Hexcel to Supply Carbon Fiber Composites for Airbus A350 XWB

Primary Structures 
Contract Valued at $4 - $5 Billion over its term 
STAMFORD, Conn.--(BUSINESS WIRE)--May 30, 2008
Hexcel Corporation (NYSE: HXL) today announced that it has been
awarded a contract to supply carbon fiber composite materials for
major primary structures of the Airbus long-range wide-body A350 XWB
aircraft. The award covers the entire family of A350 XWB aircraft
through 2025. In the coming months, as the A350 XWB design is
finalized, Hexcel and Airbus have agreed to complete the final
specification and qualification of Hexcel's materials for the selected
primary structures. Hexcel expects the award to generate revenues of
$4-5 billion over the life of the contract. In addition to the award
for primary structures, Hexcel is offering other composite products
for consideration for use in secondary structures and interiors, such
as fabrics, resins, prepregs, adhesives, honeycombs and HexMC(R)
molded parts for the A350 which could be a source of significant
additional revenues associated with the program. 
Mr. David E. Berges, Hexcel's Chairman and Chief Executive Officer
said, "This achievement is the result of years of innovation,
technical and operational developments and breakthroughs thanks to the
hard work by many dedicated employees at both companies. As a
composites industry leader, Hexcel believes that it offers the right
mix of materials science, product portfolio and other creative
solutions to meet a broad range of our customers' needs, particularly
in aerospace and wind energy. We are extremely proud that we have been
awarded this contract and look forward to supporting the success of
the A350 program." 
Under the A350 XWB award, Hexcel will principally supply a
HexPly(R) toughened epoxy prepreg made with Hexcel's HexTow(R)
intermediate modulus carbon fiber. Hexcel expects to make significant
capital expenditures for capacity expansions as the A350 ramps up to
its anticipated build rate. The exact timing and the size of these
expansions will be determined by the build rate forecasts by Airbus
and its suppliers. The materials and their components will be
manufactured at Hexcel facilities in the U.S., France, Spain, Germany
and the United Kingdom. 
Certain statements contained in this release may constitute
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. Achieving the estimated
level of Hexcel's sales for the A350 XWB involves a number of risks,
uncertainties and other factors that could cause actual results to
differ materially from estimates, among which are the actual
requirements of Airbus for Hexcel's products for the A350 XWB based on
its final design, and the ability of Hexcel materials to be qualified
to the specification and the aircraft to be certified. Other risks
such as interruption or cancellation of the A350 XWB program;
disruption in the supply chain, changes to the design requirements
leading to use of materials not supplied by Hexcel could lead to
materially different results for Hexcel. For a description of other
factors see Hexcel's filings with the Securities and Exchange
Commission. Hexcel undertakes no obligation to update forward-looking
statements. 
Hexcel Corporation is a leading advanced composites company. It
develops, manufactures and markets lightweight, high-performance
structural materials, including carbon fibers, reinforcements,
prepregs, honeycomb, matrix systems, adhesives and composite
structures, used in commercial aerospace, space and defense and
industrial applications. 
CONTACT:
Hexcel Corporation
Financial:
Wayne Pensky, 203-352-6839
wayne.pensky@hexcel.com
or
Media:
Michael W. Bacal, 203-352-6826
michael.bacal@hexcel.com
 
 
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