IndiGo Drops Pratt For CFM's Jet Engines In $20 Billion Order

Amid troubles with Pratt & Whitney’s gear turbofan engines, IndiGo will become the third airline in India to use CFM engines for its neo fleet after Vistara and Air India

IndiGoNSE 1.54 % announced an order worth $20 billion to source engines from CFM International to power the Airbus A320neo and A321neo aircraft set to join its fleet, changing its main engine supplier as problems with Pratt & Whitney’s geared turbofan engines continued to impact the airline’s Airbus 320neo (new engine option) planes.

The deal is for CFM’s LEAP-1A engines, and includes spare engines and an overhaul support agreement, Indi-Go said in a news release on Monday.

“To support its new LEAP-1A fleet, IndiGo also signed a long-term service agreement,” it added.

The order that IndiGo announced is at list price, on which manufacturers often give huge discounts.

IndiGo has been a customer of USbased CFM since 2016 and currently operates 17A320ceo aircraft powered by the CFM56-5B engines, as part of a total fleet of 215 A320/A321 family of aircraft.

Delivery of the first LEAP-1Apowered A320neo is scheduled to arrive in 2020, the release added.

“The CFM LEAP engine will allow IndiGo to maintain its strong focus on lowering operating costs and delivering fuel efficiency with high standards of reliability,” Riyaz Peermohamed, the chief aircraft acquisition and financing officer at IndiGo, said in the release.

With this order, IndiGo will become the third airline in the country that will use CFM’s engines for its neo fleet.

Air India and Vistara operate their Airbus 320neo fleet with these engines.

“We are fully committed to helping IndiGo optimise its operations by providing them with the industry-leading asset utilisation, fuel efficiency, and overall cost of ownership,” said Gaël Méheust, CFM’s president and CEO.

Source : The Economic Times

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