GKN announced that it has secured new contracts to manufacture components for Rolls Royce and General Electric aircraft engines and parts for Airbus' new 350 XWB plane. The Rolls Royce contract is worth $300 million and is to manufacture tail bearings for Rolls Royce Trent 700 and 1000 model engines until 2020.

The deal with GE Aviation is a five year deal worth $300 million to supply aluminum and titanium components for a number of military and commercial aircraft engines. GKN has also secured contracts to manufacture composite parts for the landing flaps of the wings for Airbus' 350 XWB plane. The value of this deal is not known.

The global aerospace & defense market generated total revenues of $674.6 billion in 2008, representing a CAGR of 5.4% for the period spanning 2004-08. The defense EPM segment was the market's most lucrative in 2008, generating total revenues of $469.2 billion, equivalent to 69.5% of the market's overall value. The performance of the market is forecast to accelerate, with an anticipated CAGR of 6.2% for the five-year period 2008-13, which is expected to drive the market to a value of $910 billion by the end of 2013.

Author: Paul Chapman, Analyst