ST Engineering, AirAsia in 10-yr RM255mil maintenance deal (5099)

KUALA LUMPUR: Singapore's ST Engineering has inked a 10-year agreement worth US$80mil (RM255mil) with AirAsia to provide maintenance support for 75 of the low-cost carrier's Airbus A320.
According
to ST Engineering, its aerospace arm, ST Aerospace would provide
component repair management maintenance-by-the-hour support for the
aircraft and it is expected to start immediately.
Currently, ST
Aerospace has a programme for 100 A320 aircraft. "With this contract,
ST Aerospace will effectively support 175 of AirAsia's A320 aircraft,"
said ST Engineering.
AirAsia group chief executive officer Tan Sri Tony Fernandes said the airline had managed to achieve high efficiency in operations to keep its costs low.
He said this was through high aircraft utilisation and paramount importance placed on flight safety and quick turnaround time.
ST Aerospace president Chang Cheow Teck
said the contract reflected its performance and ability to provide
customers with safe and dependable maintenance, repair and overhaul
solutions.
This contract marks the 10 years of partnership
between ST Aerospace and AirAsia. ST Aerospace first provided AirAsia's
fleet of five Boeing 737-300 aircraft with component rotable management
and support services in 2002.