EVENDALE, Ohio -- American Trans Air, Inc. (ATA) has signed a Maintenance Cost Per HourSM (MCPHSM) agreement with GE Engine Services, Inc., for 10 years with a five-year extension option. Under this agreement, GE Engine Services will maintain CFM56-7 engines for a fleet of 37 Boeing Next-Generation 737 aircraft.
The agreement, which will begin in 2001, is valued at $650 million over the 15 years.
ATA, based in Indianapolis, Indiana, is the 11th largest U.S. passenger airline and the largest U.S. commercial/military passenger charter service.
"GE's highly successful MCPH program will enable ATA to have lower, more predictable maintenance cost through cost per flight hour pricing and value-added fleet management services," said Rex Williams, general manager of Fleet Management Operations for GE Engine Services. "ATA's maintenance and overhaul work will be performed at GE's Strother facility, near Arkansas City, Kansas."
GE Engine Services is the world's leading integrated engine maintenance resource with a $16+ billion backlog of long-term service agreements.
With headquarters in Cincinnati, Ohio, GE Engine Services provides comprehensive overhaul and repair of aircraft engines, components, and accessories of GE Aircraft Engines; the engines of CFM International, the 50/50 joint company of Snecma of France and General Electric Company of the United States; as well as engines produced by other manufacturers.
GE's Strother service shop is part of GE Engine Services' global network of overhaul and repair "Centers of Excellence," with affiliates or facilities in: Xiamen, China; Nantgarw, Wales; Singapore; Kuala Lumpur, Malaysia; Ontario, California; Miami, Florida; Dallas/Fort Worth, Texas; Prestwick, Scotland; Petropolis, Brazil; Rio de Janeiro, Brazil; and Cincinnati, Ohio, and also at Garrett Aviation Services' six Total Aircraft Service SM Centers.