GKN Aerospace Investors/ Analysts Briefing
Farnborough Airshow 2010
GKN: Leadership in four specialist, global sectors
(2009 Revenues)
Automotive – sales £1803m
Powder Metallurgy – sales £512m
Land Systems – sales £593m
Aerospace – sales £1486m
GKN Aerospace 2010
Market
Business
Mix
Sector
Customer
Base
GKN Aerospace Organisation
Integrated Aerostructures
Propulsion Systems
Special Products
65%
25%
10%
• Focussed business sector groups
• Coordinated Customer approaches
• Common Technology plan
GKN – Growing a Global Aerospace First Tier
$400M UK Based
SAMULET
AWIATOR II
EFFICOMP
ELF1
ALCAS
A400M Spars
Civil Focus
$2.3Bn Global First Tier
Acoustic
VITAL
ELF2
NGCW
Integrated Wing Microwave Curing
NGCW Automation
Civil Military Balance
Investing In Technology
And Collaboration
Build To Print Aerostructures
Risk Sharing Design and Build Partner
Aerostructure, Engines and Canopies
Aerospace Highlights for 2009
Record Financial Year
Double Digit Margin 11.4%;
Cash Generative throughout business;
Successful Acquisition and Integration of Filton
Outperformed Budget and Board Paper
Transfer of ~1,500 employees to GKN
Strong Operational performance in all businesses
New Business wins and LTA Business agreements secured
Development Funding Secured on A350 XWB Programme
£60m Repayable Launch Aid UK Government (BIS)
€80m European Investment Bank (EIB)
GKN Aerospace-Delivering Continual Improvement
Aerospace Trend
2500
300
275
250
2000
225
OPBI $m
1500
175
150
125
1000
100
75
500
50
25
0
0
2003
2004
2005
2006
Sales
2007
OPBI
2008
2009
Sales $m
200
Business Successes In 2010
BAe Systems-JSF Metallic and
Composites
$220M
Pratt & Whitney LTA
$360M
Bombardier- C Series Winglets
$110M
Rolls Royce LTA
$300M
Airbus A350 Flap Kits
$330M
General Electric LTA
$300M
In Excess of $1.5 BN
GKN Aerospace- Positioned for the Future
A320
A330
B787
A350
A380
907 Applications
CH53-K
V-22
JSF
Blackhawk
A400M
0
1
2
3
4
5
6
7
8
(Ship Set Values US$m)
Technology Drivers
Technology Drivers
Conventional Aircraft Power Sources
More Electric Aircraft Concept
79 % = Single Aisle
Source - International Air Transport Association
Technology Highlights
GKN Aerospace Technology Roadmap
Solutions
2010
2020
Complex RTM
High
Performance
Structures
Welded integrated
aft-boom pylon
CompositeSpar
Advanced
Manufacturing
( High rate &
Lower Cost )
Machining process
optimisation
Composite
fan case
Rapid Automated
tape laying
Automated Assembly
Advanced Fibre
Placement
Complex forming
Weight Reduction
Composite
fan blades
Composite
wing box
Laser Processing
Acoustic
Technologies
Winglets
Composite Recycling
Environmental
technologies
Out of Autoclave
Multifunctional
technologies
Microwave curing
Laminar flow wing
Multi Functional
Transparancies
Health Monitoring
Embedded
Systems
Lower power ice
protection systems
Advanced
coatings
GKN Aerospace Technology Plan Examples
Solutions
High
Performance
Structures
Advanced
Manufacturing
( High rate &
Lower Cost )
Composite
fan blades
Advanced Fibre
Placement
Weight Reduction
Environmental
technologies
Winglets
Multifunctional
technologies
Electrothermal Ice
Protection
Technology Joint Venture with Rolls-Royce
Delivers significant performance improvement
Focussed on Next Generation Engines
New rapid manufacturing technology
Contract value over $1bn for A350
Further development potential for NGSA
c. 2% Fuel burn saving
Technology selected for B767 & C Series
Over £100m business already contracted
First commercial aircraft application on B787
£150m+ life of programme contract
Future low power solutions being developed
UK Technology Growth And Collaboration Initiatives
Expanding UK Composite Application Research
UK National Composites Centre in Bristol with multi
company participation set up in October 2009
Leading all UK Industry, Academia and Government
working together on cross sector applications of
Composites
Includes materials, equipment and tooling participants
GKN is a founder member of the NCC
Expanding GKN Dedicated Composite Research
Centre to Include Engine Products
Operating for over 5 years in Aerostructures
Focussed on the development of composites products
Includes GKN/ RR Joint Venture
Dedicated engineering and manufacturing resources
Works in conjunction with the NCC
GKN metallic research aligned to compliment
composites in areas such as titanium applications
GKN Composite Research
Centre
GKN Technology Highlights – Composite Aerostructures
Participation in Next Generation Composite Wing
Automated composite roll forming trials underway
Integrated wing u-box development started
Birdstrike Testing on Composite performed
Rapid Material deposition trials continue
Optimised tooling studies under development
Rapid NDT being investigated
GKN participation in Laminar Wing LE studies as
part of EU Clean Sky Programme
Multi technology programme
Wing Structures
Novel Moveables
Surface treatments & coatings
Ice protection
GKN Technology Highlights – Advanced Composite Processes
Microwave Curing Development
OOA prepreg microwave processing trials underway
Optimised tooling development
Ongoing investigation in melding technique
Building partnership on materials & tooling
Flap skin development (autoclaveless)
Laser Processing (Surface & repair technologies,
treatments, coatings)
Automated Laser step ablation process development
Demonstrator trials continue for step / scarf repair
Laser head development
Materials impact testing underway
Spin-off benefit mould cleaning & surface preparation
for bonding and painting purposes
GKN Technology Highlights – Composite Fan System
Latest generation composite fan blades
JV between RR and GKN composite fan blade
development
Directly linked to EU Vital and UK ELF programs
Focussed team with dedicated facilities
Cross program composite technology application
benefits – ATL and AFP experience Aerostructures
GKN development of composite engine
structures
Existing development and production of wide range
of structural composites such as fan frames and
cases
Building momentum alongside composite fan blade
activities
Collaborative programs with a number of OEM
customers
GKN Technology Highlights – Acoustics
Development of optimised composite acoustic liners
SDOF & DDOF zero-splice composite intake acoustic liner
designs
Laser drilling of composite micro-perforates
Metallic honeycomb intake lip liner technology
Integrates ice protection & acoustic treatment
Offers alternative solutions for non electric aircraft
requirements
Ice detection
Fibre optic ice detector development programme
Integrating Ice protection & acoustics
Electro thermal IPS and acoustically protected composite
scoop intake.
Next generation Low Power IPS.
Low power electro thermal Leading Edge Ice Protection
systems .
Summary
Proven track record of growth and performance
Continued business winning success
Investing in Technology and R&D with recognised role
in the NCC
Clear vision and focus for the future portfolio position
Strong platform for continued growth