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GE Aviation Business Base Growing

April 15, 2015

EVENDALE, OHIO -- Production rates for jet engines and components from GE Aviation and its partner companies* continue at historically high rates, driving GE’s installed base of jet engines in revenue service to unprecedented levels.

The jet engine backlog for GE and its partner companies (mostly notably CFM International) exceeds 15,000 jet engines. GE Aviation’s total industrial backlog now exceeds $135 billion for both equipment and long-term services contracts. The value of the backlog has grown 25% in the past two years.

Annual jet engine deliveries (both commercial and military) for GE Aviation and its partner companies have grown from 3,000 in 2010 to about 3,700 in 2014. In 2015, jet engine deliveries are expected again to reach the 3,700-engine range.

The most significant growth is in the commercial jet engine sector, where deliveries are growing from 2,600 units in 2013 to about 2,800 in 2015. This includes more than 1,600 engines to be produced by CFM International.

GE Aviation and its partners are expected to reach 3,000 commercial engine deliveries by 2020. Between now and 2020, the number of commercial jet engines in operation from GE and its partners is expected to increase by about 10,000 engines.

Much of the engine backlog involves new engines under development. For example, the LEAP engine, under development by CFM International for narrow-body aircraft, has a backlog of more than 8,500 engines. The LEAP is expected to enter revenue service in 2016 on the Airbus A320neo. The new GE9X, under development for the Boeing 777X, has a backlog of about 700 engines. It enters service in 2020.

These large production increases contribute to the world’s largest installed base of commercial jet engines in service. By the end of 2015, GE and its partner companies will have 36,000 commercial jet engines in service, growing to about 46,000 by 2020.

GE Aviation is preparing for high production volumes with a significant expansion of its supply chain through new facilities, upgrades of existing plants, new joint ventures, and acquisitions. In the past eight years, GE has opened seven new U.S. facilities. These plants are not only addressing higher production volumes, but are introducing several new advanced technologies. The most recent investments include:

- Evendale, Ohio: During 2014-2015, about $144 million is being invested to further upgrade GE Aviation’s world headquarters, including construction of a unique combustion test center and a ceramic matrix composite (CMC) laboratory.

- Asheville, North Carolina: In late 2014, GE opened in Asheville the first factory in the world to mass produce CMC parts for commercial and military engines.

- Auburn, Alabama: Later this year, GE’s new Auburn facility will begin mass producing the interiors of the LEAP engine’s fuel nozzle using the 3D additive manufacturing technology.

- Lafayette, Indiana: Near Purdue University, GE is constructing a new 300,000 square foot LEAP engine assembly factory. It becomes fully operational next year.

GE Aviation is an operating unit of GE and a world-leading provider of jet engines, components and integrated systems for commercial and military aircraft. GE Aviation has a global service network to support these offerings.