Kale Group Takes a New Step in Global Aerospace Industry

Pratt & Whitney founded the Kale Pratt &Whitney Uçak Motorlar? San. A.?. Kale will have a 51% and Partt & Whitney a 49% share in the joint ven

Issue 23 - November 2010

Empasizing that the company would operate at the facilities to be built at the Izmir ESBA? Free Zone, Okyay went on to add: “Until this investment is completed, our operations will continue at the Kale Aerospace facilities that we are located. We foresee the investment in the plant to commence in November 2010, completed in December 2011 and continuous production at the said facilities in January 2012. The first phase test production will be realized at Kale Aerospace andplan to undertake continuous production at our new facilities. The initial stage investment amount will be 60 million dollars and our new facility will be built on an area totaling 40,000 m2 of which 12,000 m2 will be closed space. I am pleased that this investment after five years will turn into a project that will provide employment for 700 individuals.”

In the ceremony marking the event, the founder of Kale Group and the dean of industry, Ibrahim Bodur made a statement. Ibrahim Bodur said: “Our partner Pratt & Whitney will not regret being a partner here.We want to increase the investment amount to 100 million dollars as soon as feasible. I want to lay the foundation of this plant on Republic Day on 29 October.One year later on 29 October in 2011 we will have finished the contruction of the plant. This partnership is based on trust. For this manufacturing facility they will provide us with 6 or 7 key experts. This is very important for they will provide the technology to us.”

Speaking at the ceremony, the Minister of National Defence Vecdi Gönül reminded the audience that the Turkish aerospace industry is growing very rapidly and said: “The manufacturing to take place here will not just be limited to the engine parts of the JSF. Pratt & Whitney in any case is still a partnerwith Turkish Technic. They established a maintenance center next to Sabiha Gökçek Airport. In the ensuing years Pratt & Whitney will manufacture the engine components of other aircraft. Pratt & Whitney will be a long-term investor.”

Indicating that aside from the manufacture of engine components for the F-35 aircraft, they had joint projects with THY and Alp Aviation in Turkey, Pratt & Whitney Senior Vice President David Galuska said: “We have formed a long-term partnerships in Turkey. We can manufacture other engine components with Kale Aerospace. Without Turkey’s support, the F-135 project would not have been this successful. Our belief in Turkey and Turkish industry is complete.” Stating that 7 companies are part of the American based company, Galuska said: “We will expand our activities in United Technologies.” Mentioning that they are pleased in establishing an aircraft engine center with Turkish Technic, “the military aircraft engines that we manufact?re are used by the armed forces of 29 countries. They describe us as trustworthy. The jointstrike fighter is an engine group that has successfully passed the tests in short take-off and vertical landing.” Mentioning that during the first stage of delivery, two F-135s will be built each month and 3 engines per month will be built in 2011, Galuska mentioned that he foresees accomplishing major successes in manufacturing during the next 3 years and went on to add: “We will herald the beginning of a new era with this partnership. We will protect this standing in world-wide partnerships.”

Speaking at the ceremony, the Undersecretary for Defence Industries Murad Bayar said: As the Turkish aerospace industry, at this time we are providing an industry contribution of a total of 7-8 billion dollars in the JSF project. We have passed an important stage. I would like to give the example of Mexico. Mexico grew its defence industry from 250 million dollars to 10 billion dollars in 10 years. Defence industy manufacturing in Mexico increased from 250 million dollars in 2001 to 10 billion dollars in 2010. Turkey like Mexico can grow very rapidly.” With the joint venture partnership signed between Kale Aerospace and Pratt & Whitney, the 60 million dollars engine parts will be manufactured from a single source, stated Bayar. “In addition, the intent is to increase sales between the two companies to 300 million dollars. Within this framework, the targeted work volume for the JSF program only is expected to exceed 1 billion dollars during the duration of the program.”

The Kale Group entered the defence and aerospace industry with the Stinger project in 1987. Working with multinational companies on various projects, today Kale has assumed the manufacture of over 200 critical fuselage and wing components in the JSF project, considered as the most important aerospace project in the world in 2005, and has a key role in this project.

In the civilian commercial aviation industry, the Kale Group has started manufacturing the fuselage components of the Boeing 737,747, 777and the new generation787 as well as the fuel tank components of the Airbus 319, 320 and 321 and with the partnership agreement signed with the global aerospace engine industry giant Pratt & Whitney, has laid the foundation for the Kale Pratt & Whitney Aircraft Engine Industry, Inc. The company will realize the manufacture of the F-135 engine components.

Initial operations will take place at the Kale Aerospace facilities and subsequently the company will build a plant at the ESBA? Free Zone in Izmir. The facilities’ foundation will be laid in November 2010 with an initial investment of 60 million dollars and is expected to be completed in December 2011. Continuous production will commence in January 2012. The facilities are planned to be built on a 40,000 m2 area of which 12,000 m2 will be closed space. Within 5 years, 700 people are planned to be employed.