CFA Society Singapore
SINGAPORE (Jan 17): ST Engineering says its aerospace arm, ST Aerospace, has secured new contracts worth about $510 million in 4Q17, which brings the total to $2.8 billion for FY17.
The contracts are for ST Aerospace’s services that range from maintenance and landing gears repair to pilot training.
The airframe maintenance contracts include multi-year agreements to provide A- and C-checks for Boeing aircraft including the 777 and 747, as well as support for other platforms including the MD-11 and A320.
Other Maintenance, Repair & Overhaul (MRO) contracts include agreements for ATR72-500 shipsets, landing gear repair for military planes, extension of engine wash services for existing customers and Boeing 787 component support over 15 years for Gulf Air, which was announced in Nov 2017.
Meanwhile, non-MRO related business contracts include a three-year pilot training agreement from a new customer.
During the quarter, Elbe Flugzeugwerke, the joint venture between ST Aerospace and Airbus redelivered the first A330-300 Passenger-to-Freighter converted aircraft to launch customer, DHL Express.
This came after the successful completion of test flights in Oct and awarding of the Supplemental Type Certificate by the European Aviation Safety Agency in Nov.
In addition, ST Aerospace continues to build up its capabilities in its aircraft business by meeting stringent performance standards when it achieved the European Technical Standards Order (ETSO) for lightweight economy class seat for the A320 platform.
Shares in ST Engineering closed flat at $3.31 on Wednesday.