ST Aerospace Supplies the wholly owned subsidiary of Singapore Technologies Aerospace (ST Aerospace), has been awarded an aircraft components Maintenance-By-the-Hour (MBH) contract from AirAsia Berhad for its new…
ST Aerospace Supplies the wholly owned subsidiary of Singapore Technologies Aerospace (ST Aerospace), has been awarded an aircraft components Maintenance-By-the-Hour (MBH) contract from AirAsia Berhad for its new fleet of
A320 aircraft.
The US$130m (about $201m) contract involves components maintenance support over 10 years for 130 Airbus A320 aircraft from AirAsia’s fleet. ST Aerospace is the aerospace arm of Singapore Technologies Engineering Ltd (ST Engineering).
This contract is not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year.
We are pleased to appoint ST Aerospace to undertake the components repair management programme for our new fleet of A320s. Over the years, we have an outstanding ongoing business partnership with ST Aerospace for airframe, engines and components support and are happy to extend this relationship further. ST Aerospace has met our exacting requirements as we expand our fleet to strengthen our route network and serve our guests better, said Tony Fernandes, Group CEO, AirAsia.
We are very happy that AirAsia has selected us again to support its new A320 fleet. The award of this contract attests to the excellent relations and co-operation between AirAsia and ST Aerospace. This is the fifth contract awarded by AirAsia and it is even more significant in that it is on AirAsia’s new fleet. We look forward to continue creating value and enhancing our support for AirAsia as it expands its fleet and operations, said TAY Kok Khiang, President, ST Aerospace
This latest contract adds to ST Aerospace’s current airframe, components and engines support for AirAsia`s Boeing 737 fleet. The four earlier contracts, dating from 2002 to 2004, total about US$133m. AirAsia recently placed a firm order for an additional 50 Airbus A320s with a further 50 A320s on option, bringing total orders for the AirAsia group to 150 aircraft, plus 50 options.
Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales. She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.
