The Hindu Business Line : Indian signs pact with French firm

The state-owned airline Indian today signed a memorandum of understanding with Snecma Services for setting up a maintenance, repair and overhaul (MRO) facility for the CFM 56 aircraft engine.

The MoU will see Indian and Snecma will set up a joint venture company, which will address the needs of not only Indian but also the regional markets, performing a full spectrum of services with engine disassembly to piece parts and in-house component repairs of the CFM 56-5B and 7B engine types.

The MoU was signed by the airline Chairman and Managing Director, Dr Vishwapati Trivedi, and the Chairman and Chief Executive Officer of Snecma Services, Mr Jean-Lin Fournereaux.

The MoU would be beneficial for Indian as it is to acquire 43 brand new Airbus aircraft that are powered by CFM engines. "Apart from taking care of the needs of Indian, the MRO would also be able to look after the more than 200 CFM engines that are being used by other airlines here," Dr Trivedi added.

The project is valued at around $30 million with Snecma expected to take a 51 per cent stake with Indian picking up the remaining stake.

The location of the facility is yet to be firmed up.

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