Bell’s Future Long Range Assault Aircraft Enters Milestone B

Rhea-AI Summary

Bell Textron Inc., a Textron Inc. (NYSE:TXT) company, announced that the U.S. Army has approved the Milestone B decision for the Future Long Range Assault Aircraft (FLRAA), marking the beginning of the weapon system's Program of Record. This milestone follows the FLRAA contract award in December 2022 and allows the program to enter the Engineering and Manufacturing Development (EMD) phase.

The FLRAA team will focus on design maturation and prototyping, aiming to deliver a transformational aircraft that will fly twice as far and twice as fast as the current fleet. Bell has established new state-of-the-art facilities and innovative manufacturing processes to support the program's execution, utilizing mature tiltrotor technology coupled with digital engineering and open architecture approaches.

Positive

• Milestone B approval marks the beginning of FLRAA's Program of Record, indicating progress in the project
• The program is entering the Engineering and Manufacturing Development (EMD) phase, moving closer to production
• Bell has established new facilities and innovative manufacturing processes to support the program
• The FLRAA is designed to fly twice as far and twice as fast as the current fleet, potentially offering significant military advantages

Negative

• None.

Defense Industry Analyst

The Milestone B approval for Bell's Future Long Range Assault Aircraft (FLRAA) is a significant development in the U.S. Army's modernization efforts. This decision marks the transition from the technology maturation phase to the engineering and manufacturing development (EMD) phase, indicating the Army's confidence in the program's viability.

The FLRAA, based on Bell's V-280 Valor tiltrotor design, promises to revolutionize military aviation with its ability to fly twice as far and twice as fast as current helicopters. This capability could dramatically enhance the Army's operational reach and flexibility in future conflicts.

For Textron Inc. (NYSE:TXT), Bell's parent company, this milestone potentially secures a multi-billion dollar revenue stream for years to come. However, investors should note that the EMD phase still carries technical and financial risks and full-rate production is still years away.

Financial Analyst

The Milestone B approval for Bell's FLRAA program is a positive indicator for Textron Inc.'s (NYSE:TXT) long-term financial outlook. This decision effectively de-risks the program to some extent, potentially leading to more stable and predictable revenue streams from the defense sector.

While specific contract values weren't disclosed, military aviation programs of this scale typically involve billions of dollars over their lifecycle. The FLRAA could become a significant contributor to Textron's top and bottom lines in the coming years, especially as it progresses towards full-rate production.

Investors should monitor Textron's R&D expenses and capital expenditures in the near term, as the EMD phase may require substantial investments. However, the long-term potential for recurring revenue and international sales could make this a transformative program for Textron's aerospace segment.

FORT WORTH, Texas--(BUSINESS WIRE)-- Bell Textron Inc., a Textron Inc. (NYSE:TXT) company, announced today the United States Army has approved the Milestone B decision for the Future Long Range Assault Aircraft (FLRAA), marking the beginning of the weapon system’s Program of Record (PoR).

The United States Army has approved the Milestone B decision for the Future Long Range Assault Aircraft, marking the beginning of the weapon system’s Program of Record. (Photo: Business Wire)

"This achievement marks a historic moment for both the U.S. Army and Bell,” said Ryan Ehinger, Bell’s Senior Vice President and Program Director, FLRAA program. “Now that the program has Milestone B approval, the course is set for delivering transformational capability to the warfighter. The FLRAA team remains laser-focused on working in tandem with the U.S. Army to execute the next phase of Engineering and Manufacturing Development (EMD).”

The Milestone B decision is a part of the Major Capability Acquisition process and comes after years of the Bell team working alongside the U.S. Army and Bell’s FLRAA teammates to decompose requirements, reduce risk and inform the weapon system acquisition. This includes the execution of the Preliminary Design Review (PDR) ensuring integration and effectiveness of the aircraft’s design including weapon system design, sustainment and system integrations that are integral to the U.S. Army’s special mission requirements.

“This significant milestone is made possible by the years of hard work and sacrifice by Team FLRAA and our teammates throughout the Army and the Department of Defense,” said COL Jeffrey Poquette, FLRAA Project Manager. “We are poised to deliver a truly transformational aircraft for the Army. The hard work continues into the Engineering and Manufacturing Development Phase where we will design, build and test FLRAA prototypes. It is certainly an exciting time for the program.”

