Aviation news analysis
50 SKY SHADES - World aviation news

Rolls-Royce receives regulatory approval for Trent service network changes

Download: Printable PDF Date: 30 Jun 2016 16:01 category:
Publisher:
Rolls-Royce receives regulatory approval for Trent service network changes - Manufacturer publisher
Krista Kuznecova
Aircraft: Airplanes

Rolls-Royce and its partners have received regulatory approval and met all other closing conditions for its previously announced changes to three Approved Maintenance Centre joint ventures.

Approved Maintenance Centres (AMCs) support Rolls-Royce’s strategy to develop a competitive, capable and flexible Trent Service Network to meet the changing needs of customers across the lifecycle of engines and to support the growing Trent engine fleet.

The changes, announced last November, subject to certain closing conditions that have now been satisfied, relate to three existing AMC joint ventures: Hong Kong Aero Engine Services Limited (HAESL), Singapore Aero Engine Services Pte Ltd (SAESL) and N3 Engine Overhaul Services GmbH and Co. KG (N3).

Under the completion of the agreements announced today these joint ventures will now operate under a new business model where the existing geographic territory-based arrangements used by Rolls-Royce to direct maintenance, repair and overhaul (MRO) work to each AMC will be replaced with a competitive model where each AMC will need to compete to secure their Trent TotalCare® engine overhauls. Rolls-Royce believes that this competitive model will encourage greater capability and flexibility across the Trent Service Network. The AMCs are also able to compete globally for MROServices under “time and material” business terms.

The completion simplifies the shareholding structure and management of HAESL and SAESL. The former will become a 50/50 joint venture between Rolls-Royce and HAECO, the latter a 50/50 joint venture between Rolls-Royce and SIAEC.

The shareholding arrangements with Lufthansa Technik AG for N3 remain unchanged at 50/50 ownership.

These changes to create a competitive, capable and flexible Trent Service Network complement the announcement that Delta TechOps will be joining the Trent Service Network as an independentAMC. Additional AMCs to further enhance the Trent Service Network will be announced at the appropriate time.

In addition to SAESL, Rolls-Royce and SIAEC have a second joint venture in Singapore, International Engine Component Overhaul Pte Ltd (IECO), which overhauls and repairs aero engine components. As part of these new agreements, and to further simplify our joint venture structures, Rolls-Royce and SIAEC intend to take the opportunity to amalgamate the business and operations of SAESL andIECO into a single entity, enabling them to compete more effectively for global component repair business.



Loading comments for Rolls-Royce receives regulatory approval for Trent service network changes...


Recommended

Teamwork of the future

Manned Unmanned Teaming (MUM-T) multiplies the capabilities of helicopters and unmanned aerial systems. By controlling drones from the air, military and parapublic crews can explore tough-to-access ar...

Nomad Aviation launches maintenance and hangarage services in Basel, Switzerland

Nomad Aviation has started to offer maintenance and hangarage services at its Basel, Switzerland facility at the beginning of August 2018. The company, branded as Nomad Technics AG, occupies a 7&rsquo...

FBO RIGA Celebrates 3 Years of Success

FBO RIGA business aviation center celebrates its 3rd anniversary. It opened its doors in Riga International Airport (RIX) in September, 2015, becoming a new gateway to the east from Europe and the mai...

airBaltic Carries 18% More Passengers During Summer

The Latvian airline airBaltic has transported 2 770 047 or 18% passengers more during the first eight months of 2018 than in the same period last year to its network spanning Europe, Sc...