MTU Aero Engines Joins Pratt & Whitney in Geared Turbofan Development

Released on Friday, December 14, 2007

EAST HARTFORD, Conn., Dec. 14, 2007 � Pratt & Whitney, a division of United Technologies Corp. (NYSE:UTX), and MTU Aero Engines have agreed to collaborate on Pratt & Whitney's next generation product family including the new Geared Turbofan engine. The agreement, which is subject to the launch of the aircraft programs, gives MTU Aero Engines about a 15% stake in key future engine programs with Pratt & Whitney and Pratt & Whitney Canada.

Under the agreement, MTU will share in the design and manufacturing of the Pratt & Whitney Canada's 10,000 pound thrust class engine, the 15-17,000 pounds thrust class Geared Turbofan engine for the Mitsubishi Regional Jet, and the 23,000 pound thrust class Geared Turbofan engine for the Bombardier CSeries. The company will also provide research and development investment for each of the programs. Financial and manufacturing details of the agreement were not disclosed.

"We are pleased to continue our long-time partnership with MTU Aero Engines with this agreement on the Next Generation Product Family," said Pratt & Whitney President Steve Finger. "MTU has been involved in the development of key technologies for these products for years and we are excited to share a collective stake in the future of these programs."

Pratt & Whitney's Next Generation Product Family is setting new standards for fuel efficiency, engine noise, environmental performance and low operating costs. The Geared Turbofan engine has already been selected by Mitsubishi Heavy Industries Ltd. as the exclusive power for the new 70- to 90-passenger Mitsubishi Regional Jet. Bombardier has also confirmed selection of the Geared Turbofan engine to power the new CSeries family of 110- to 130-seat aircraft pending the launch of the CSeries aircraft program. Both aircraft are expected to launch in 2008 and scheduled to enter service in 2013.