VietJet Orders Additional CFM56-5B Engines; Signs Services Contract
- Follow on to 2014 order
- Includes 12-year RPFH agreement
DUBAI, U.A.E. — 10 November 2015 — Vietnam's VietJet today announced it has selected CFM International's CFM56-5B engine to power 15 additional Airbus A321ceo (current engine option) family aircraft. The agreement is valued at more than $700 million U.S. at list price, including spare engines and a long-term service agreement.
To support the fleet, the airline signed a 12-year Rate Per Flight Hour agreement under the terms of which CFM will guarantee maintenance costs for the all of the CFM56-5B engines on a dollar per engine flight hour basis.
Nine of the aircraft for this order were announced earlier today by Airbus; the remaining six were announced at the 2015 Paris Air Show.
Based in Ho Chi Minh City, VietJet has been a CFM customer since it commenced operations in late 2011 with leased CFM56-5B-powered A320s and currently operates a fleet of 29 aircraft.
"The reliability and operating economics of the CFM56-5B engine are the best in the industry and have helped us stay true to our core values of Safety, Affordable Price, and Punctuality," said Madame Nguyen Thi Phuong Thao, president and CEO of VietJet. "CFM has been a real partner in our growth and we are very pleased to expand our relationship with them."
"It is exciting to be part of such a dynamic team," said Jean-Paul Ebanga, president and CEO of CFM International. "The management team has done an outstanding job and the many accolades they have received are well deserved. It is a real privilege to see, first hand, the success VietJet continues to achieve. In addition to the engine purchase, CFM wil also work closely with Vietjet for support in new technology training for safety and security assurance." "
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VietJet is the first airline in Vietnam to operate as a new-age airline with low cost and diversified services to meet the customers' demands. It provides not only transport services but also uses the latest e-commerce technologies to offer various products and services for consumers. The airline recently won IOSA Certification from the International Air Transport Association (IATA) after just over three years of operations. VietJetAir was also honored "Best Asian Low Cost Carrier" at the TTG Travel Awards 2015, which compiles votes from travelers, travel agencies and tour operators in Asia. It is also rated as one of the top three fastest growing airline brands on Facebook in the world by analysis website Socialbakers.
Currently, the airline boasts a fleet of 29 aircraft, including A320s and A321s, and operates 190 flights each day. It has already opened 35 routes in Vietnam and across the region to international destinations such as Thailand, Singapore, South Korea, Taiwan, China and Myanmar. It has carried more than 18 million passengers to date.
Looking ahead, the airline plans to expand its network across the Southeast Asia. To prepare for this plan, VietJet has signed agreements with the world's leading aircraft-manufacturers to purchase more brand-new and modern aircraft. Like Vietjet on Facebook, www.facebook.com/vietjetvietnam, follow us on Twitter, @vietjetvietnam, and watch our videos at www.youtube.com/user/vietjetvietnam.
About CFM International
CFM 56-5B engines are a product of CFM International, a 50/50 joint company between Snecma (Safran) and GE. CFM, the world's leading supplier of commercial aircraft engines, has delivered nearly 28,700 engines to date. The CFM56-5B engine powers every model of the Airbus A320 family and has been chosen to power the majority of all A320 family aircraft in service or on order. For more information concerning CFM, visit us on the Web at www.cfmaeroengines.com or follow us on Twitter @CFM_engines.