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June 20, 2017 / 1:45 PM

Boeing announces Rolls-Royce engine contract

Boeing has announced that its subsidiary Aviall received a contract for sales and engine parts for the Rolls-Royce AE family of defense engines.

Boeing announces Rolls-Royce engine contract

V-22 Osprey, which uses a Rolls-Royce engine, is one of several aircraft whose parts will be supplied by Aviall, Boeing announced on Tuesday. U.S. Navy photo

June 20 (UPI) -- Boeing has announced that its subsidiary Aviall received a contract on sales and engine parts for the Rolls-Royce AE family of defense engines.

Boeing and Rolls-Royce agreed that Aviall will become the sole-source provider of sales and engine parts for AE defense engines worldwide. Long-term industry projections suggest that the deal could be worth over $10 billion over the lifecycle of the platforms using AE engines

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"We are pleased to further expand our relationship with Rolls-Royce through this exciting, long term strategic agreement," Eric Strafel, president and CEO at Aviall, said in a statement. Aviall already provides services for Rolls-Royce T56, M250 and RR300 engines.

"This new agreement with Aviall will ensure operators of AE military engines around the world will get the best parts distribution service available," Paul Craig, Rolls-Royce Director of Defense Services, added.

The contract includes the turboprops used on the C-130J, C-27J, and Shinmaywa US-2 aircraft. The AE 1107C turboshaft used on the VTOL V-22 Osprey is also included in the deal.

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