SOURCE: IAE International Aero Engines AG

IAE International Aero Engines AG

September 21, 2011 08:00 ET

A Respectful, Long-Term Relationship -- IAE's V2500 Engrained in China's Air Transportation Industry

BEIJING--(Marketwire - Sep 21, 2011) - The relationship between China Southern Airlines and International Aero Engines might be measured by the number of V2500 engines in operation or on firm order. However, there is much more to this arrangement than just engines -- it is a global partnership.

"Just as China Southern has a vested relationship with our V2500 engine, IAE has established a substantial presence at China Southern and, in fact, all of China," explains IAE Regional Vice President Bob Zimmerman. "We have invested to create a notable infrastructure so that we can provide the appropriate levels of support to our customers."

IAE has a substantial presence in China, as 17 operators fly the V2500. IAE has a sales and customer support office, 11 field offices, training and overhaul facilities, and provides final assembly line support at the Airbus final assembly line facility in Tianjin.

China Southern's order of 65 Select One engines announced at the Paris Air Show in June brought the total number of China Southern airplanes in service and on order powered by the V2500 to 177 making it IAE's largest customer. In addition, it selected a long-term engine maintenance agreement. Deliveries for this latest order will begin in May 2012. The total value of the agreement is in excess of $750M.

In recognition of China Southern's position as the largest V2500 operator, IAE and China Southern have jointly committed to work together to establish a V2500 Technical Training Center, to be located in Guangzhou. We are excited to announce that the Guangzhou training facility is currently planned to open in the 1st quarter of 2012 and will serve as a training center of excellence for the region.

China Southern maintains one of the best flight-safety records in the world and is proud of its outstanding reliability and performance. The airline also displays its commitment to V2500 engines through its joint venture repair and overhaul facility with MTU Aero Engines, an IAE shareholder.

IAE is a multinational aero engine consortium whose shareholders comprise of Pratt & Whitney (NYSE: UTX), Rolls-Royce (LSE: RR), Japanese Aero Engines Corporation and MTU Aero Engines. There are more than 5,500 V2500s in service or on firm order with nearly 200 customers around the world.

For more than 32 years, China Southern -- www.csair.com/global -- has been the largest airline in The People's Republic of China and is headquartered at the ultra-modern Guangzhou Baiyun International Airport. China Southern operates a fleet of 414 modern aircraft and serves 172 cities in 30 countries and regions, forming an extensive network with Guangzhou and Beijing as its hubs.

China Southern is a member of SkyTeam and together with the alliance's 13 member airlines offers its 384 million annual passengers a worldwide system of more than 13,000 daily flights covering 898 destinations in 169 countries.