AirAsia Places US$8.6 Billion CFM Engine Order

AirAsia has ordered additional CFM LEAP-1A engines and CFM56-5B engines to power the 100 Airbus A320 aircraft it ordered in December.

The order, which comprises LEAP-1A engines to power 64 A32neos and CFM56-5B engines to power 36 A320ceo aircraft along with 5 CFM-56B spare engines and 9 LEAP-1A spare engines, is valued at US$8.6 billion at list prices, including a 20-year RPFH (Rate per Flight Hour) agreement, under the terms of which CFM will guarantee maintenance costs on a dollar per engine flight hour basis.

“We are pleased to expand our LEAP and CFM56 engine orders,” said Dato’ Kamarudin Meranun, Group Deputy Chief Executive Officer of AirAsia. “CFM has been one of the elements that has helped power our growth over the last decade and we are happy to work with CFM to further strengthen AirAsia’s expansion plans.”

AirAsia operates a fleet of more than 120 CFM56-5B-powered Airbus A320s with more than 91 still to be delivered.

LEAP engines are a product of CFM International, a 50/50 joint company between Snecma (Safran) and GE.