BOSSES at Burnley's Smith's Aerospace are celebrating landing a £40million contract with Rolls Royce.

The firm, based at Wood Top, will supply post production engine components over the next five years.

The contract win safeguards the long term future of the business which employs 300 people in the area, although no new jobs are expected.

The engineering and manufacturing of the components will start immediately at Smiths Aerospace Components facilities in Burnley, until recently AIT (Aero and Industrial Technology) Limited.

The announcement is the second major boost for the borough in seven days. Last week national mortgage company Homeloan Management announced they would employ a 600-strong workforce at their new base at Shuttleworth Mead in Padiham.

The new Smiths Aerospace contract follows the company's £6million investment recently announced for a new facility at the Network 65 Business Park at Hapton, which will be ready later this year. The contract is the first of its type offered by Rolls-Royce on post production parts and follows a pilot scheme undertaken by the Burnley company.

The scope of the contract covers parts for civil, military, industrial and marine engines for a range of aircraft including Hawk, Jaguar, Harrier, Boeing 747, 757 and 767, various helicopter applications and Concorde.

Managing director Richard Thorley said: "We are obviously extremely pleased to be in this position where we are taking a lead in the industry. This contract win is very important for the future security of the business."

Smiths Aerospace is the leading transatlantic aerospace equipment company, with 12,000 staff and £1.2billion revenues split between Europe and North America.

The firm, a part of Smiths Group plc, holds key positions in the supply chains of all major military and civil aircraft and engine manufacturers.