opportunities." News of the Boeing contract follows the recent £25m order to supply chain manage and manufacture a range of Aftermarket Aero-Engine ring components for Rolls-Royce plc. Mr Dan Korte, Boeing Integrated Defense Systems Vice President for Procurement and Supplier Management said: "We are delighted to congratulate MB Aerospace Limited who have achieved the Preferred Supplier status of Gold, the highest standard of performance for the Boeing Company. "Meeting those challenges demands a lean enterprise throughout Boeing, throughout MB Aerospace and our entire extended supplier family. Lean initiatives are a cornerstone of continuous improvement at Boeing and our suppliers. Together, we can use lean enterprise initiatives to drive continuous improvement and performance. "When a supplier embraces the leadership principles and guiding behaviors that we at Boeing are championing, ideas such as a focus on the customer and on performance, a passion for continuous learning, a dedication to ethics, a focus on being team players and an imperative to inspire people to reach their potential, that shows that we are indeed working as one team, with one future." Defence Minister Des Browne MP, said: "I was absolutely delighted to hear that MB Aerospace had been singled out for this prestigious award. I was also very pleased to hear about the new contract award from Boeing. This must come as excellent news to everyone at the company and it is clear indication of the company's standing in the eyes of Boeing." Kitty Ussher MP for Burnley and Padiham, added: "I am thrilled to hear that MB Aerospace has achieved gold supplier status for performance to The Boeing Company. This is a great achievement, especially when considering that MB Aerospace is one of only three European organisations to achieve this status. "I am delighted by the fact that as well as achieving this status, MB Aerospace has received an order of $15m which will secure work for three years to come and generate work packages in Burnley."
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