Lufthansa Technik AG and AeroTurbine Inc., a subsidiary of the International Lease Finance Corporation (ILFC) that markets engines and aircraft parts, have announced their intention to enter into a partnership. Under the terms of the agreement AeroTurbine will supply Lufthansa Technik AG with aircraft and engine components, while Lufthansa Technik will provide technical services for aircraft components of AeroTurbine and additionally supply the Miami-based company with surplus material for resale.
To this end, subject to the agreement of the cartel authorities, Lufthansa Technik AG will acquire a 15 percent interest in AeroTurbine. If the partnership proceeds to the satisfaction of both partners, Lufthansa Technik can exercise the option to increase its holding to 19.9 percent. This new partnership builds on the Hamburg-based company's already close relationship with AeroTurbine and will strengthen its strategic collaboration with the world's largest independent aircraft leasing company, ILFC.
"We could not be happier about our new partnership with Lufthansa Technik," said AeroTurbine President and Chief Executive Officer Michael King. "Both companies hold leadership positions in their sectors of the aftermarket, and this alignment will serve to make us both even stronger."
"We are very excited about our new relationship with AeroTurbine and ILFC," added August Wilhelm Henningsen, Chairman of the Executive Board of Lufthansa Technik. "Both companies offer products and services that support our strategy of growth and further cost reductions. With this agreement we will be able to further expand the support offerings of the entire Lufthansa Technik Group."
The Chief Executive Officer of ILFC, Henri Courpron, described the agreement as the logical extension of the companies' established market cooperation. "This new partnership is a first step in developing a broader relationship between Lufthansa Technik and ILFC, which will leverage our core products and processes to generate a significant value for our businesses and will further advance ILFC's strategy to provide complete aircraft lifecycle solutions to its customers."
With over 30 subsidiaries and affiliated companies and more than 26,000 staff worldwide, the Lufthansa Technik Group is one of the world's leading providers of aircraft-related technical services. Lufthansa Technik's portfolio encompasses the entire spectrum of support in the areas of maintenance, repair, overhaul, modification and conversion, engines and components for commercial aircraft.
AeroTurbine offers the aviation industry access to one of the world's largest pools of certified aircraft engines, parts, and supply chain solutions.
By leveraging its experience and financial strength, AeroTurbine offers its customers solutions tailored to their operational and financial requirements.
International Lease Finance Corporation (ILFC) International Lease Finance Corporation (ILFC) is a global market leader in the leasing and remarketing of commercial aircraft. With almost 1,000 owned and managed aircraft and commitments to purchase approximately 330 ultra-modern aircraft, ILFC is the world's largest independent aircraft lessor. ILFC has around 200 customers in more than 80 countries. The fully owned subsidiary of the American International Group Inc (AIG) operates from offices in Los Angeles, Amsterdam, Beijing, Dublin, Miami, Seattle and Singapore.