Velocity Comp Share News (VEL)

(Alliance News) - Velocity Composites PLC on Tuesday said it has received approval from Boeing Co to supply structural composite material kits for Boeing's single isle narrow body jet platform.

The AIM-listed company, which supplies composite material kits to the aerospace market, said the approval follows 18 months of preparation, planning and audit, involving Velocity, Boeing and an undisclosed advanced aerostructure manufacturer through whom the Boeing contract is managed.

This deal also expands Velocity's previous contract with Boeing - which was signed in June 2018 - to supply complex design kits for the Boeing 737 Max programme. The expanded deal includes the supply of structural composite material kits for Boeing's single aisle narrow body jet platform.

Velocity said it is now producing its first article inspection products in respect of structural material kits for the platform and expects to supply these for customer approval by the end of January 2020.

"We are absolutely delighted to have secured approval from Boeing for our structural material kits and to have extended the substantial contract with an important customer," said Velocity Chief Executive Jon Bridges.

"Velocity will now be supplying all its materials for the Boeing 737 Max programme in value-engineered kit form," added Bridges.

Velocity shares were trading 1.2% higher in London on Tuesday at 42.00 pence each.

By Evelina Grecenko; evelinagrecenko@alliancenews.com

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