Singapore, 19 March 2013 – ST Aerospace today announced that its wholly owned subsidiary ST Aerospace Engines Pte Ltd (STA Engines), has injected its pro rata share of an additional US$4.05m (S$5.01m) into the capital of its 50%-owned associated company, Total Engines Asset Management Pte Ltd (TEAM). With this new injection, it will bring STA Engines’ total share capital contribution in TEAM to US$8.21m (S$10.15m). This additional funding will support the expansion of the engine leasing business.
Under the financing model agreed by the joint venture partners, capital injection is initiated every time TEAM secures a new engine leasing contract. This is to ensure that capital is deployed on engine assets that will immediately generate lease returns.
TEAM is a joint venture between ST Aerospace and Marubeni Corporation. Established in June 2011 in Singapore, TEAM provides engine leasing services for CFM56-3, CFM56-5B, CFM56-7B engines that power narrow-body aircraft such as the Airbus A320 and Boeing 737.
The capital injection 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.
ST Aerospace (Singapore Technologies Aerospace Ltd) is the aerospace arm of ST Engineering. Operating a global MRO network with facilities and affiliates in the Americas, Asia Pacific and Europe, it is the world’s largest commercial airframe MRO provider with a global customer base that includes leading airlines, airfreight and military operators. ST Aerospace is an integrated service provider that offers a spectrum of maintenance and engineering services that include airframe, engine and component maintenance, repair and overhaul; engineering design and technical services; and aviation materials and management services, including Total Aviation Support. ST Aerospace has a global staff strength of more than 8,000 engineers and technical specialists. Please visit www.staero.aero.