MTU Maintenance: November Orders Worth About 500 Million Euros

MUNICH, Germany --- MTU Maintenance in November has been awarded nine contracts worth about 500 million euros and came on strong in a hotly contested market. "The deals we made again demonstrate that amid a difficult economic environment, MTU remains competitive and well positioned," commented Egon Behle, CEO of MTU Aero Engines. The agreements signed in part are long-term, up to ten-year arrangements covering V2500, CF6 and PW2000 engines. They mostly come from the United States and Europe.>> Shortly before the turn of the year, Behle said he was satisfied with the way things were going: "This year, MTU has pulled significant levers for the years ahead also in the OEM segment. We've launched into four new engine programs that will figure substantially in sales over the next several decades.">> The company estimates the programs to be worth in the vicinity of 20 billion euros taken over their life. They involve the PW810 for large business jets, the two geared turbofan engines PW1217G for the upcoming Mitsubishi Regional Jet and PW1524G for the Bombardier CSeries, as well as the GE38 to power heavy-lift helicopters. MTU has taken a stake also in two versions of General Electric's LM6000 gas turbine.>> The current slowdown in air traffic has had little impact on MTU's fortunes. "Our spare parts business is largely stable, and thanks to our modern engine portfolio, our business is less severely affected by aircraft standdowns," says Behle. Older engine types which are particularly affected by aircraft retirements account for only about three percent of MTU's commercial engine sales, and the parking rate for aircraft incorporating engines from MTU's portfolio currently is several percentage points below industry average.