October 1, 2009 -- Azul Linhas Aereas Brasileiras S.A., has signed a 15-year OnPointSM solution agreement covering the maintenance, repair and overhaul of CF34-10E engines that power its 36 firm orders and four leased EMBRAER 190/195 aircraft. The agreement is valued at nearly $1 billion (USD) over the life of the agreement. The work will be performed at the GE Celma facility in Petropolis, Brazil.
"With this OnPoint solution agreement, GE will be responsible for managing Azul's engine maintenance needs so we can focus all of our attention on operating the airline and satisfying our customers," said Gerald Lee, vice president of Business and Corporate Affairs with Azul Linhas Aereas.
"As the engine OEM, GE Aviation is well suited to maintain the CF34 engines and provide us with world-class quality service and repairs for our engines, which are critical to our business model," said Amir Nasruddin, vice president of Technical Operations with Azul Linhas Aereas.
"Azul Linhas Aereas is quickly becoming an important airline for Brazil, and GE will provide the highest quality services and support to help the carrier meet its ambitious growth plans," said Tom Gentile, president and chief executive officer of GE Aviation Services.
Created in 2008, Azul Linhas Aereas is the newest domestic airline in Brazil and offers multiple, nonstop daily flights between Brazil's main cities. The company has orders for 76 jets from the EMBRAER 190 family, with 36 firm orders, plus 20 options and 20 purchase rights. The carrier expects to have 14 E190/195 aircraft in service by year-end with seven additional aircraft scheduled for delivery in 2010. Azul has demonstrated best-in-class utilization rates, reaching 14 flight hours a day in August with best-in-class dispatch reliability.
OnPoint solutions are customized service agreements tailored to the operational and financial needs of each customer for any size fleet. These agreements are designed to help lower the customers' cost of ownership and maximize the use of their assets. Backed by GE's global support network, OnPoint services may include overhaul, on wing support, new and used-serviceable parts, component repair, technology upgrades, engine leasing, integrated systems support and diagnostics and integrated systems.
GE Aviation, an operating unit of General Electric Company (NYSE: GE), is a world-leading provider of commercial and military jet engines and components as well as avionics, electric power, and mechanical systems for aircraft. GE Aviation also has a global service network to support these offerings.