* Aim to provide engine maintenance for new narrow-bodied
* Details to be finalised by year-end
* Companies say JV will bring savings, boost efficiency
By Victoria Bryan
BERLIN, Sept 20 Lufthansa's
maintenance business and MTU Aero Engines are
planning a joint venture to increase efficiency and keep costs
under control as they cater to growing fleets of new
The operation would provide maintenance and repair services
for the PW1000G Pratt & Whitney engines that power
planes such as the Airbus A320neo and Bombardier
CSeries, the two German companies said on Tuesday.
They expect working together could help them both to deal
with the challenges of increased work volumes and generate
significant savings, an MTU spokeswoman said.
Lufthansa was the first airline customer to start flying the
A320neo with the Pratt & Whitney engine this year. Global orders
of the engines have risen to more than 8,200, MTU said.
MTU and Lufthansa Technik have signed a memorandum of
understanding and will now discuss details such as where the
maintenance and repair operations will take place. Decisions
will be made by the of the year, the companies said.
"In the industry's highly cost-competitive environment, the
objective of setting up a joint facility is to generate
opportunities for synergy and scale for both companies," MTU
said in a statement.
The move will not affect future development of Lufthansa
Technik's existing facilities, while MTU said that its existing
facilities will have sufficient work from other engine
programmes in the coming years.
(Editing by David Goodman)