Nordam Halts PW800 Nacelle Production

 - July 9, 2018, 9:08 AM
Due to a contract dispute, Nordam has ceased manufacturing nacelles for Pratt & Whitney Canada's PW800 engine, which powers the Gulfstream G500 and G600. (Photo: Matt Thurber/AIN)

Nordam, which manufactures PW800 nacelles under contract to Pratt & Whitney Canada, has suspended production of the nacelles “as a result of an impasse that has been ongoing since last year with engine‐manufacturer Pratt & Whitney Canada,” Nordam explained in a statement released on July 5.

Pratt & Whitney Canada and Nordam signed a contract in 2010 for Tulsa, Oklahoma-based Nordam to “design, engineer, develop and manufacture inlet, nacelle, thrust reverser, and other components and to combine them with Pratt & Whitney Canada’s PW814 and PW815 engines in arriving at integrated powerplant systems for the [Gulfstream] G500/G600,” according to Nordam.

“After months of unsuccessful attempts to resolve a contract dispute with Pratt & Whitney Canada, we have suspended production on the Gulfstream G500/G600…program,” said Nordam CEO Meredith Madden in the July 5 statement. “We will not allow the contract issues with Pratt & Whitney Canada to negatively impact other parts of our business, which are robust. To that end, we are doing what is necessary to remain financially secure, serve our customers, and protect the reputation we have earned over 50 years in the aerospace industry.”

According to a statement released by a Pratt & Whitney Canada spokesman, “Pratt & Whitney has worked diligently for more than a year with our contracted supplier Nordam to resolve their challenges on the PW800 nacelle program. Our objectives have been to minimize the impact on the Gulfstream program and assist our supplier. Despite having a contract requiring them to perform, Nordam has chosen to breach its contract with us by suspending work on the PW800 nacelle program and we will hold them accountable. P&W is laser-focused on supporting its customer’s engine delivery timelines, and we are taking all measures to minimize the impact on our customer’s aircraft programs.”

Gulfstream’s G500 remains on track for certification this summer followed by service entry later this year.