Kaman Aerospace has signed a 10-year agreement with MD Helicopters to supply all of its MD500/600 series helicopter fuselages in a deal worth up to $100 million. The work reduces Kaman's heavy reliance on the SH-2G Super Seasprite and K-Max niche product lines.

The agreement forms part of a wider effort by MD Helicopters to redistribute and expand outsourcing of its subassembly work since acquiring the former Boeing civil helicopter business in 1999. Ultimately, the company wants to focus efforts at its Mesa, Arizona plant solely on final assembly of its twin- and single-engine family of MD500/600 and MD902 Explorer helicopters.

The fuselage work being transferred to Kaman was formerly undertaken by Ayres in Georgia, which instead wants to concentrate on launching production of its new Loadmaster freighter aircraft. Production will be divided between Kaman's Moosup plant in Connecticut and an expanded Jacksonville, Florida, facility.

Kaman is contracted to supply 15 fuselages this year, starting in June with the first MD600N subassembly. Production will increase to 49 next year and an expected 60 in 2002. Production of Explorer fuselages has been transferred to Tusas Aerospace Industries of Turkey after it was relinquished by de Havilland of Australia.

MD Helicopters is looking to place all subcontracting currently performed by Boeing.

Source: Flight International