Following the U.S. Army’s FLRAA contract award in December 2022, Bell established several new state-of-the-art facilities and established several new innovative manufacturing processes to drive cost, schedule and performance to support the program’s execution. As Bell and the FLRAA team enter into the EMD phase, Bell’s focus will be on continued design maturation and prototyping.

The U.S. Army’s new long-range assault aircraft will fly twice as far and twice as fast as the current fleet. By utilizing mature tiltrotor technology coupled with an innovative digital engineering approach and an open architecture, it will be the most reliable, affordable and high-performing long-range assault aircraft in the world.

Follow Us:
Facebook
Twitter
LinkedIn
Instagram
YouTube

This material is based on work supported by the Army Contracting Command – Redstone Arsenal under Contract No.W58RGZ-23-C-0001.

Any opinions, findings and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of the Army Contracting Command – Redstone Arsenal.

ABOUT BELL

Thinking above and beyond is what we do. For more than 85 years, we’ve been reimagining the experience of flight – and where it can take us.

We are pioneers. We were the first to break the sound barrier and to certify a commercial helicopter. We were a part of NASA’s first lunar mission and brought advanced tiltrotor systems to market. Today, we’re defining the future of advanced air mobility.

Headquartered in Fort Worth, Texas – as a wholly-owned subsidiary of Textron Inc., – we have strategic locations around the globe. And with nearly one quarter of our workforce having served, helping our military achieve their missions is a passion of ours.

Above all, our breakthrough innovations deliver exceptional experiences to our customers. Efficiently. Reliably. And always, with safety at the forefront.

ABOUT TEXTRON INC.

Textron Inc. is a multi-industry company that leverages its global network of aircraft, defense, industrial and finance businesses to provide customers with innovative solutions and services. Textron is known around the world for its powerful brands such as Bell, Cessna, Beechcraft, Pipistrel, Jacobsen, Kautex, Lycoming, E-Z-GO, Arctic Cat and Textron Systems. For more information, visit: www.textron.com.

Certain statements in this press release are forward-looking statements which may project revenues or describe strategies, goals, outlook or other non-historical matters; these statements speak only as of the date on which they are made, and we undertake no obligation to update or revise any forward-looking statements. These statements are subject to known and unknown risks, uncertainties, and other factors that may cause our actual results to differ materially from those expressed or implied by such forward-looking statements, including, but not limited to, the efficacy of research and development investments to develop new products or unanticipated expenses or delays in connection with the launching of significant new products or programs; changing priorities or reductions in the U.S. Government defense budget, including those related to military operations in foreign countries; changes in worldwide economic or political conditions that impact demand for our products, interest rates or foreign exchange rates; our ability to perform as anticipated and to control costs under contracts with the U.S. Government; the U.S. Government’s ability to unilaterally modify or terminate its contracts with us for the U.S. Government’s convenience or for our failure to perform, to change applicable procurement and accounting policies, or, under certain circumstances, to withhold payment or suspend or debar us as a contractor eligible to receive future contract awards; and performance issues with key suppliers, subcontractors or business partners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240804148748/en/

Press

Bell

Blakeley Thress

+1 817-280-3100

mediarelations@bh.com

Online Media Kit

Source: Textron

FAQ

What is the significance of the Milestone B decision for Bell's FLRAA program?

The Milestone B decision marks the beginning of the Future Long Range Assault Aircraft (FLRAA) Program of Record, allowing Bell to proceed with the Engineering and Manufacturing Development (EMD) phase of the project.

How does the FLRAA compare to the current U.S. Army fleet in terms of performance?

The FLRAA is designed to fly twice as far and twice as fast as the current U.S. Army fleet, offering significant improvements in range and speed capabilities.

What technologies is Bell using in the development of the FLRAA?

Bell is utilizing mature tiltrotor technology, coupled with an innovative digital engineering approach and an open architecture for the development of the FLRAA.

When was the FLRAA contract awarded to Bell Textron (NYSE:TXT)?

The U.S. Army awarded the FLRAA contract to Bell Textron in December 2022.