Boeing's 787 Ramp-Up Hinges on Albany's Advanced Composites Mastery

ROCHESTER, NH – September 03, 2026 – In a move that reinforces a crucial artery in Boeing’s complex supply chain, Albany Engineered Composites (AEC) has finalized a contract extension to continue manufacturing key structural components for the 787 Dreamliner. The agreement, announced by the Albany International Corp. subsidiary, ensures the continued production of approximately 300 unique composite fuselage frames, underscoring the strategic necessity of reliable, high-tech suppliers as Boeing navigates the turbulent path toward increased production rates.

For more than a decade, AEC’s Salt Lake City facility has been the source of these advanced components for the Dreamliner's forward sections 41 and 43 and aft section 47. This extension is not merely a continuation of business; it is a vote of confidence in a partnership that has become a pillar of stability for a program that, while in high demand, faces persistent production headwinds.

A Linchpin in the Dreamliner's Ascent

The significance of this agreement extends far beyond the factory floor in Utah. It provides a measure of predictability for Boeing at a time when the aerospace giant is striving to ramp up 787 production from its current rate of eight aircraft per month to a target of ten in 2026. While market demand for the Dreamliner is robust, with a backlog reportedly exceeding 1,000 aircraft, Boeing’s ability to meet this demand has been hampered by a series of challenges.

In recent years, the 787 program has contended with everything from intensified FAA scrutiny over quality control to supply chain bottlenecks, including delays in engine deliveries and, more recently, premium business class seating. In this environment, the consistent and reliable delivery of highly specialized, defect-free components is not just beneficial—it is mission-critical. The renewal of the contract with AEC, a trusted supplier since 2014, signals a strategic effort by Boeing to lock down proven performers within its supply network.

“We are excited to continue this partnership, built over more than a decade of successful collaboration,” said Chris Stone, president of Albany Engineered Composites, in a statement. “Albany is fully committed to supporting the ramp of the 787 program with the consistency, quality and reliability our customers have come to expect from Albany.”

The Science of Stability: 3D Weaving and Advanced RTM

Underpinning AEC’s value to Boeing is a deep well of technological expertise. The 787 Dreamliner famously revolutionized commercial aviation with its airframe composed of 50% composite materials by weight, a design choice that dramatically reduces weight, improves fuel efficiency, and lowers long-term maintenance costs. The fuselage frames produced by AEC are a prime example of this advanced engineering in practice.

Albany Engineered Composites is a world leader in proprietary manufacturing techniques like 3D woven composites and Resin Transfer Molding (RTM). Unlike traditional composites made by layering 2D fabric sheets, 3D weaving creates a single, integrated fibrous structure. When this preform is injected with resin using the RTM process, the resulting part is exceptionally strong, damage-tolerant, and can be formed into complex geometries with high precision. This technology allows for the creation of large, one-piece structures that reduce part count, minimize the need for fasteners, and cut down on assembly time and weight.

This same technological prowess is evident in AEC's other high-profile partnerships, such as its joint venture with Safran Aircraft Engines to produce 3D woven composite fan blades and cases for the LEAP engine, which powers the Boeing 737 MAX and Airbus A320neo families. The success of that program, which has delivered significant weight savings and performance gains, has solidified AEC’s reputation as a pioneer in industrialized, high-rate composite manufacturing.

From Strategic Review to Financial Revival

The Boeing contract extension has done more than secure a production line; it has revitalized the future of AEC’s entire Salt Lake City operation. The deal was the cornerstone of a recent strategic review by parent company Albany International, which concluded with a decision to retain and invest in the Utah facility. This positive outcome was bolstered by an amended agreement for the CH-53K helicopter program and several new defense contracts.

The financial turnaround is stark. Following the successful contract renegotiations, Albany International dramatically increased its Q3 2026 Adjusted Earnings Per Share (EPS) guidance from a previous range of $0.60-$0.70 to a robust $1.40-$1.50. Analysts noted this significant improvement is driven primarily by margin expansion and cost avoidance, directly tied to the more favorable terms of the renewed contracts. The company now anticipates double-digit growth for its Engineered Composites segment over the next several years, with a target of achieving mid-to-upper-teens EBITDA margins, and expects the Salt Lake City facility to be cash-flow positive starting in 2027.

For Salt Lake City, the decision secures hundreds of high-skilled manufacturing jobs and reinforces the region’s status as a critical hub in the global aerospace supply chain. The facility's renewed health demonstrates how local manufacturing capabilities can provide the bedrock for global aviation giants.

Navigating a Competitive and Demanding Market

AEC operates in a fiercely competitive landscape, contending with material giants like Hexcel and Toray and major aerostructures manufacturers such as Spirit AeroSystems. However, AEC has carved out a defensible niche as what some analysts call the largest “pure-play” composite components specialist. Its focused expertise in advanced manufacturing processes gives it a competitive edge in producing complex, high-value parts that others cannot easily replicate.

As Boeing pushes to clear its massive 787 backlog and capitalize on the resurgence in long-haul international travel, the performance of its entire supply chain will be under a microscope. By securing its partnership with Albany Engineered Composites, Boeing has shored up a vital link in that chain, relying on proven technology and a decade of collaboration to help build the future of its Dreamliner program.