GE Engine Services awarded $600 million contract
GE Engine Services (GEES) has been awarded a 15-year, $600 million contract by AirTran Airways to maintain the CFM56-7 engines powering the airline's fleet of Boeing 737-700/-800 aircraft.
Under terms of the Maintenance Cost Per Hoursm (MCPHsm) agreement, GEES will use its maintenance network, engineering resources, and program management expertise to maintain AirTran Airway's fleet of CFM56-7 engines based on a flat rate per engine flight hour.
AirTran Airways, a subsidiary of AirTran Holdings, Inc operates nearly 500 flights daily to 45 destinations across the US, including nearly 200 daily flights from its hub at Hartsfield Atlanta International Airport.
In July, 2003 the airline ordered 50 firm 737s that are scheduled to begin delivery in June 2004.
The new 737s are said to be part of an aggressive expansion and renewal plan. In addition to the 50 firm aircraft ordered in July, AirTran Airways also took options on 50 more 737s.
CFM56-7 maintenance work will be conducted at GE's Strother Field facility near Arkansas City, Kansas.