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Airlines

GE Aviation Wins $370 Million Contract to Supply Engines to Bahrain's Gulf Air

Strategic Insights

— 1 min read

GE Aviation has secured a $370 million contract to provide Bahrain's Gulf Air with engines for its Airbus A320 aircraft. The contract includes the delivery of 15 CFM56-5B engines between 2009 and 2013, with a 10-year service agreement worth $100 million. The CFM56-5B engines are valued at $270 million, making the total value of the contract $370 million. Gulf Air, the flag carrier of Bahrain, operates scheduled services to over 40 destinations in Africa, Asia, Europe, the Middle East, and the Far East.

Key Takeaways:

  • GE Aviation has secured a $370 million contract with Gulf Air to supply 15 CFM56-5B engines for its Airbus A320 aircraft.
  • The contract includes a 10-year service agreement worth $100 million, which is designed to help lower the customers' cost of ownership and maximise the use of their assets.
  • The service agreement will be delivered through GE Aviation's OnPoint solutions, which are customised service agreements tailored to the operational and financial needs of each customer.
  • Gulf Air, the flag carrier of Bahrain, operates scheduled services to over 40 destinations worldwide.
  • The CFM56-5B engines are valued at $270 million, with the total value of the contract being $370 million.
  • Muhammad Al Lamadani, CFM's senior executive sales for Middle East, Eastern Europe, and Commonwealth of Independent States, stated that the reliability and low operating costs of the CFM56-5B-powered A320s will help support Gulf Air's long-term profitability.

Statistics:

  • $370 million: total value of the contract
  • $270 million: value of the CFM56-5B engines
  • $100 million: value of the 10-year service agreement
  • 15: number of CFM56-5B engines to be delivered
  • 2009-2013: scheduled delivery period for the engines
  • 10 years: duration of the service agreement
  • 40: number of destinations operated by Gulf Air worldwide
  • CFM56-5B: the engine model supplied by GE Aviation to Gulf Air

Sources:

  • Euclid Infotech Pvt. Ltd.
  • Syndigate.info

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