China's Zhejiang Loong Airlines has signed a Rate per Flight Hour (RPFH) agreement with CFM International to support its fleet of CFM56-5B engines.
Under the terms of the 12-year agreement, which is valued at $138 million U.S., CFM will guarantee maintenance costs for a total of 17 CFM56-5B engines on a dollar per engine flight hour basis.
Zhejiang Loong Airlines, based in Hangzhou in Eastern China, began commercial operations in December 2013 with two CFM56-5B-powered Airbus A320 aircraft.
"The reliability of our CFM56 engines has been a big factor in our successful operations," said Liu Qihong, chairman of Zhejiang Loong Airlines. "They provide the fuel efficiency we need while helping us meet our objectives to protect the environment with fewer emissions."
"Loong Air has accomplished much in a very short amount of time," said Jean-Paul Ebanga, president and CEO of CFM International. "We are building a great relationship with this very dynamic team and look forward to working together for many years to come."
Source: Safran S.A. (Paris: SAF.PA)
Date: Jun 15, 2015