U.S. Firm, Ethiopian Sign MRO Deal valued $500mln

ADDIS ABABA – Ethiopian Airlines will establish third-party component maintenance capabilities under an aftermarket support agreement with US-based Collins Aerospace.

Ethiopian airlines officials signed a 25-year partnership deal with Collins Aerospace at the Paris air show on Tuesday.

The agreement will enable the airline to service components such as heat exchangers, air management systems and fuel metering units for its fleet of 60 Q400 aircraft.

The deal is valued at approximately 500 million USD, said the US firm in a statement. It also says the deal further expands its global MRO network to include East Africa as part of the company’s strategy to grow its presence on the continent.

Cirium’s Fleets Analyzer shows that Ethiopian has 18 Q400s in service, and orders for another 10. The type is also operated by subsidiary operations of Ethiopian.

Collins Aerospace Aftermarket Services President Ajay Agrawal describes the contract as a win-win situation, as the manufacturer currently has no African MRO facility among its international aftermarket network of 78 service facilities and 35 distributions.

“We are honored that leading customers across the globe have trusted us with their support needs,” said Agrawal.
“Collins Aerospace is seeing tremendous customer interest in its support offerings since we can respond to these customer needs most effectively,” he continued. “Our product knowledge, customized solutions, and exceptional global MRO network are true differentiators.”

The firm said, with the world’s second-largest and youngest population, Africa is an important market for Collins Aerospace.