Magellan Aerospace to invest $120 million in Winnipeg plant for Joint Strike Fighter programme

Winnipeg: Magellan Aerospace has said that it will invest around C$120 million into the Winnipeg Bristol Aerospace plant to get in shape for the joint strike fighter (JSF) programme. The programme is a multinational effort led by the United States, which could churn billions of dollars in revenue for the Canadian company over the next 30-odd years.

Magellan has been manufacturing low quantities of components and assemblies for the JSF programme since the past five years. The company says it is "well-positioned" to secure future contracts under the programme.

The Canadian government would provide Magellan around C$43.4 million in repayable financial support for technology and process development. Lockheed Martin is developing the F-35 supersonic stealth fighter, working with Northrop Grumman and BAE Systems. Three variants of the F-35 would replace around 13 types of aircraft for 11 countries.

 The federal government would invest around C$43.4 million over the coming five to seven years, starting with the current quarter, through the Strategic Aerospace and Defence Initiative (SADI) program. The SADI funds will go towards the development of new manufacturing and process technology for composite and metallic materials for the F-35 Lightning II aircraft.

Magellan's management estimates that it could see as much as $3 billion over the next 25 to 30 years from the programme, with annual revenues of around $120 million once full-rate production is reached.

In a statement, Jim Butyniec, chief executive officer of Magellan said that the JSF is a game-changing programme due to its size and advanced technology, and for Magellan, its manufacturing and process technology.

Butyniec said that the company has been investing in capabilities for the JSF programme in other Magellan locations, and has been in discussions with various levels of government for training and sophisticated tooling, ''both in Manitoba and Ontario."