WestJet Signs $850 Million Engine MRO Agreement

June 17, 2009
Airline's engine maintenance, repair and overhaul work to be done in Winnipeg.

CALGARY, ALBERTA, CANADA -- WestJet announces it has signed an exclusive 12-year OnPoint solution agreement valued at more than $850 million (USD) over the life of the contract with GE Aviation for MRO of its fleet of CFM56-7(+) engines that power 79 Boeing Next-Generation 737 aircraft.

As part of the agreement, MRO of WestJet's engines will be performed at the StandardAero plant in Winnipeg, which has just undergone a major expansion, resulting in additional employment for Manitobans.

GE Aviation and StandardAero have completed a material and licensing agreement in connection with the WestJet contract. As part of the agreement, GE Aviation will provide material and high-technology component repairs to StandardAero. The material is produced at various GE facilities, including Bromont, Canada; Hooksett, NH; and Madisonville, KY. StandardAero will become a GE Designated FulFillment Center for CFM56-7B engines.

"We are excited about working with two global leaders in the field of jet engine systems," says Sean Durfy, President and CEO of WestJet. "Safety is our number one priority, and while we have one of the most modern fleets of Boeing Next-Generation 737 aircraft of any airline in North America, the maintenance, repair, and overhaul of our aircraft engines is an integral part of our ongoing safety program."

"GE Aviation is looking forward to working with WestJet and StandardAero on this CFM56-7 OnPoint solution agreement," says Tom Gentile, vice president and general manager of GE Aviation. "The agreement is a perfect example of the flexibility of GE's service offerings and enables WestJet to benefit from GE's OEM material while getting overhaul services from StandardAero, a world class engine overhaul facility that is part of the GE global MRO network."

"Entry into the large-engine MRO market has long been a goal for StandardAero," says Rob Mionis, President and CEO of StandardAero. "WestJet and GE Aviation are great partners and we look forward to continuing to provide them with the superb service and support we are known to deliver."

GE and StandardAero have developed a strong relationship over the years. StandardAero was the first independent repair and overhaul company to become an Authorized CF34 Service Provider and provide MRO service for GE's CF34-1, -3 and -8 engines. StandardAero also provides service support for GE's LM1600 marine gas turbine engines.