Singapore Technologies Engineering Ltd (ST Engineering)'s aerospace arm, ST Aerospace today announced it has been awarded a contract to support Korean low fare airline Eastar Jet's CFM56-7B engines over 10 years. With a contract value of about US$15m (S$18.8m) per year, the agreement covers Eastar Jet's current fleet of six Boeing 737 Next-Generation aircraft as well as the additional Boeing 737 Next-Generation aircraft that Eastar Jet would be introducing into the fleet. Eastar Jet plans to increase its Boeing 737 Next-Generation fleet to 26 by 2021.
Under the agreement, ST Aerospace will provide Eastar Jet with an integrated suite of engine maintenance, repair and overhaul (MRO) services including off-wing engine maintenance support, on-wing services, technical support and spare engine support. Eastar Jet's engines will be maintained by ST Aerospace's engine facilities located in Singapore and Xiamen, China.
Source: Singapore Technologies Engineering Ltd (SGX: ST Engg)
Date: Feb 14, 2012