Etihad in record $14bn engine orders
Paris, June 16, 2009
Abu Dhabi-based Etihad Airways, the UAE’s national carrier, has announced aircraft engine orders worth $14 billion, the largest engine order in commercial aviation history, at the Paris Air Show.
Etihad has chosen GE Aviation, Rolls-Royce, Engine Alliance and International Aero Engines (IAE) to power the new Airbus and Boeing aircraft that it ordered at last year’s Farnborough International Airshow.
The Farnborough deal included 100 firm orders and options and purchase rights for a further 105 aircraft, which will be delivered between 2011 and 2020.
The airline announced firm orders today for: 78 GEnx engines, to power its 35 new Boeing 787 aircraft; 45 Engine Alliance GP7200 engines to power its 10 new Airbus A380 aircraft; 44 IAE V2500 engines to power its 20 new narrow-body Airbus A320 aircraft.
Rolls-Royce and GE Aviation will supply engines for the airline’s new Airbus A350 fleet and future Boeing 777 aircraft deliveries, respectively, as previously announced at Farnborough. They include: 50 Rolls-Royce Trent XWB engines to power its 25 new Airbus A350 aircraft; 22 GE90 engines to power its 10 new Boeing 777-300ER aircraft.
The firm orders for 239 engines, which include 19 spares, is worth $7 billion at list prices, including maintenance contracts. If all options and purchase rights are exercised, the total number of engines will be 469, at a list price value of $14 billion, including maintenance contracts, said the statement.
Etihad Airways’ chief executive James Hogan announced the deals on the second day of the bi-annual Paris Air Show staged at Le Bourget, in the French capital.
James Hogan said: “Despite the tough economic challenges currently facing the aviation industry, Etihad Airways continues to roll-out its long-term expansion plans in a measured, considered and controlled manner.
“The new aircraft, and engines that will power them, are scheduled for delivery between 2011 and 2020 which demonstrates the confidence we have in our plans for sustainable future growth. These plans will establish Etihad Airways as the world’s leading airline and our hub of Abu Dhabi as a leading global centre of commerce and tourism.
“We are operating in a very challenging environment at the moment but we have absolute confidence in our future, intrinsically linked to the exciting and on-going development of Abu Dhabi, as well our engine and aircraft manufacturers partners.”
A key selection criterion in all of the deals has been the environmental performance of the engines. The engines Etihad Airways has chosen for its wide-body long range aircraft are amongst the most technically advanced and fuel efficient available and will help maintain the airline’s fleet as one of the greenest in the sky, he said.
Etihad Airways made history in July 2008 at the Farnborough International Airshow when it placed a firm order for 100 new aircraft. The airline confirmed at the time that the 25 A350 aircraft ordered would be powered by Rolls-Royce Trent XWB engines and the 10 Boeing 777s by GE90 engines.
Hogan added: “Following a comprehensive research and an intensive competition, we are now able to announce the engine manufacturers for the remaining 65 aircraft: 35 Boeing 787s, ten Airbus A380s and 20 Airbus A320s. The deals represent the best overall engines solution, taking into account operational, environmental and financial factors.”
David Joyce, president and CEO of GE Aviation, said: “We are extremely honoured that Etihad Airways has chosen the GEnx and GE90-115B engines to power its Boeing 787 and 777-300ER aircraft. We look forward to enhancing Etihad’s fleet with the unmatched reliability, performance, and maintenance benefits these two engines will provide, as well as providing the airline with world-class service and support for years to come.”
Jim Moravecek, Engine Alliance President, said: “We are delighted with Et