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Monday
Sep192011

Pratt & Whitney Canada in MRO deal with China

Pratt & Whitney Canada (P&WC) and China Aviation Engine Holdings Corporation Ltd. (AVIC Engine Holdings) are creating a new maintenance, repair and overhaul (MRO) joint venture to be called Zhuzhou Tonghui Aero Engine Maintenance Company (AEMC). It will be located in Zhuzhou, Province of Hunan.

AEMC will provide in-country maintenance, repair and overhaul for civil-certified PT6A and PW100 series engines installed on civil turboprop aircraft operating in China and the Asia-Pacific area. Capability will be phased in, beginning with maintenance, followed by heavy maintenance and finally overhaul.

The president of P&WC, John Saabaas, who attended the announcement ceremony in China, said that the agreement will allow the company to extend its market reach in the "key emerging market" that is China.   

"AEMC will enable operators of PT6A- and PW100-powered aircraft in China to benefit from in-country engine services—from line maintenance to overhaul—providing them with faster turnaround times and lower costs," said Mr. Saabas. "It will also position us to expand our MRO market in the coming years as our engine fleet grows in the region."

The joint venture agreement is for 25 years with an option for renewal. AEMC's board of directors will consist of AVIC representatives and P&WC representatives. P&WC will appoint its general manager and AVIC, the chief financial officer. The remainder of the management team will be jointly selected by the joint venture partners.

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