ST Aerospace Signs Comprehensive Engine and Material Support Agreements with CFM

Released on Monday, July 14, 2008

FARNBOROUGH, England � 14 July 2008 � CFM International (CFM) has inked a series of agreements with Singapore Technologies Aerospace Ltd. (ST Aerospace) in support of ST Aerospace's CFM56-3, CFM56-5B and CFM56-7B maintenance, repair and overhaul (MRO) operations.

These agreements include a comprehensive 10-year materials services agreement that encompasses component repairs and the provision of both new and used serviceable materials for life-limited and non-life limited parts for the CFM56 engine. The value of this agreement is estimated at US$1.5B and takes effect immediately. As part of the material services agreement, CFM will establish a spare parts logistics center in Singapore to better support ST Aerospace and its customers in the region.

In addition to the material services agreement, ST Aerospace and CFM also signed an Engine Overhaul Support Agreement, which will grant ST Aerospace access to OEM technical support and data from CFM.

"This agreement is really a win-win proposition," said Eric Bachelet, President and CEO of CFM. "ST Aerospace can now bring all the benefits of genuine CFM parts, fully backed by the original manufacturer, to its customers and we are now closely affiliated with one of the largest and most respected maintenance providers in the world with a truly global network."

"We are pleased to further develop our partnership with CFM across the various dimensions of total MRO support for the CFM56 family of engines," said Tay Kok Khiang, President of ST Aerospace. "Through today's agreements, ST Aerospace will be able to leverage on the wide-ranging partnership with CFM to bring greater value to customers of our Engine Total Support solution through OEM support in materials and engineering data."

CFM56 engines are a product of CFM International (CFM), a 50/50 joint company between Snecma (SAFRAN Group) and General Electric Company.